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3.4 - 16 - Organisational Structure Flashcards | StudBud
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3.4 - 16 - Organisational Structure
3.4 - 16 - Organisational Structure
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Unit 3.4 - topic 16 - Organisational Structure - GCSE Business Studies
Flashcards
15 cards
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Questions
15
Answers
1
What happens when a business delayers?
Its premises becomes 4 inches smaller
Communication gets worse
Reduce costs
Efficiency decreases
2
When a business expands, chain of command _____
Decreases
Stays the same
Increases
3
What is a disadvantage to having a tall organisational structure?
Communication occurs quicker
More layers = more staff = higher costs
Higher variable costs
You have to increase the height of your premises
4
What is Organisation?
The way a business is structured to achieve objectives
Order of command
Assistance and advice provided by a company to customers
Workers in a heirarchy who work under a senior worker
5
What is a benefit of making
centralised decisions
?
Increased control and standardisation
Decisions can be slow
Decisions are up to someone who knows their local customers
Loss of control
6
What is a way in which a business can NOT be organised?
Regional divisons
Product divisions
Delayering
Functional areas such as marketing or finance
7
What is Span of Control?
The amount of subordinates a line manager is responsible for
Where instructions are passed from one person to another
Assistance and advice provided by a company to customers
The amount of subordinates a line manager is responsible for
8
What is
empowerment
?
Giving employees power to make decisions.
Workers in a heirarchy who work under a senior worker
Regional employees
Less levels of communication for decisions to pass through
9
What is Chain of Command?
Where instructions are passed from one person to another
The amount of subordinates a line manager is responsible for
Assistance and advice provided by a company to customers
Management of large amounts of money
10
What is a Subordinate?
A type of business organisation
Line Manager
Passing down authority for work to another worker below
Workers in a heirarchy working under a senior worker
11
What is a Hierarchy?
When a business downsizes
Management of large amounts of money
Structure of different levels of authority
Cost of borrowing varies across different sources
12
Who makes Decentralised decisions?
Subordinates
Senior managers
Regional employees
The tax payer
13
What is a disadvantage of making Decentralised decisions?
Increased control and standardisation
Loss of control
Decisions are up to someone who knows local customers
Decisions can be slow
14
What is a drawback of a business having a wide span of control?
High quality staff should exist
Managers will have less time for planning
Less levels of communication for decisions to pass through
Less managers are required and wages are saved
15
Who makes Centralised decisions?
regional employees
Senior managers
Subordinates
The tax payer
