Connect - Organisational Structures

Why do businesses have organisational structures?

• To set out how much each person gets paid within the organisation

• To set out clear roles and responsibilities for employees, so they can be productive

• To create revenue and keep up with competitors

What is hierarchy in business?

• The number of management levels in a business

• The number of staff reporting to a manager

• The span of control of a manager

What is the chain of command?

• The route a message travels along

• The path of authority along which instructions are passed

• Management levels in a business

In what kind of businesses do junior managers have the authority to take decisions?

• Centralised

• Decentralised

• Flat

Which organisational structure has very few layers of hierarchy?

• Centralised

• Decentralised

• Flat

What is removing a level of management in an organisation an example of?

• Delayering

• Decentralisation

• Discrimination

The number of staff reporting to Emma decreases. What does this mean?

• The business has a flatter structure

• Emma's span of control is increasing

• Emma's span of control is decreasing

Jane is the line manager of John. What does this mean for John?

• John is higher up the hierarchy than Jane

• John is higher up the chain of command than Jane

• John has less authority than Jane

Explain why a large organisation might choose to decentralise their business

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