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Business - Theme 2 > Topic 2.5 > Flashcards

Topic 2.5 Flashcards

(52 cards)

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1
Q

Organisational structure

A

Refers to the levels of hierarchy within a business

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2
Q

Hierarchical/tall organisational structure

A
  • Many levels of hierarchy
  • Narrow span of control
  • Long communication flow
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3
Q

Flat organisational structure

A
  • Few levels of hierarchy
  • Wide span of control
  • Short communication flow
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4
Q

Tall structure advantages and disadvantages

A

Advantages:
- Clear line of authority
- Managers control fewer people
- More promotional opportunities

Disadvantages:
- Slow communication
- Slow decision making process
- More managers required

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5
Q

Flat structure advantages and disadvantages

A

Advantages:
- Fast communication
- Workers have a wider job role
- Lower managers needed -> independent staff

Disadvantages:
- Blurred lines of authority
- Managers have wide span of control
- Lack of opportunities

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6
Q

Chain of command

A

The chain down which orders are passed

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7
Q

Span of control

A

The number of staff a manager is directly responsible for

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8
Q

Delegation

A

Passing down authority for work to another worker further down the hierarchy

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9
Q

Authority

A

The power to give orders

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10
Q

Hierarchy

A

Levels of authority in an organisation

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11
Q

Delayering

A

Removing levels of management in the hierarchy

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12
Q

Centralisation

A

Decisions are made in one place such as a head office

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13
Q

Centralisation advantages

A
  • Consistency across the business
  • Policies will be uniformed across all branches
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14
Q

Centralisation disadvantages

A
  • It can demotivate employees
  • A standardised approach may not work in all business locations
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15
Q

Decentralisation

A

Decision making is spread across the organisation, different branches or geographically

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16
Q

Decentralisation advantages

A
  • Allowing managers to make decisions to suit their local area and customers
  • Quicker than competitors to make changes
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17
Q

Decentralisation disadvantages

A
  • Consistency is not achieved across the business
  • Managers can make ineffective decisions -> lower sales
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18
Q

Communication

A

Transferring information from one part of a business to another
Effective when message is sent, received and understood

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19
Q

Methods of communication

A

Internal: e-mail, conference calls, team briefing sessions, gossip

External: press releases, marketing materials

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20
Q

Insufficient communication

A
  • Not enough communication or poor-quality communication
  • Time and money wasted due to miscommunication e.g. a task may be done twice
  • Demotivate staff as they would feel frustrated -> decrease productivity
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21
Q

Excessive communication

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A
  • Too much communication
  • Often cause employees to become confused or feel overwhelmed
  • Lead to demotivated staff and inefficiency
22
Q

Barriers to effective communication

Study These Flashcards
A
  • Use of jargon
  • Poor explanations
  • Personalities: employees feel uncomfortable communicating with other people
23
Q

Types of working: Full time

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A
  • Works around 35 hours a week
  • Fixed contract
  • Full - time staff are good if there is enough work for them to do
  • Expensive - will have to pay workers on a fixed cost
24
Q

Types of working: Part time

Study These Flashcards
A
  • Less than 35 hours a week
  • More financial sense if business gets busy seasonally
  • Workers are less committed
25
Types of working: Flexible
- Employees are given a set number of hours to work in a period of time but get to choose when they work - higher staff retention - Communication can be difficult - Zero - hour contracts: employer doesn't have to offer any work (firms with fluctuation in demands)
26
Types of working: Permanent
- A permanent contract is one that has no fixed end date, they stay until redundant or choose to leave - Workers are committed long time - Harder to reduce staff numbers
27
Types of working: Temporary
- The worker is only employed for a fixed period - Hire more staff when demand is high - Have to train new workers
28
Types of working: Freelance
- A self-employed person is recruited to work on a specific project - Employee people with particular skills - Freelancer's fee is expensive
29
Impact of technology: Efficiency
- Everything in a business can be managed more efficiently with well-designed software - Communication has improved too with online documentation, email...
30
Impact of technology: Remote working
- Remote working means that employees have more flexibility: No commute, fit work around commitments - Work - home balance may be tipped towards work -> employees find it hard to switch off
31
Recruitment process
Business identifies the need to recruit -> They write a job description: a summary of the duties and responsibilities of the job -> They write a person specification: experience, qualifications and skills wanted -> advertise and interview candidates -> Application forms are filled by a potential employees -> CV is a document that has a person's contact details, qualifications and other relevant info. Submitted with the application.
32
Internal recruitment
Recruiting current employees into new roles - Cheaper to recruit and advertise roles internally - A lack of fresh ideas in the business
33
External recruitment
Recruiting from outside the business - Fresh enthusiasm and skills - Expensive to recruit
34
Formal training
Employees attend specific training courses to improve their skills - May be provided by external specialist companies - Employees may stop working for trying time -> productivity falls
35
Informal training
Employees learn skills 'on the job' overtime - Cheaper, less time consuming - Other employees are disrupted from their work
36
Ongoing training
Training that takes place throughout time of employment - Up to date and continues to develop skills - Constant disruption
37
Self-learning
Learning yourself without a formal setting - Cheaper - Freedom to pick and choose what skills to develop
38
Performance review
Formal meeting between the employees and their supervisor about the job - They give feedback, set new targets and training needs for the employee to keep developing - Recognises high performing employees
39
Target setting
The targets are agreeable to the supervisor and employee - May be rewarded with higher pay/ promotion
40
Benefits or training and development
- Make staff more productive - Help staff stay up to date with using new technology - Motivated: firm is investing in employees -> staff feel like they are valued -> increase in retention
41
Motivation
The desire to complete tasks in a workplace
42
Motivation: Attracting employees
- If employees see a positive, motivated workplace, they wold want to work there
43
Motivation: Retaining employees
- If employees are not motivated they will leave - Wasting time and money hiring new employees to replace
44
Motivation: Productivity
- Workers who are motivated may work harder and be more creative -> increase in output per worker
45
Financial methods: Remuneration
The money employees are paid in return for work e.g. salary -> pay rises are very motivational
46
Financial methods: Bonuses
Given out when certain performance targets have been met
47
Financial methods: Commission
Employee receives a reward for every sale made -> earning additional money is very motivating
48
Financial methods: Promotion
Employee moving to a position further up in the hierarchy -> often means higher wage and more responsibility -> feel valued
49
Financial methods: fringe benefits
Known as perks e.g. company car, private healthcare, free meals -> saving employees money
50
Non - financial methods: Job rotation
Employees are rotated between different jobs to avoid repetition PRO: easy to find another employee to cover CON: training costs are higher
51
Non - financial methods: Job enrichment
Enhancing job roles with more challenge and responsibility PRO: increases feeling of achievement -> feel valued CON: not all jobs can be enriched (not effective)
52
Non - financial methods: Autonomy
Allowing employees to make their own decisions PRO: use their own skills -> development of skills, trusted by company CON: some may not be capable of making viable decisions

Business - Theme 2 (5 decks)

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