In: Operations Management
5.Which of the following is NOT part of the key elements when considering designing an organisational structure?
(a) Direction of organisation
(b) Chain of command
(c) Span of control
(d) Formalisation
When the Hong Kong Police organises its forces according to the different regions of Hong Kong in which the forces work, this is an example of which type of organisational structure?
(a) Market structure
(b) Customer structure
(c) Product structure
(d) Geographic structure
The Catholic Church is famous for its very flat structure. One way organisations can keep their hierarchy flat is to __________.
(a) decrease the span of control
(b) increase the numbers of levels of management
(c) decentralise decision making
(d) enlarge job
5.Which of the following is NOT part of the key elements when considering designing an organisational structure?
Correct answer is "(a) Direction of organisation"
Rationale:
In an organizational structure, “chain of command” refers to a company's hierarchy of reporting relationships – from the bottom to the top of an organization, who must answer to whom. Span of control refers to the number of people a manager can directly supervise. Formalization may be identified by the degree to which organizational roles are separated from the individuals who perform those roles.
When the Hong Kong Police organises its forces according to the different regions of Hong Kong in which the forces work, this is an example of which type of organisational structure?
Correct answer is "(d) Geographic structure"
Rationale: Geographic organisation is an organisation structure where company hierarchy is divided on the basis of geographic location in which company operates which is headed by a centralised head office.
The Catholic Church is famous for its very flat structure. One way organisations can keep their hierarchy flat is to __________.
Correct answer is "(c) decentralise decision making"
Rationale: Flat hierarchy promotes employee involvement through a decentralized decision-making process. The well-trained workers in flat organizations will be more productive when they are directly involved in the decision-making process rather than closely supervised by many layers of management.
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