AQA AS Business Studies CH19 Unit 2 notes

UNIT 2: MANAGING A BUSINESS

PEOPLE IN BUSINESS

CHAPTER 19

Improving organisational structures

“line manager” comes from lines in organisational chart, to show manager above a line of subordinates

Organisational charts show:

  Design of the organisation

 How different divisions fit together

  Who is answerable to whom

 The span of control in each division

Official channels of communication

A wide span of control is where a manager has lots of people under him

Delegation

 Responsibility –subordinate is responsible to the delegator

Authority – subordinates must have authority to do job, so delegator needs to pass the authority and right on.

  Accountability – delegator is still accountable

Improving the effectiveness…