Business Key Terms

the route through which authority is passed down through an organization.

• Chain of command

• Span of control

• Delayering

• Hierarchy

the number of levels in an organizational structure.

• Chain of command

• Span of control

• Delayering

• Hierarchy

the number of subordinates reporting to each supervisor.

• Chain of command

• Span of control

• Delayering

• Subordinate

an individual who checks and controls the work of subordinates.

• Manager

• Supervisor

• CEO

• Directors

an individual who is in charge of a certain group of tasks, or a certain area or department of business.

• Manager

• Supervisor

• CEO

• Directors

the most senior manager responsible for the overall performance and success of a company.

• Manager

• Supervisor

• CEO

• Directors

a leadership style where the leader makes all the decisions.

• Laissez-faire leadership

• Subordinate

• Trade Union

• Autocratic leadership

a leadership style where most of the decisions are left to the employees.

• Autocratic leadership

• Delegation

• Centralized organisation

• Laissez-faire leadership

all the important decision making power is held at head office, or the centre

• Trade Union

• Centralized organisation

• Annual General Meeting

• Decentralized organisation

one where the decision-making powers are passed down the organisation to lower levels.

• Trade Union

• Centralized organisation

• Annual General Meeting

• Decentralized organisation