IGCSE Business Studies - 2.2 Organisation and Management Quiz

What is an organizational structure?

• The levels of management and division of responsibilities in an organisation

• The methods a business uses to motivate employees

• The process of decision-making within a business

• The financial structure of a business

What is the purpose of an organization chart?

• To determine how employees are paid

• To show the structure of a business and the relationship between employees

• To set financial objectives for the business

• To identify the skills of each employee

Which term refers to the number of subordinates directly reporting to a manager?

• Chain of command

• Span of control

• Delegation

• Hierarchy

What is delegation in management?

• Giving more authority to employees to perform particular tasks

• Reducing the workload of managers

• Dismissing employees

• Passing responsibility on to subordinates

In a tall organizational structure:

• There are many levels of hierarchy and an narrow span of control

• There are few levels of hierarchy and a wide span of control

• There are no levels of hierarchy

• All employees report directly to the CEO

What is a flat organizational structure?

• A structure with a small number of levels and a wide span of control

• A structure with many levels of hierarchy

• A structure where employees have no direct manager

• A structure used only by large multinational companies

What is the chain of command?

• The number of employees each manager is responsible for

• The line of authority from top management to the lowest level in the organization

• The process of promoting employees

• The method used to pay employees

Which of the following is a characteristic of a wide span of control?

• Fewer levels of management

• More levels of management

• Decreased delegation

• A longer chain of command

Which of the following is a key advantage of delegation for managers?

• It reduces the need for a chain of command

• It increases the manager’s control over employees

• It allows managers to focus on more strategic tasks

• It increases the number of employees reporting directly to them

A key disadvantage of a tall organizational structure is:

• Long chain of command can slow down decision-making

• Managers have too few subordinates to control

• It leads to more delegation

• Employees have too much autonomy