ORGANISATIONAL STRUCTURES AND DIFFERENT WAYS OF WORKING Flashcards
Organisational structure
How people and departments are organised within a business
Why
To provide clear lines of communication and outline different responsibilities throughout a business/organisation
There are two types of organisational structures:
Tall
Flat
TALL STRUCTURE
Have many layers of staff from top to bottom.
How?
Usually starts with a board of directors at the top down to floor staff at the bottom.
FLAT STRUCTURE
Have only a few layers of staff, maybe as little as two or three
How
Usually starts with a board of directors at the top, one layer of managers in the middle and shop floor staff on the bottom
Tall
Advantages
There are clear lines of communication from the top to the bottom.
Managers tend to only be responsible for a few people.
There are opportunities for people to gain promotion and move up, good motivation.
Tall
Disadvantages
Subordinates may feel too controlled by their line manager. Reducing motivation and creativity.
Workers may only talk to immediate colleagues and may be less interactive towards those in other areas of the business.
Tall
Sustainability
Tall structures suit large organisations.
Tall structures suit non-creative businesses where workers perform limited clear tasks.
Flat
Advantages
Managers tend to delegate responsibilities to workers. Increase motivation.
Workers are likely to talk to a wider range of colleagues, therefore better at generating ideas
Flat
Disadvantages
There’s not always clear lines of communication and workers may miss out on information which could help them.
Managers may have a large number of workers to oversea.
Promotion opportunities are limited which reduces motivation.
Flat
Sustainability
Flat structures suitable for creative businesses.
Flat structures are good for smaller businesses.
Organisation charts
A diagram that shows how the workers are organised in a business
How?
There are five important terms which are connected to organisation charts: Authority, subordinates, delegation, chain of command and span of control.
Benefits of organisation charts
Line Management
Delegation
Clear lines of communication
Identifies functions and tasks to be completed
Outlines accountability
Teamwork
How businesses are organised
Product
Place
Function
Why businesses choose different organisation charts
Different job roles and responsibilities
Different ways of working
Importance of effective communication
Ways of working
Refers to the variation of ways an individual can work.
How?
Different ways of working include; full-time, part-time, flexible, self-employed, temporary, working from home or while mobile.
Advantages
Full-time working
Worker is permanently available.
Full time wage.
Part-time working
Can ask worker to work at specific times when needed.
Work when suits them best.
Flexible working
May benefit from motivated workers who like flexibility.
Work at times that suit best.
Temporary working
Only need to employ for length of time they need them.
Work and earn for specific period then has additional spare time.
Working from home
Save costs by not having to provide office space.
Saves time and money on transport. More freedom.
Working while mobile
Benefits from increased productivity.
Make full use of their time even while travelling.
Self-employment
Only needed for specific jobs and no NI or pension contributions needed.
May like the control and highly motivated by earnings when based on production.
Disadvantages
Full-time working
May have to pay worker even if there is no work to be done.
Tied down to always working full time.
Part-time working
Train more workers.
Only get paid for hours worked, potential of needing second job.
Flexible working
Worker may not be available to work when needed.
Potential of not being offered as much work as wanted.
Temporary working
Find it difficult to recruit enough workers when needed.
Times of the year where there is no work.
Working from home
Lack of communication therefore reducing efficiently.
Too many distractions at home.
Working while mobile
May not be able to monitor that worker is working as much as they should be.
Potentially feel under pressure to work a lot – even on holidays.
Self-employment
May not work in the way the business’ employees are trained.
Less job security with risk of no work or income at certain times.