structures

Question 1

advantages of a tall structure

Answer 1

• decision making is shared throughout the business
• workers are given specific roles and can specialise
• suits public sector firms where they are highly accountable to the public and govt
• promotion is a clear option for staff which is motivating

Question 1

disadvantages of a tall structure

Answer 1

• communication is slow as decisions take a long time to be approved as long chain of command
• inflexible as doesn’t respond to change quickly
• organisation is not responsive to the latest trends
• information takes long to pass up the chart and so decisions are ill-informed

Question 2

advantages of a flat structure

Answer 2

• short chain of command so decisions are made quicker
• communication is quicker with fewer levels of authority
• the manager can communicate more quickly to a greater number of staff
• workers have a lot of responsibility to make decisions which can be motivating

Question 3

disadvantages of a flat structure

Answer 3

• is a lot of pressure on the manager who may get stressed
• can be difficult to get time with the manager so workers may feel unsure of their decisions
• fewer managers means workers may feel frustrated at the lack of promotional opportunities

Question 4

delayering

Answer 4

this is where the firm removes a layer of authority from the organisation chart

Question 5

delayering advantages

Answer 5

• communication is improved as there are fewer layer of authority to go through
• staff are given more responsibility and so are empowered
• costs are cut as there are fewer salaries to pay which means money can be invested elsewhere
• allows a firm to respond more quickly to market changes which means they can exploit new trends

Question 6

delayering disadvantages

Answer 6

• managers have a wider span of control and have to take on more responsibility so more stress
• staff have to be made redundant which can lower the remaining workers morale
• there are fewer promotional opportunities which can result in a low retention rate for good staff