Unit 4

Created by

Chloe Smedley

Cards (72)

What is an organisational structure? 
The way a business arranges itself to carry out its activities.
What is an organisational chart?
A plan that shows all the roles and relationships between all the employees in a business.
What is a line manager?
An employees immediate boss.
What does authority mean?
The power to control others and to make decisions.
What is the span of control?
The number of employees managed directly by another employee.
What are levels of hierarchy?
The layers of authority within a business.
What is the chain of command?
The line of authority within a business along which communication passes.
What is delayering?
The removal of one or more levels of hierarchy from a business’s organisational structure.
What is delegation?
The passing down of authority to more junior employees.
What is a tall organisational structure?
Many levels of hierarchy, narrow span of control and a lengthy chain of command.
What is a flat organisational structure?
Few levels of hierarchy, wide span of control and a short chain of command.
What are management styles?
The approaches used by managers within an organisation to make the most productive use of their workforces.
What factors influence the decision to use a tall or flat organisational structure?
The skills of the workforce
The management styles used in the business
The business’s competitive environment
What types of communication take place within a business’s organisational structure:
Downward communication
Upward communication
Horizontal communication
What is downward communication?
Communication from senior employees to more junior ones.
What is upward communication?
Communication from junior employees to their line managers and more senior employees.
What is horizontal communication?
Communication which takes place at the same level in the organisation for example between managers.
What affects do flat organisational structures have on communication?
Downward and upward communication may be easier as there are less levels of hierarchy for messages to pass through.
Quality of communication may suffer as line managers are responsible for a larger number of people which may result in more emails and fewer meetings.
Horizontal communication may be difficult as there are more people on each level of hierarchy.
What effects do tall organisational structures have on communication?
There may be problems with information being passes through the levels such as messages becoming unclear or not being passed on.
The narrow span of control can lead to good communication between line managers and subordinates as the manager is responsible for less employees.
What is decentralisation?
Where employees working in all areas of the business can take decisions.
Advantages of decentralisation:
Reduces pressure on the senior managers
Motivate employees
Lead to better decisions
Faster decision making
Challenges of decentralisation:
Training may be needed
Good communication is very important
All employees have to have a full understanding of the whole business‘s aims and goals not just their branch
What is centralisation? 
A small number of senior managers take all the important decisions.
Reasons businesses need to recruit employees:
Starting a new business
Expanding a business
Current employees leave
Why is it important to recruit the right people and keep them?
If the wrong people are employed the business may lose customers due to poor customer service or poor quality service or goods.
Keeping employees is important as they would have to spend more time and money recruiting new people.
What is staff retention?
The proportion of a business’s workforce who remain with the business over a period of time.
What is recruitment?
The process of finding and appointing new employees.
What is selection?
Choosing the right employees from among those who have applied for a job.
What is internal recruitment?
When a job vacancy is filled from within the existing workforce.
Benefits of internal recruitment:
Candidates will have experience of the business
Candidates will know other people working within the business
Provides employees with the chance of promotion which may motivate them
Cheaper
Drawbacks of internal recruitment:
Pay for training if employees don’t have the right skills
Only a limited number of employees to choose from who may not have the exact skills the business is looking for
What is external recruitment?
Filling a job vacancy with a suitable person who is not already employed by the business.
Benefits of external recruitment:
Managers will have a wide range of candidate meaning they can choose a higher quality candidate.
They could bring fresh ideas and enthusiasm to the business.
The new employees would have the right skills, training existing employees can take time.
Stages of the recruitment process:
1.Business needs new employees
2.Job description and person specifications are drawn up
3.Job positions are advertised internally or externally
4.Applications are received and kept until the closing date
What is a job analysis?
The collection and interpretation of information about a job.
What is a job description?
A job description states information about the duties and tasks that make up a particular job.
What does a job description usually include?
The title of the job
The hours and place of work
The main tasks that make up the job
The employees the person will be responsible for
What is a person specification?
A person specification sets out the qualifications and skills that are required by an employee to fill a particular job.
What might a specification include?
Educational qualifications
Vocational or professional qualifications
Ability to work as part of a team
Experience of similar jobs
What might a job advertisement include?
The title of the job
Some information about the business
The location of the job
Working hours expected and holidays offered
Pay rates and other financial benefits such as health care and pension
How to apply and closing dates for applications