Zusammenfassung der Ressource
1) Types of
organisational
structure
- Tall Structure
- - Has many levels of management.
- There is a long chain of command
running from the top of the
organisation.
- Advantages
- Narrow span of control which
means managers have a small
number of employees under
their control (close supervision)
- Clear progression and
promotion ladder.
- The function of each layer will
be clear and distinct. Clear lines
of responsibility and control
- Disadvantages
- The freedom of
responsibility of
employees is restricted.
- Decision making could be slowed
as approval may be needed from
each level.
- High management costs
because managers are
generally paid more than
subordinates.
- Flat Structure
- Relatively few layers of
management. Chain of command is
shorter and span of control is wider.
- Advantages
- Greater communication between managers and
subordinates
- Better team spirit as fewer management layers
increase interaction between employees at all
layers.
- Less bureaucracy and easier
decision making.
- Fewer layers reduces
costs.
- Disadvantages
- Employees may have more than one
manager as there are a number of
managers at one level.
- May hinder growth of the organisation, especially
is managers have wide span of control.
- Structure limited to
small organisations
- Lack of layers reduces promotion opportunities
- Matrix Structure
- Contains teams of people created from
various sections of the business. Each team
will have a specific purpose and be led by a
project manager. Matrix structure usually
deployed to develop products and services.
- Advantages
- Individuals can be chosen
according to the need of the
project.
- A project manager is directly
responsible within a specific deadline
& budget.
- Disadvantages
- If teams have a lot of freedom it
can be difficult to monitor.
- Centralisation
- Decision making is
taken by senior
management at the top
of the business.
- The use of standardised
procedures can result in
cost savings.
- Decision making can be
made for the benefit of the
whole organisation rather
than the benefit of one
department.
- Decentralisation
- decision-making is spread out to
include more junior managers in
the hierarchy
- Senior management will have
time to focus on more
important decisions.
- Decision making is a form of
empowerment.
- People lower down will gain greater
understanding of te environment they work
in and this knowledge will make them more
effective.