chpt2 bt acca version 1

Organisational structure

The way in which work is divided and allocated within an organisation, outlining roles and responsibilities.

Entrepreneurial structure

A structure built around the owner-manager, typical of small businesses in their early stages.

Functional/departmental structure

An organisational structure that groups employees undertaking similar tasks into departments.

Divisional/product structure

A structure where an organisation is split into several divisions, each overseeing a product, geographic section, or customer type.

Geographically structured

A structure where each division of an organisation covers a specific geographic location.

Matrix structure

A combination of functional and divisional structures requiring dual reporting to different managers.

Boundaryless structure

An unstructured organisational design that lacks formal departments, focusing on flexibility.

Hollow organisation

An organisation that outsources non-core functions while keeping core functions in-house.

Virtual organisation

An organisation that operates primarily as a network of contracts, with few functions retained internally.

Modular organisation

An organisation that breaks down the manufacturing process into components, which can be outsourced.

Scalar chain

The line of authority traced up or down the chain of command within an organisation.

Span of control

The number of people directly responsible to a manager, influenced by various factors including work nature and personnel type.