Organisation and Management
Organisation and Management
Organisational Structures:
- Organisational structure is the way in which a business is arranged to carry out its activities.
- A typical structure may feature different departments, such as marketing, finance, operations, and human resources.
- The levels of hierarchy refer to the different tiers of authority within an organisation, from frontline workers to senior management.
- The span of control is the number of subordinates that a manager or supervisor is responsible for.
- A wide span of control means a supervisor manages many subordinates; while a narrow span of control means they supervise a few subordinates.
- Organisational charts help map out the hierarchy and relationships between different departments within a business.
Roles and Responsibilities:
- Each member within an organisation has defined roles and responsibilities, which detail the tasks they are required to perform.
- Senior management typically focuses on strategic planning and decision-making.
- Middle management often oversees the implementation of these strategies and evaluates their effectiveness.
- Junior management is usually responsible for day-to-day operations and supervising lower-level employees.
Leadership Styles:
- Various styles of leadership are used in business, including autocratic, democratic, and laissez-faire styles.
- An autocratic leader makes decisions without consulting their team; this can be effective in a crisis, but may demotivate employees.
- A democratic leader includes team members in the decision-making process, often leading to higher engagement and satisfaction.
- A laissez-faire leader gives their team a lot of freedom to make decisions, which can be motivating but may also lack direction.
Management Approaches:
- Taylor’s scientific management theory proposed that improving economic efficiency, particularly labour productivity, was key to managing an organisation.
- Fayol’s general theory of administration argued that any business could be divided into six separate activities, and that managers needed to be skilled in five basic elements of their job.
- Mayo’s human relations theory focused on the social and emotional needs of workers, positing that satisfied workers are more productive.
Communication in Business:
- Communication in business takes place through several channels, such as emails, meetings, phone calls, and reports.
- Good communication is vital in businesses for decision-making, controlling and coordinating tasks, and motivating and engaging staff.
- Barriers to communication like jargon, cultural differences, or physical barriers can potentially create confusion and misunderstandings.
Remember that understanding the organisation and management of a business is essential towards understanding how businesses operate and deliver their products or services effectively.