Improving organisational design Flashcards
(10 cards)
What is an organisational chart?
A diagram that shows the hierarchy of the organisation and says who has authority and responsibility.
What are tall structures?
Structures that have a long chain of command and a narrow span of control.
What are flat structures?
Structures with fewer levels of hierarchy and a wide span of control.
How is communication different between tall and flat structures?
Communication is slow in tall structures and fast in flat structures.
What is span of control?
The number of people a manager is responsible for.
What is delayering with a pro and con?
Removing parts of the hierarchy.
Lowers costs but employees may be stressed and overworked.
What is a centralised structure?
Where decisions are made by senior managers.
What is a pro and con of centralised structures?
Experienced people make decisions
Excluding employees demotivates them
What is a decentralised structure?
Where decision-making is spread to lower levels of the business.
What is a pro and con of decentralised structures?
Involvement motivates employees
Junior employees are too inexperienced to make decisions
