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Organisational Structure
The way in which the company is organised and the consideration of its internal
workings in an attempt to find an efficient operational practice
Why it is importantProvides accountability (who is answerable for a specific job) and responsibility (who
is in charge of whom)

Delegation
Extent a superior passes control and authority down the hierarchy to subordinates
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Can motivate and develop employees while saving time for managers
May lead to confusion and inadequacy (in case of failure)
This includes accountability (for the employee) but responsibility still stays
with higher authority (the line manager)

Span of Control
Refers to the number of people who are directly accountable to a manager, and it
affects whether an organisation is wide/flat or narrow/tall
Span of control depends on - (MOST)
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Manager’s experience, competence, traits
Organizational Culture
Skills and dynamics of subordinates (better team, less people)
Task (urgent tasks, narrower span)

Wide/Flat Organisations
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Direct communication between different levels (fast and accurate)
Cost control (less managers needed)
Delegation is more important
Longer decision making
Eliminate feeling of alienation of workers from senior management

Narrow/Tall Organisations
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Easier to control smaller amount of subordinates
May be more productive/efficient (team cohesiveness and specialization)
Fast communication within team
More costly (more managers needed)
More motivation for employees – many promotion opportunities

Levels of Hierarchy
Hierarchy refers to the organisational structure based on a ranking system
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Businesses with few levels of hierarchy have shorter chains of
command
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(Downsizing is when the size of the core workforce is reduced)

Advantages:
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Reduce costs
Improve speed of communication
Encourage delegation

Disadvantages:
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Can cause job insecurity, demotion, redundancy
Overloading of employees
Larger teams take decisions slower

Bureaucracy
Execution of tasks that are governed by official administrative and formal rules of an
organisation
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Centralised Structures:
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Executive board handles major decision making of the company
Majority of decision making by minority (senior mgmt
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It
shows the different departments within a business, chain of command, span of
control, levels of hierarchy and channels of communication
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Matrix structure
is a flexible organization structure of representatives from different departments
temporarily working together on a particular project
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3 main groups of staff-

Core Staff
Full-time professionals such as mangers and technicians who help in the day to day
functioning of the firm
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Peripheral Workers/ Contingent Workforce
These people are employed as and when needed
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Larger
businesses have more peripheral workers
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They are hired for their expertise
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freelance workers, advertising
agencies
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Mobile Devices
Such as smartphones for faster and more effective communication

Video Conferencing
Combination of mobile, computer and video technology

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