Organisation structure, management and leadership

Last time

Before we start: last time, in Methods of communication and barriers, you learned these points. Here they are again on one card. Keep them in mind, because today builds on them.

Who is in charge of whom?

In a large business, a new worker needs to know who their manager is, and who that manager reports to. An organisation chart shows this. This lesson covers how businesses are structured, what managers do, and the different ways they lead.

An organisation chart

An organisation chart shows the levels of a business and who is responsible to whom. The managing director is at the top, then department managers, then supervisors and workers. Each line shows the chain of command.

Key terms

The hierarchy is the levels of management. The chain of command is the line of authority from top to bottom. The span of control is the number of workers directly under one manager. A tall structure has many levels and narrow spans; a flat structure has few levels and wide spans.

Tall or flat?

Tall structures give close supervision and many chances of promotion, but communication is slow and messages get distorted. Flat structures give fast communication and more responsibility to workers, but each manager supervises many people. Many businesses have become flatter to cut costs and speed up decisions.

Full-time, part-time, flexible

Full-time employees work a full week. They are often more committed and better trained, and easier to organise. Part-time employees work fewer hours. They give flexibility to cover busy times, at lower cost. Flexible working, such as flexible hours or working from home, can raise motivation and help keep staff.

The functions of management

Planning: setting objectives and deciding how to reach them. Organising: arranging people and resources. Coordinating: making departments work together. Commanding: directing and supervising workers. Controlling: checking results against the plan and correcting problems.

Delegation

Delegation is giving a subordinate the authority to carry out a task, while the manager stays responsible for it. It frees managers' time, trains workers and can motivate them through responsibility. But the manager must trust the worker, and the task may be done less well.

Leadership styles

Autocratic: the leader makes all decisions alone and tells workers what to do. Quick decisions, but workers may feel ignored. Democratic: the leader asks workers' views before deciding. Workers feel valued and ideas improve, but decisions take longer. Laissez-faire: the leader lets workers make their own decisions. It suits skilled, motivated workers, but may lack direction.

Which style when?

No style is best everywhere. Here is when each one suits.

Applying leadership

In an exam, choose the style that fits the workers and the task in the case. For a busy factory with unskilled new staff, autocratic may be best, for clear instructions and safety. For a design team of experienced staff, democratic or laissez-faire may bring better ideas.

Good managers

Good managers communicate clearly, so everyone knows the objectives. They motivate staff, and delegate sensibly. And they control: they check results and act when targets are missed.

Mistakes that lose marks

Mistake one: confusing span of control with chain of command. Mistake two: saying delegation passes the responsibility on. The manager stays responsible. Mistake three: describing a leadership style without saying how it affects the workers or the business. The fix: precise terms, and the effect on the business.

The full-marks tip

The full-marks tip: define each style by who makes the decision: the leader alone, with workers, or the workers. Then say how it would affect the workers in the case.

On one card

So, on one card: organisation and management. Keep it for revision.