Y8 Business Studies - C9 Organisation Structure

What does organisational structure refer to?

• Location of the business

• Levels of management and division of responsibilities within a business

• Types of products a business sells

• Number of employees in a business

What is the purpose of a job description?

• To organize company events

• To advertise job vacancies

• To inform people of their expected tasks

• To provide employee benefits

What is delegation in a business context?

• Promoting subordinates to higher positions

• Ignoring the work of subordinates

• Giving a subordinate the responsibility and authority to do a task

• Taking over all tasks from subordinates

What is a benefit of delegation for managers?

• Less responsibility

• More time for important tasks

• Increased chances of making mistakes

• Decreased job satisfaction

Why do some managers avoid delegation?

• Fear of employee failure

• Desire for total control

• Lack of trust in subordinates

• Preference for delegation

What does an organisational chart show?

• Marketing strategies

• Employee personal information

• Company financial data

• Clear structure of a company

What is a key feature of an organisational chart?

• Hierarchy with different levels of authority

• Random assignment of tasks

• No chain of command

• No departmental organization

Why are functional departments used in businesses?

• To create more efficiency with specialists

• To increase conflicts between departments

• To reduce loyalty among employees

• To eliminate line managers

What is decentralisation in a business?

• Delegating important decisions to lower divisions

• Promoting only top-level managers

• Centralizing all decision-making

• Ignoring lower-level management

What is an advantage of a decentralised structure?

• Decisions made more quickly

• Less trust among managers

• Slower adaptation to change

• More central control