organisational design

• authority


  power or right to give orders, make decisions and enforce obedience
• chain of command 


  the amount of layers in the hierarchy and the sequence authority follows
• levels of responsibility 


  each layer of the hierarchy has a different level of responsibility
• span of control


  number of people a manage/team leader is responsible for
• delegation 


  passing work, responsibility, etc to others usually further down the hierarchy
• centralisation


  concentration of control under a single authority in a head office
• decentralisation 


  movement of departments of a large organisation away from a singular head office
• empowerment


  authority or power given to someone to do something
• delayering


  removing layers of the hierarchy
• layers of hierarchy 


  indicates who is responsible for who, different levels
• hierarchy organisational structure 


  lots of levels of command
• flat organisational structure 


  fewer layers in a businesses organisational structure
• matrix organisational structure 


  where teams report to more then one leader at the same time- not permanent
• geographical organisational strucrude


  each location has their own functio departments
• product organisational structure 


  when business is divided into the different products they sell
• functional organisational structure


  when business is divided into the different functions

  • e.g. marketing, HR, Finance, etc
• organisational design


  process of aligning the structure of an organisation with its objectives, with the aim of improving efficiency and effectiveness
• organisational design


  depends on

  • views and philosophy
  • need for different communication systems
  • industry of business
  • tradition of business
  • skills of workforce