Human resource management Flashcards
(38 cards)
What is an organisational structure?
The way in which a business is organised
What is span of control?
The number of employees for whom a manager is responsible for.
What is delayering?
Reducing the number of levels in the hierarchy of an organisation.
What is delegation?
Delegation occurs when someone with authority confers upon another person the power to do a particular task.
What will delegation be dependent in a business?
Leadership style, a democratic style will mean more delegation.
Ability and willingness of employees to take on responsibility
Type of task that is to be delegated.
What is empowerment?
Giving employees responsibility for the tasks they perform. It hopes to motivate staff by enriching employees jobs.
What is organisation by system?
The business is split into specialist areas which operate together to make the business function efficiently.
What is organisation by product?
Alternatively, the company could be organised by product that is the business organised around recognizable individual products. These are known as profit centres.
What are the types of organisational structure models?
Organisation by system
Organisation by product.
Matrix
What are the advantages of operating as organisation by product?
It’s easier to see which products are performing well.
Managers of each product can concentrate their energies on one product rather than several.
Managers can see direct result of their decisions and so may be more motivated.
What are the disadvantages of operating as organisation by product?
Different products compete for resources, this can lead to conflict in the business on how to allocate resources.
Don’t gain from economies of scale as there will be multiple departments for each product.
What is a flat structure?
A structure where there is a large span of control for managers. This type of structure is associated with a democratic style of leadership. Delegation is encouraged, allowing for a more motivated workforce.
What is a tall structure?
A structure where there is a smaller span of control. This style of leadership is less democratic than a flat structure. As there are a large number of layers, decisions are generally made by the senior management.
What is a centralised structure?
The decision making process is undertaken by the leader at the top of the hierarchy.
What is a decentralised structure?
The decision making process is delegated and undertaken on a product basis.
What are the advantages of a centralised structure?
Decisions are quicker as there is no need to consult all areas or branches.
Strong leadership in the event of a crisis.
Less duplication of resources, which may reduce costs.
What are the disadvantages of a centralised structure?
Decisions are made without the benefit of local knowledge.
Lack of involvement in the decision making process is demotivating.
Experts in a region may be ignored, resulting in mistakes.
What are the advantages of decentralised structure?
Local regions are better informed for some decisions, as they will know local consumer needs and trends.
Being able to make decisions will motivate staff.
Decisions are made for individual areas rather than a standardised approach should lead to better decision making.
Less time is spent on arguing with specific branches.
What are the disadvantages of a decentralised structure?
Some decisions will be made with no overview for the business as a whole, as they are made at a regional level and may not be appropriate for the whole business.
Duplication of resources occurs, this will increase costs.
What is a Matrix organisational structure?
A matrix organisational structure is where employees with similar skills are put together to complete tasks or projects, with more than one manager supervising.
What is the value of having an organisational structure?
Having an organisational structure brings a sense of order to the business. It is then plain to see who is responsible for whom and who reports to whom.
Employees can see where it is possible for promotion.
The level of authority is easy to see from the chain of command.
What is organisational culture?
Organisational culture of a business reflects the values, attitudes and beliefs of a business. The culture of a business will influence the manner in which it operates.
How can the organisational culture of a business be seen?
The way it conducts business
The way it treats customers
If it shows concern to the local community
If it allows staff to be involved in the decision making process.
Why is communication important for a business?
Effective communication will ensure that the number of mistakes inside the business will be reduced.
If the communication is clear and effective then employees will feel a sense of involvement and belonging.
