What is required to define relationships and to make it easier to communicate decisions?

A formal structure is required to define relationships and to facilitate the communication of decisions.

How does the manager’s span of control make a difference between a small enterprise and a large one?

A small enterprise may have a very simple, centralized organization with a single manager, but if the enterprise grows beyond a certain limit, the manager will be unable to supervise everyone effectively and will have to appoint subordinate managers.

What is the effect of further growth?

As the organization grows further, the subordinates will eventually reach the limits of their own spans of control, which will necessitate the establishment of a third level of managers.

How may the span of control vary?

The span of control varies in different organization and is generally wider at lower levels. Thus, a top executive may have from three to eight subordinates, whereas a lower-level supervisor may manage from twelve to thirty persons.

Why do enterprises try to keep their number of levels to a minimum?

As the number of levels increases, administrative costs rise, and communication, planning, and control become more difficult.

Why should a manager have the broadest possible span of control?

small enterprise may have a very simple, centralized organization with a single manager, but if the enterprise growth beyond a certain limit, a manager would be unable to supervise everyone effectively and will have to appoint subordinate managers. This limitation is usually called managers span of control. An enterprise will try to have as little number of levels as possible which means, that the managers span of control should be as broad as possible.

Why must a manager limit the time that he spends with each subordinate?

in order to manage more subordinates and to increase his span of control.

What two things can the manager do to achieve this limitation?

to avoid the waste of time the superior must assign clear responsibility for each task to each subordinate and must delegate to each the necessary authority to achieve those tasks.

Another time saving factor is to minimize the number of face-to-face meetings.

How can subordinates save a superior’s time?

the subordinates are properly trained for their duties, if they have clear objectives and understand the objectives much of the superiors time could be saved.

What is the usual basis for the department of an enterprise?

the organization of an enterprise into separate departments, each under a subordinate manager, is not generally based on numbers. It most commonly reflects the functions of the enterprise, functions such as production. This vary with different types of enterprise.

What functional departments would certain types of enterprise lack?

for example airline enterprise would not have production department, or manufacturing company would not have operational department.

What are some adv and disadv of geographic departmentation?

if a company covers a broad geographic area it may be efficient to have departments based on geography. Such departmentation may save transporting costs, simplify hiring of personnel and simplify communications. On the other hand there will be higher costs because of the separate management and service in each area. Also top manager can have problems with control.

What is project management or matrix organization a combination of?

Combination of function and product departments

What responsibility does the project managers have?

The project manager has responsibility and authority for a given product.

Where does he get his personnel?

Personnel are assigned to him from the functional departments/