Internal organisational structures

What are tall organisational structures?

↳ Long chain of command with multiple layers

↳ Each manager how a narrow span of control (more effective as you can monitor employees closely)

What is short organisational structures?

↳ Short chain of command

↳ Each manager has a wide span of control (difficult to manage effectively)

Why is communication worse and slower in a tall organisational structure?

↳ Harder to use verbal communication

↳ Lots of managers might be needed

↳ Discussions might be needed so online communication tools such (eg-emails) are less effective

What is centralised organisations?

↳ Major decisions are made at the person at the top of the hierachy

What are advantages of centralised organisation?

↳ Manager has lots of experience

↳ Clear authority

↳ Reduced costs of operation and better efficiency

What are disadvantages of centralised organisation?

↳ Slow down decision making

↳ Stress

↳ Reduced employee motivation

What is decentralised organisations?

↳ Decisions are shared out

What are advantages of decentralised organisation?

↳ Multiple experts make decicions'

↳ Quicker decision making

↳ Manager get’s to focus on long term goals

What are disadvantages of decentralised organisation?

↳ Harder to co-ordinate decisions

↳ Higher operational costs

↳ Harder to maintain company culture and consistency

What are advantages of function organisation?

↳ Specialist concentrate on their specific job

↳ More efficient use of resources

↳ Better performance measurement and accountability

What are disadvantages of function organisation?

↳ Departments might not work well together

↳ Limited understanding of overall organizational goals

↳ Communication barriers between departments

What are advantages of product organisation?

↳ Focus on product lines

↳ Better customer service and satisfaction

↳ Increased responsiveness to market changes

What are disadvantages of product organisation?

↳ Higher operational costs due to duplication of resources (wasteful)
↳ Poor communication

Hard to ensure consistancy

What are advantages of region organisation?

↳ Day to day contol is easier

↳ Improved customer relationships and local market understanding

↳ Faster decision-making and adaptability to regional needs.

What are disadvantages of region organisation?

↳ Coordination challenges between regions

↳ Wasteful duplication of resources

↳ Limited sharing of best practices across regions