Component 1-29. organisational design

definition for organisation structure

the way in which a business is arranged to carry out its activities

definition for organisation chart

diagrams representing the job titles and formal patterns of authority and responsibility within an organisation

What is a hierarchical structure

the most commonly used structure, the order of levels of management of a business, from lowest to highest

what is delegation

the passing of the authority but not responsibility down the organisations structure

what is span of control

the number of subordinates directly working under a superior

what is authority

the right/power to carry out a task or an activity

what is empowerment

to give authority to an employee over how to compete their job and objectives

what is delayering

removing layers of management from the hierarchy of an organisation. this makes the structure flatter and probably increases the span of control

what is decentralisation

decisions making power is spread throughout the organisation

what is centralisation

where decision making responsibility and central activities of an organisation are completed in one place usually at the top of the hierarchy and the decisions are passed down

what is chain of command

the way authority and power are passed down in a business e.g. who manages who

what is subordinate

someone who works under a manager