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Management Activity Organising Continued (Chain of Command (Clear lines of…
Management Activity Organising Continued
Choosing the Organisational structure
The choice of which structure to adopt rests with business management
They need to suit the best structure that meets the needs of the business
Two important issues that may influence the choice of structure are:
Chain of Command
Span of Control
Chain of Command
Clear lines of authority exist and employees know who to report to
There is a person in charge of each department which improves co-ordination as employees know what is expected of them and when
There is accountability as someone is responsible for each section
Span of Control
This refers to the number of employees/ sub-ordinates that report directly to one manager/ supervisor in a hierarchy
A wide Span of Control is when a manager is responsible for a large number of departments
It is where a manager is able to oversee a large group of employees and generally suits routine jobs that require little decision making or pressurised situations
A narrow span of control is when the manager has responsibility for a smaller group of employees. It is situated where close supervision is required
Factors affecting span of control
Trust
Type of Job
Skills of Workers
Delayering involves removing one or m ore levels of hierarchy from the organisational Structure
Advantages of Delayering
Communication
Wage costs reduced as managerial staff cut
Disadvantages of delayering
Fear of losing a job may mean staff morale decreases
Increased stress level on managers on a wider span of control