Theme 1: Topic 6

?
  • Created by: psinfield
  • Created on: 20-01-19 13:48
What is organisational design?
Creating the formal hierarchy that establishes who is answerable to whom throughout the organisation
1 of 19
What is a centralised structure?
Where the decision making and control remains in the hands of the top management level
2 of 19
What is a decentralised structure?
Decision making is delegated to workers lower down in the organisation
3 of 19
What are the advantages of centralised structure?
Consistency for customers
4 of 19
What are the disadvantages of centralised structure?
Restricting for local managers, could be demotivating
5 of 19
What are the advantages of decentralised structure?
Staff are more motivated as they make more decisions, shops could be seen as more personal to local shoppers
6 of 19
What are the disadvantages of decentralised structure?
No consistency for customers
7 of 19
What are levels of hierarchy?
The number of layers of authority within and organisation
8 of 19
What is the chain of command?
Shows how authority is organised through various levels of hierarchy
9 of 19
What is the span of control?
The number of subordinates reporting directly to a manager, depends on experience of delegator/delegatee, size of business, nature of the business, and whether its centralised or decentralised
10 of 19
What are the advantages of tall structures?
Less people to oversee, lots of support, more opportunities of promotion
11 of 19
What are the disadvantages of tall structures?
Communication and control issues, costs more, over supervision (intimidating and not motivating)
12 of 19
What are the advantages of flat structures?
Better for communication, less cost, more room for independence, more motivation
13 of 19
What are the disadvantages of flat structures?
Less enhanced supervision, more people to oversee, less productive
14 of 19
What are matrix structures?
One in which teams of employees with appropriate skills are assembled to carry out particular tasks, employees are often from different functional areas to bring their expertise
15 of 19
What are the advantages of matrix structures?
Working in teams can motivate staff, quicker and better decisions made as specialists bring their expertise
16 of 19
What are the disadvantages of matrix structures?
Workers have 2 managers to report to causing confusion, team decisions can take longer due to differing opinions
17 of 19
What is delayering?
Removing one or more layers of hierarchy
18 of 19
What is delegation?
Passing authority down the chain of command to a subordinate
19 of 19

Other cards in this set

Card 2

Front

What is a centralised structure?

Back

Where the decision making and control remains in the hands of the top management level

Card 3

Front

What is a decentralised structure?

Back

Preview of the front of card 3

Card 4

Front

What are the advantages of centralised structure?

Back

Preview of the front of card 4

Card 5

Front

What are the disadvantages of centralised structure?

Back

Preview of the front of card 5
View more cards

Comments

No comments have yet been made

Similar Business Studies resources:

See all Business Studies resources »See all Organisational design resources »