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tall 
organisations
(with many management levels, and narrow spans of control) are turning into 
flat 
organisations
(with fewer management levels, and wider spans of control) as a result of technological 
changes and the granting of more decision-making power to front-line employees. 

 
There are many levels of strategy in an organisation. 
– 
Corporate
: the general direction of the whole organisation 
– 
Business
: how the organisation or its SBUs tackle particular markets 
– 
Operational/functional
: specific strategies for different departments of the business 

 
A 
centralised
organisation is one in which authority is concentrated in one place. 
1
List the potential benefits of the informal organisation. 
2
What, in Mintzberg's view, are the five component parts of an organisation? 
3
Grouping people together who do similar tasks is called 
A Task 
departmentation 
C Product 
departmentation 
B Geographic 
departmentation D Functional 
departmentation 
4
Fill in the blanks. 
Divisionalisation is the division of a business into ………………….. regions or products each with its 
own ……………………… and ……………………… responsibility. 
5
The span of control refers to the chain of command from the most senior to the most junior. 
Is this true or false? 
6
*Delete as appropriate 
A tall organisation has a large number of levels of management. This implies a narrow*/wide* span of 
control. 
7
Delayering 
would: 
A 
Make an organisation taller 
B 
Make an organisation flatter 
 
CHAPTER ROUNDUP 
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CHAPTER 5
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BUSINESS ORGANISATION, STRUCTURE AND STRATEGY