3.4.1 Organisational structures

The passing of authority from one level to another is called:

• Delegation

• Responsibility

• Chain of command

• Span of control

A flat organisational structure will usually have:

• Rigid rules

• A more flexible approach to decision making

• Many levels in the hierarchy

• More promotional opportunities for employees

Which of the following is an advantage to a business of delayering its organisational structure?

• The duties of employees may be reduced

• Spans of control will become narrower

• Promotional opportunities will improve

• Staff costs will be reduced in the long term

The management style that is most commonly used in a tall structure is:

• Autocratic

• Laissez-faire

• Democrartic

• Hands on

A line manager will usually have more effective communication links with subordinates when:

• A narrow span of control exists in the organisational structure

• A wide span of control exists in the organisational structure

• Each line manager is responsible for a large number of temporary staff

• Job roles are not clearly defined

To which of the following job roles would a group of factory shop floor workers usually report?

• The Chief Executive Officer

• A director

• An operative

• A team leader

Which of the following job roles is most likely to make routine, day-to-day decisions about the staffing levels required in the frozen food section of a supermarket?

• The area manager

• The store manager

• A section manager

• A sales assistant

Which of the following statements best describes the term span of control?

• The formal channels of communication in an organisation

• Removal of a level in an organisational structure

• The number of levels in an organisational hierarchy

• The number of people that directly report to a line manager

In which of the following situations would a tall organisational structure be most appropriate?

• An established sole trader organisation with no additional employees

• Where the business needs to make quick decisions involving all staff

• Where managers wish to keep a tight control over their staff

• A new business start-up with five staff members

Which of the following is a key feature of centralisation?

• Major decisions are made by a small number of senior staff

• Major decisions are made by junior staff

• Delegation is actively used in the organisation

• A democratic management style exists