Business Management - Organisational Structure

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  • Created by: Hafsa
  • Created on: 05-11-13 14:18
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  • Business Management
  • Organisational Structure
    • Tall organisational structures have many levels of heirchy and the span of control is narrow.
      • Advantages: Responsibility is sper
    • Flat organisational structures have fewer levels or heirarchy and have a wider span of control
    • Centralised organisational - when majority of the decisions are made at the higher levels of heirarchy then passed down the organisational structure.
    • Decentralised Organisatioal structure - delegate authority down the chain of command which redues the speed of decision making
    • Delayering is when you remove one layer of the heirarchy and still expecting staff to produce the same level of output
    • Downsizng is when you reduce costs to remain competative in the marketplace by having a firm close down or merge aspects of their opperation
    • Entrepreneurial structure is when major disisions are made by 1 or 2 people. If their was any risks or issues, it would be blamed on them
    • Hierarchy - refers to the management levels within the organisation
    • Span of control - measures the number of suborinates eporting directly to a manager
    • Lines of communication are the routes the messeges travel along
    • Delegation is when a manager entrusts tasks or deisions to staff below them in the heirarchy


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