Unit 4-Human Resources Flashcards
What is an Internal Organisational Structure?
It is how a business is organised in terms of communication and decision-making. Identifies specific job roles and indicates who reports to whom and who is responsible for specific staff members.
Why might a business have internal organisational structures?
To ensure that it runs as efficiently as possible, all staff have clear responsibilities and can operate as productively as possible.
What is Span of Control?
The number of employees for whom a manager is responsible for. Should be no more than 6 people.
What is a chain of command?
In an organisational chart it shows the lines of authority within the business upon which communication passes.
What does Delegation mean?
When a manager or senior employee gives some of their work to a less senior employee, the manager or senior employee will be responsible if anything goes wrong.
What are the two types of organisational structures?
-Tall
-Flat
What is a Tall organisational structure?
It has many layers, has long chains of command and narrow spans of control which means managers can monitor the employees they are responsible for more closely.
What is a Flat organisational structure?
It has few layers, it has short chains of command and wide spans of control which means each manager has to manage many employee which can be difficult to manage employees effectively.
What is Delayering?
If a business is decreasing in size or aiming just to reduce costs, it may decide to take out a layer of management.
What are the advantages of delayering?
-Helps improve communication
-Reduces wage costs
-Decision-making should be quicker
What are the disadvantages of delayering?
-Employee motivation may fall, as staff will be expected to take on more responsibility
-Costs to train staff in new role
What does it mean if a business is centralised?
Businesses that are centralised keep their decision-making firmly at the top of the hierarchy, amongst the most senior management.
What are the advantages to a business of being centralised?
-Quicker to implement policies and practices for the whole business
-Decisions are taken for the benefit of the whole business.
What are the drawbacks of a business being centralised?
-Employees lack authority which may reduce motivation
-Communication can take a long time as their are many layers
What does it mean if a business is decentralised?
Decision-making is spread out to include more junior managers in the hierarchy, as well as specific stores. E.G Tesco
What are the benefits of a business being decentralised?
-Good way of training and developing junior management
-Improves staff motivation
-Changes can be made quickly
What are the drawbacks of a business being decentralised?
-Difficult to ensure consistent practices and policies
-Harder to control costs
What is recruitment and selection?
The process of identifying the need for a job, defining the requirements and advertising the position and choosing the employee.
What is a job analysis?
When a vacancy arises the organisation will need to decide whether the job is still required.
What is a job description?
A document that details the roles and responsibilities of the vacant position. Includes the job title, purpose of job and hours of work.
What is a person specification?
It lists the qualifications, experience, skills and attitudes needed for the job.
What is internal recruitment?
When a business fills a vacant job with an existing employee of the business.
What are the benefits of internal recruitment?
-Cheaper and can be quicker
-Candidate already knows a lot about the firm
-Bosses already know the candidate well
What are the drawbacks of internal recruitment?
-No new employees with new ideas
-Employees move will leave a vacancy to fill
