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PEOPLE IN
BUSINESS…read more

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improving
organisational
structures…read more

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Organisational structure: the
relationship between different
people and functions in an
organisation- both vertically and
horizontally.
· Organisation chart: a diagram
showing the lines of authority and
layers of hierarchy in a n
organisation
· Organisational hierarchy: the vertical
division of authority and
accountability in an organisation
· Levels of hierarchy: the number of
different supervisory and
management levels between the
shop floor and the chief executive in
an organisation.
· Span of control: the number of
subordinates whom a manager is
required to supervise directly.…read more

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An organisational chart…read more

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Features of a tall
structure
· Narrow spans of control
· There may be more
promotional opportunities
because the career ladder has
more rungs on it. However,
more layers mean more staff,
which in turn means higher
company overheads
· Less delegation might mean
less stress, but it could lead to
low morale and a lack of
commitment
· Narrow spans allow tight
control to be kept of the
organisation which might be
beneficial if factors such as
quality, safety or security are
crucial and where any mistake
will have serious consequences
· Important detail or
information may be lost in
reporting up through the levels
of the hierarchy and the chain
of command. An undesirable
gap may emerge between
what management intended
and what actually happens…read more

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