IGCSE Business Studies: Organisation & Management

Delegation

Giving a subordinate the authority to perform a task.

Roles of management

-Planning - Setting aims or targets which give the organization a sense of direction or purpose. -Organising - Delegation of tasks to others in the organization and organizing people and resources. -Co-ordinating - 'bringing people in the organisation together' to make sure that all departments work together. -Commanding - Guiding, leading & supervising people to make sure they are keeping to targets and deadlines. -Controlling - measurement & evaluation of work of all individuals and groups to make sure they're on target.

Trade union

A group of workers who have joined together to ensure their interests are protected. Trade Unions also put forward their views to media and influence government decisions, e.g. minimum wage, legislation and employment laws; improve communication between workers and management

Centralised organisation

A management structure in which most decisions are taken at the centre or higher levels of management.

Decentralised organisation

A management structure where many decisions are not taken at the centre of the business but are delegated to a lower level of management.

Advantages of short chains of Command (3)

Communication is quicker and more accurate. Top managers are less remote from the lower levels. Spans of Control will be wider -more delegation -less direct control of each employee

Drawbacks of trades unions

Costs money to be a member; may be required to take industrial action even if don't agree.

Advantages of delegation for the manager (3)

Managers cannot do every job by themselves. By delegating he could focus on more important tasks. Managers are less likely to make mistakes if some work is delegated to the subordinate. Managers can measure the success of their staff by the tasks delegated.

Organisational Structure

Refers to the levels of management and division of responsibilities within an organisation.

Benefits of trades unions

Strength in numbers; improved conditions: employment, wages & salaries, rates of pay, holiday & hours of work; advice if a member has been unfairly dismissed or made redundant.

Why might manager NOT delegate? (2)

Subordinates might do a better job than the managers. Subordinates might fail and do a poor job.

Advantages of an Organisation Chart (4)

The chart shows how everybody is linked together in the organisation structure and they are aware of lines of communication. Can see where you are in the organisation, who are you responsible for and who is your manager. Shows the links between different departments. Everyone is in a department & gives them a sense of belonging.

Leadership styles

The different approaches to dealing with people when in a position of authority - autocratic, laissez-faire or democratic.

Span of Control

The number of subordinates working directly under a manager.

Chain of Command

The structure in an organisation which allows instructions to be passed down from senior management to lower levels of management.

Advantages of delegation for the subordinate (3)

The work becomes more interesting and rewarding. The employee feels more important and believes that trust is being put in them to perform a job well. Delegation helps to train workers and they can then make progress in the organisation (career opportunities.

Line Managers

Those who have direct authority over their subordinates in their department.

Laissez-faire leadership (do x or y as you see fit)

When employees are allowed to make their own decisions instead of consulting a leader. Communication can be difficult because no clear directions are given - the leader takes a 'hands off' approach.

Democratic leadership (which is best, x or y?)

When employees are involved in decision making in open discussions. The final decision is made by a leader after he consults employees. Information goes both ways: there is top-down and down-up communication.

Autocratic leadership (told to do x)

When one person is in charge and gives orders. A figure who separates himself from his employees, only telling them what they want and need to know using top-down communication.