Types of Organisations

Question 1

What are the different types of organisations?

Answer 1

Private Sector
Not for profit organisations (Hospitals, charities and schools)
Mutual Organisations (Co-ops - owned by the customers)

Question 2

What is NGO?

Answer 2

Non Governmental Organisation - defined by the world bank as ‘private organisations that pursue activities to relieve suffering, promote the interests of the poor, protect the environment, provide basic social services or undertake community development’

Question 3

What are the five business strategies?

Answer 3

Vision
Mission
Goals
Objective
Targets

Question 4

What is a mission statement?

Answer 4

Is a published statement apparently of the entity’s fundamental objective. This may or may not summarise the true mission of the entity

Question 5

What is a mission?

Answer 5

Is the entity’s fundamental objective expressed in general terms

Question 6

What is a goal?

Answer 6

is often a longer term aspiration. Mintzberg defines goals as ‘the intentions behind decisions or actions, the states of mind that drive individuals or collectives of individuals called organisations to what they do’

Question 7

What is an objective?

Answer 7

are often quite specific and well defined, though they can also embody comprehensive purposes

Question 8

What is a target?

Answer 8

are generally expressed in concrete numerical terms and are therefore easily used to measure progress and performance

Question 9

Objectives should be SMART, explain.

Answer 9

SPECIFIC
MEASURABLE
ACHIEVABLE
RELEVANT
TIME-RELATED

Question 10

What are the functions of an objective? (PRIME)

Answer 10

PLANNING - defines what the plan is about
RESPONSIBILITY - defines who is responsible
INTEGRATION - objectives shout support each other
MOTIVATION - knowing what is to be done
EVALUATION - Performance is assessed

Question 11

What type of organisational structures are there? (12)

Answer 11

Mintzberg - Diagram
Functional - Grouping together people who do similar tasks
Geography
Product/brand
Customer
Divisionalisation
Hybrid
Simple
Matrix
Modern Types
Span of control
Systems

Question 12

What is divisionalisation?

Answer 12

is the division of a business into autonomous regions or product business, each with its own revenue, expenditures and capital asset purchase programmes, and therefore each with its own profit and loss responsibility

Question 13

Design the Mintzberg diagram.

Answer 13

Strategic Apex - (Simple structure)
Middle line - (Divisionalised form)
Operating Core - (Professional bureaucracy)
Technostructure - (Machine bureaucracy)
Support Staff - (Adhocracy)

All together - (Missionary organisations)

Question 14

Design the Shamrock organisation.

Answer 14

Professional
Self Employed
Contingent
Customers

Question 15

Define: Scalar chain?

Answer 15

is the chain of command from the most senior to the most junior

Question 16

Define: Tall organisation?

Answer 16

is one which in relation to its size has a large number of levels of management hierarchy. This implies a narrow span of control

Question 17

Define: Flat organisation?

Answer 17

is one which in relation to its size has a small number of levels of management hierarchy. This implies a wide span of control

Question 18

What is delayering?

Answer 18

is the reduction of management levels from bottom to top

Question 19

What are the types of organisational systems:

Answer 19

Closed system - isolated from the environment
Open system - connected to the environment
Semi closed system - reacts to the environment is a controlled way
Feedback control system - Eg if a thermostat is too low it will switch on the heating.
Feedforward control system - Eg, will read a thermostat but will also look into wither windows are open

Question 20

What types of alliances are there?

Answer 20

Joint venture - forming a separate business
Licences and franchises
Strategic alliances - No separate business
Outsourcing

Question 21

Define: Span of control.

Answer 21

The number of subordinates responsible to a superior