Paper 2

• Span of control


  how many people one person manages
• Chain of command


  flow of information and authority through the business
• delegation


  giving a task/job to someone
• Centralised


  all decisions are made by the head office/senior managers
• decentralised


  delegate authority down the chain of command
• subordinate


  an employee who is lower in rank or job
• organisational structure


  the way that employees and their job roles are organised in a business. Shown on a hierarchy diagram
• why have an organisational structure?

  makes communication easier across the business

  employees will be more aware of their job roles and what they need to do
• hierarchical structure


  has many levels of management. Also known as a tall structure
• Advantages of a hierarchical structure

  lots of layers means opportunities for promotion. Small span of control between managers means a closer working environment.
• Disadvantages of a hierarchical structure

  Communications between employees and directors can be slow. Expensive as there are more managers/supervisors- who are on higher wages
• flat structure

  few levels of management
• Advantages of a flat structure

  short chain of command. Less employees means lower costs (less salaries)
• disadvantages of a flat structure

  staff can become overworked. Less supervision due to wide span of control- can cause stress and demotivation
• communication and methods

  how information is passed through a business.

  Email, meetings, presentations
• impact of insufficient or excessive communication on efficiency- popular 3 marker

  Slows down work because emails may have to be clarified as they are too complex/ speeches that do not contain the right information. This will lead to a poor quality of work and a fall in productivity.
• effects of poor communication- on the individual

  poor performance

  frustration due to stress

  Low employee motivation
• effects of poor communication- on the business

  Increased costs

  Lower productivity

  High staff turnover
• what is the impact of insufficient or excessive commmunication on motivation? - popular 3 marker

  communication skills are poor > employees lack enthusiasm > demotivated workforce > poor quality of work, high staff turnover > loss of reputation
• Barriers to communication

  Use of jargon

  Unclear message

  Wrong channel

  Poor timing
• Full time

  usually working 35 hours or more a week
• Part time

  working less than 35 hours a week

  Should get same benefits as full time on a "pro rota" basis
• Flexible


  Suits employees needs

  Zero hour contract- not guaranteed work

  Legal right to request flexible working but employer doesn't have to agree
• Permanent


  Full time, salaried for the minimum of 36 hours

  Employed until you resign, are fired or made redundant
• Temporary


  Employer may only need extra staff to cover a seasonal period
• Freelance

  Self employed

  work on a contract to contract basis

  sets own wages

  hired by companies for certain jobs
• Impact of technology on working- efficiency (popular 3/6 marker)

  Technology helps organise work environment. Everything from payroll to stock control is managed more efficiently with well-desgined software in place. Documents are easier to write and edit on a computer. Phone systems include technology for 3 way or 4 way calling to save time. Video or audio conference calls save plane fares and hotel costs if group calls are productive.
• Impact of technology on working- remote work

  Employees can collaborate on projects from different offices > reduced costs and travel time > increases productivity
• Advantages of working from home

  Smaller office spaces > reduced fixed costs (Business)

  Less stress from travelling and tension with other staff (Employee)

  Can fit work around family > gives good work-life balance (Employee)
• Disadvantages of working from home

  May find it hard to switch off as they are surrounded by work (Employee)

  May work more hours as they lose track of time > Increased stress (Employee)

  Needs lots of self discipline to avoid distractions (Employee)
• Directors - PLC and LTD only

  -Top of the hierarchy

  -Make strategic decisions

  -has responsibility to run a business so it is successful for all stakeholders
• Senior Managers

  -Below the directors

  -Deal with tactical day to day decisions for the business

  -Help the business to meet objectives set by the directors
• Supervisors/team leaders

  -Monitors and regulates employees in their performance of delegated tasks

  -Authorised to do the discipling, rewarding regarding the employees in their departments
• operational staff


  -Take care of the day to day tasks of running the business

  -regular staff; mechanics, chefs, servers
• Support staff

  -carry out a specific role which helps the business to run or function

  -assist operational staff so that they can do their jobs
• Recruitment process

  Need to recruit more staff > Business writes a job description > Business writes a person specification > Business advertises the jobs and interviews the candidates
• person specification

  Outlines the:

  • personal qualities and skills the business is looking for
  • Qualifications
  • work experience
• Job description

  describes the duties and responsibilities of the role. Also describes what the new employee would be doing on a day to day basis
• Application form

  allows business to compare candidates from their writing skills and style
• CV

  summary of the applicants working life to date. Some businesses may ask to see a video CV