Tuesday 20 November 2018

Business Environment:Assignment 4



You need to include in your assignment an organisational structure for RuTC and one other organisation.



This organisational chart is available on Moodle > Unit 1 > Your teachers resources.


Include definitions and examples of the following terms (see below):

'Strategic planning' and how strategic plans are made.

'Organisational structure'


'Functional areas'.


'Flat and tall structures'.


'Span of control'. Explain the difference between wide and narrow span of control.


Strategic planning: is an organisation's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy.


More details on this topic here.

Organisational structure: refers to the relationship between different people and functions in an organisation.

Vertically, from shop-floor workers through supervisors and managers to directors. 

Horizontally, between different functions and people at the same level.


Organisation chart: a diagram showing the lines of authority and layers of hierarchy in an organisation.


An organisational chart of Thorpe Park:
Functional areas: how a business is divided up into different departments depending on the activities of the organisation.

Organisational hierarchy: the vertical division of authority and accountability in an organisation.

Levels of hierarchy: the number of different supervisory and management levels between the shop-floor and the chief executive within an organisation

Span of control: the number of subordinates a manager is required to supervise directly.

If a manager has many subordinates answerable to him or her, the span of control is said to be wide.

If a manager has relatively few subordinates answerable to him or her, the span of control is said to be narrow.




Flat and tall structures:

Traditionally, organisations tended to have very tall hierarchical structures, i.e. many layers of management, each with a narrow span of control.

More recently, hierarchies have become flatter, meaning that the number of layers of management has been reduced and each manager has a wider span of control
Socrative quiz:
Go to: m.socrative.com on your Smartphone.
Enter room: 151756 and give your team a name.