business: #7

organisation & management

organisational structure

the levels of management and division of responsibilities within an organisation

hierachy

levels of management in any organisation, from highest to lowest

level of hierachy

managers/supervisors/other employees who are given a similar level of responsibility in an organisation

chain of command

the structure in an organisation which allows instructions to be passed down from senior to lower levels of management

organisation chart

diagram that outlines the internal management structure

advantages of an organisation chart

1. shows how everybody is linked together

2. individuals can see own positions (authority levels)

3. relationship between different departments

4. gives a sense of belonging

span of control

number of subordinates working directly under a manager

delayering

removing a whole level of management

advantages of tall structure, narrow span of control, long chain of command

1. closer supervision

2. more support & guidance for employees

3. more promotion/job positions

4. management is focused on specific area (departments)

disadvantages of wide span of control

1. difficult to supervise many employees

2. less control over staff

3. employees need to be trained to take on more responsibilities

advantages of flat structure, wide span of control, short chain of command

1. quicker communication

2. better manager-employee relationships

3. employees have more responsibility

4. faster decision-making