Structures of an organisation Flashcards

1
Q

What are the different types of structures?

A
  • Tall
  • Flat
  • Delayering
  • Downsizing
  • Centralised
  • Decentralised
  • Matrix
  • Entrepreneurial
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is a tall structure?

A

A hierarchy. There are lots of levels, long chain of command, narrow span of control, long decision making process

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Narrow span of conrtol advantages:

A
  • Managers have more time for planning supervision and decision making
  • Managers can support subordinates as they ahve more time
  • Managers have less subordinated to manage
  • Staff can be closely supervised
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Narrow span of conrtol disadvantages:

A
  • Managers watch stagg closely, under pressure (micromanage)
  • Managers have less staff to share ideas with
  • A greater workload is shared between fewer staff
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What are advantages of a tall structure?

A
  • Lots of promotion opportunities
  • Staff know their roles and who they report to
  • Managers manage fewer subordinates (narrow span of control)
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What are disadvantages of a tall structure?

A
  • React slowly to external factors
  • Low decision making
  • Managers my be autocratic (doesn’t care about others opinions)
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What is a fall structure?

A

A short chain of command, fast decision making, wide span of control, little promosion opportunities

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Wide span of control advantages:

A
  • Delegating tasks to subordinated increases moral as they are more trusted
  • Staff are empowered to make decisions themselves
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Wide span of control disadvantages:

A
  • Time os at a premium which leads to snap decisions
  • Less time for planning due to being busy
  • Subordinates ay have no-one to seek help from
  • More staff to manage so lots of delegation is required
  • Pressure on management due to increased workloas
  • High degree of trust required
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What are advantages of a flat structure?

A
  • Infromation is quickly passed between levels
  • Quick response to external factors
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What are disadvantages of a flat structure?

A
  • Less levels=less promition so staff are demotivated and move elsewere (or quality drops)
  • Staff delegate to subordinated putting more pressure on lower levels
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What is delayering?

A

Removing layers of a hierchy to make a business flatter

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What are advantages of delayering?

A
  • Money is saved on wages (less manager roles)
  • Decision making quicker due to shorter chain of command
  • More responsive to external factors
  • Widens span of control
  • Improved communication
  • May improve productivity
  • Removed department rivalry
  • Encourages innovation
  • Better customer service as managers are closer to customers
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What are disadvantages of delayering?

A
  • Fewer promotion opportunities
  • High cost of redundancy (managers are paid off) payments
  • May lose key members of staff
  • Massive uncertainty amounst staff
  • Not all organisations may suit as low skilled employeed may not adapt
  • Motivation decreases
  • Creates skills shortage
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What is Downsizing?

A

When an organisation either closes locations or merges divisions to premanently reduce its workforce

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What are the current trends in downsizing?

A

Stores were closing down due to online shopping but they are beginning to open up again

17
Q

What are advantages of downsizing?

A
  • The business may be more efficient
  • Cuts costs (wage and rent)
  • The business becomes more competitive
18
Q

What are disadvantages of downsizing?

A
  • Causes unrest in staff
  • Staff feel vulnerable, demotivated
  • Valueable skills may be lost
19
Q

What is centralised decision making?

A

Where major responsibilities are at the centre/top of the organisation (head office) which is easier to promote a consisntnt corporate image

20
Q

What are advantages of centralised decision making?

A
  • High corporate identity and strategy
  • Procedures are standardised (consistancy)
  • Lower risk of leaks
  • Greater uniformity (familiar, loyal)
  • Subordinates remain focused on core activities
  • Senior staff can make better decisions
21
Q

What are disadvantages of centralised decision making?

A
  • Low suborninate responsibility leads to demotivation
  • Loss of market share (less responsive)
  • Decisions don’t effect local markets
  • React slowely to external factors
  • Lack of innovation
  • Managers and employees are disconnected
  • Managers may becoome burdened by amounts of work
22
Q

What is decentralised decision making?

A

When control in delegated to individual branches or departments in the business

23
Q

What are advantages of decentralised decision making?

A
  • Quick reaction to external factors
  • Decision making fast because local managers dont need to consult seniors (respond to local markets)
  • Subordinated are empowered
  • Releives senior management from constant decision making burden
  • Important decisions still made by managers
  • Delegated to branches
24
Q

What are disadvantages of deceltralised decision making?

A
  • Corporate image may be lost if each branch opperates differently
  • Local branches may compete with eachother
  • Branch managers may lack experience
  • Higher costs due to duplication of resources
25
What is a matrix structure?
When an organisation sets up a temporary project and different teams cary out tasks
26
What are advantages of a matrix structure?
- Specialised staff used for all areas - Complex problems can be solved - Staff use their expertise so are motivated and have job satisfaction
27
What are disadvantages of a matrix structure?
- Many managers means high costs - Resources may be duplicated - Staff may be unsure who to report to
28
What is an entrepreneurial structure?
(mainly used by small organisations) This is when there is one key decision maker, the owner, who makes all the decisions
29
What are advantages of an entrepreneurial structure?
- Decisions made quickly as no consultation needed - Staff know who they report to - People know who makes the decision
30
What are disadvantages of an entrepreneurial structure?
- Owner has a heavy workload - If owner is busy key decisions can't be made - Other staff don't get to be innovative which demonivates and stiffles creativity