AQA GCSE Business - Organisational Structures

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

• Delegation

• Responsibility

• Chain of Command

• Span of Control

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

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

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

Which of the following is the main advantage to a business of having a formal, internal organisational structure?

• Employees have clearly defined job roles and duties

• The layout of the organisation will be detailed on a map for new staff

• Every employee will report to at least two line managers

• Labour productivity will be lower

Which of the following best describes the term chain of command?

• Lines of authority in an organisation along which communication flows

• Passing authority to others

• A subordinate giving feedback to a superior

• The number of employees that directly report into a line manager

In which type of organisational structure would communication from the top of the organisation to the bottom layer of the organisation be the fastest?

• Tall

• Flat

• Hierarchical

• Regional

Which of the following best describes the term decentralisation?

• The business is organised into different functional areas

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

• The business is geographically widespread

• Junior managers are given authority to make important decisions

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 a disadvantage of centralisation?

• Decisions made may not be in line with the overall business aims

• Increased costs of training

• Inconsistent decision making across the organisation

• Low levels of motivation amongst junior managers