3.6.3 Improving organisational design and HR flow Flashcards
(116 cards)
5 what is an organisational structure?
simplest way to show how a business is organised
shows management hierarchy
works from top to bottom
also shows span of control, line management, chain of command
5 what does the organisational structure determine?
authority and responsibility
individual job roles and titles
people who are accountable for who
formal paths that communication flows though
5 what is hierarchical structure
traditional form of an organisational structure in business
layers of hierarchy reflect levels of seniority
tall or flat, depends on layers
associated with formal or bureaucratic management styles
5 What are some features of an organisational structure?
tall structure
narrow span of control
long chain of command
more layers
5 What are the advantages of a tall structure?
opportunities for promotion
5 What are the disadvantages of a tall structure?
lines of communication is slower
less opportunities for delegation
5 What are the advantages of a flat structure?
wider span of control
shorter line of communication
less layers
more decentralised and flexible
opportunities for delegation
5 What are the disadvantages of a flat structure?
difficult to manage employees properly
insufficient time to dedicate to each employee
many people to communicate with
5 what is an organisation chart?
the chart that shows each person in a business
5 what are levels of hierarchy?
the number of levels on an organisation chart
5 what is chain of command
shows the people who are in charge of others
5 what is span of control
number of workers a manager is responsible for
5 what is line of communication
how a message gets from one worker to another
5 what is delegation
passing down responsibility/authority
5 what is a line manager
the person directly above someone in the chart
5 what is a subordinate
the person directly below someone in the chart
5 what is authority?
having the power to make a decision
5 what is accountability
being responsible for something if it goes wrong
5 what is a functional structure
The business organizes employees by splitting them up into specialized departments, whereeach department has a specified role or task within the business.
like in a school, teachers etc
5 advantages of a functional structure?
Speed
Clarity
Increased productivity
Motivation
Shared knowledge
Skill Development
5 disadvantages of a functional structure?
Slow to change
Competition between departments
Management issues
Slower decision making
5 what is a Product based structure?
Used by multi-product firms. In this type of structure, a firm splits itself into divisions, each division specializes in producing a particular product
Like Unilever, Protect & Gamble
5 advantages of a product based structure
Diversification
Knowledge transfer
Flexible
form of expansion
enter different markets to reduce risk of business failure
5 disadvantages of a product based structure
High costs
Cannibalization
Loss of control
can cause increases in products while others decrease