Page 17 - F1 - AB Integrated Workbook STUDENT 2018-19

Chapter 2

Business organisation and structure

Outcome

By the end of this session you should be able to:

 describe the different ways in which formal organisations may be structured:
entrepreneurial, matrix, functional, divisional (by geographical area, by product
or by customer type), boundaryless (virtual, hollow or modular)

 explain basic organisational structure concepts: separation of ownership and
control, separation of direction and management, span on control and scalar
chain, tall and flat organisations, outsourcing and offshoring, shared service
approach

 explain the characteristics of the strategic, tactical and operational levels in the
organisation in the context of the Anthony hierarchy

 explain centralisation and decentralisation and list their advantages and
disadvantages

 describe the roles and functions of the main departments in a business
organisation: research and development, purchasing, production, direct service
provision, marketing, administration and finance

 explain the role of marketing in an organisation: the definition of marketing, the
marketing mix and the relationship of the marketing plan to the strategic plan

and answer questions relating to these areas.

The underpinning detail for this Chapter in your Integrated Workbook can
be found in Chapter 2 of your Study Text

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