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only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24500/glossary-organizational-planning-tools-hl.html" title="Glossary: Organizational planning tools (HL)">Glossary: Organizational planning tools (HL)</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../21699/unit-2.html" title="Unit 2">Unit 2</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21753/21-functions-evolution-of-hrm.html" title="2.1 Functions & evolution of HRM">2.1 Functions & evolution of HRM</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25388/glossary.html" title="Glossary">Glossary</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right 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relations (HL only)">2.6 Industrial/employee relations (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25125/glossary-industrialemployee-relations.html" title="Glossary: Industrial/employee relations">Glossary: Industrial/employee relations</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../21670/unit-3.html" title="Unit 3">Unit 3</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21744/31-sources-of-finance.html" title="3.1 Sources of finance">3.1 Sources of finance</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24501/glossary-sources-of-finance.html" title="Glossary: Sources of finance">Glossary: Sources of finance</a></li></ul><li class=" 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href="../22093/glossary-break-even-analysis.html" title="Glossary: Break-even analysis">Glossary: Break-even analysis</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21747/34-final-accounts.html" title="3.4 Final accounts">3.4 Final accounts</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../31367/glossary-final-accounts.html" title="Glossary: Final accounts">Glossary: Final accounts</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21748/35-profitability-and-liquidity-ratio-analysis.html" title="3.5 Profitability and liquidity ratio analysis">3.5 Profitability and liquidity ratio analysis</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25111/glossary-profitability-and-liquidity-ratio-analysis.html" title="Glossary: Profitability and liquidity ratio analysis">Glossary: Profitability and liquidity ratio analysis</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21749/36-efficiency-ratio-analysis-hl-only.html" title="3.6 Efficiency ratio analysis (HL only)">3.6 Efficiency ratio analysis (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25114/glossary-efficiency-ratios.html" title="Glossary: Efficiency ratios">Glossary: Efficiency ratios</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21750/37-cash-flow.html" title="3.7 Cash flow">3.7 Cash flow</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25118/cash-flow-forecasts.html" title="Cash flow forecasts">Cash flow forecasts</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../31376/glossary-cash-flow.html" title="Glossary: Cash flow">Glossary: Cash flow</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21751/38-investment-appraisal.html" title="3.8 Investment appraisal">3.8 Investment appraisal</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../31377/glossary-investment-appraisal-.html" title="Glossary: Investment appraisal ">Glossary: Investment appraisal </a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21752/39-budgets-hl-only.html" title="3.9 Budgets (HL only)">3.9 Budgets (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../31378/39-budgets-hl-only-glossary.html" title="3.9 Budgets (HL Only) Glossary">3.9 Budgets (HL Only) Glossary</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../21684/unit-4.html" title="Unit 4">Unit 4</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21767/41-the-role-of-marketing.html" title="4.1 The role of marketing">4.1 The role of marketing</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25618/glossary-the-role-of-marketing.html" title="Glossary: The role of marketing">Glossary: The role of marketing</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21768/42-marketing-planning.html" title="4.2 Marketing planning">4.2 Marketing planning</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../28328/glossary-marketing-planning.html" title="Glossary: Marketing planning">Glossary: Marketing planning</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21769/43-sales-forecasting-hl-only.html" title="4.3 Sales forecasting (HL only)">4.3 Sales forecasting (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25713/glossary-sales-forecasting.html" title="Glossary: Sales forecasting">Glossary: Sales forecasting</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21713/44-market-research.html" title="4.4 Market research">4.4 Market research</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25208/glossary-market-research.html" title="Glossary: Market research">Glossary: Market research</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21770/45-the-four-ps.html" title="4.5 The four Ps">4.5 The four Ps</a></li><ul class="level-3 "><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Product">Product</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../22627/glossary-product.html" title="Glossary: Product">Glossary: Product</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22525/price.html" title="Price">Price</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../22548/glossary-price.html" title="Glossary: Price">Glossary: Price</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22567/promotion.html" title="Promotion">Promotion</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../22704/45-promotion-glossary.html" title="4.5 Promotion - Glossary">4.5 Promotion - Glossary</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22745/place.html" title="Place">Place</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../23813/45-place-glossary.html" title="4.5 Place - Glossary">4.5 Place - Glossary</a></li></ul></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21774/46-the-extended-marketing-mix-7-ps-hl.html" title="4.6 The extended marketing mix (7 Ps) (HL)">4.6 The extended marketing mix (7 Ps) (HL)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../23814/glossary-the-extended-marketing-mix-hl.html" title="Glossary: The extended marketing mix (HL)">Glossary: The extended marketing mix (HL)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21772/47-international-marketing-hl-only.html" title="4.7 International marketing (HL only)">4.7 International marketing (HL only)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../23815/glossary-international-marketing-hl.html" title="Glossary: International Marketing (HL)">Glossary: International Marketing (HL)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21773/48-e-commerce.html" title="4.8 E-commerce">4.8 E-commerce</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../23797/glossary-e-commerce.html" title="Glossary: E-commerce">Glossary: E-commerce</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../21688/unit-5.html" title="Unit 5">Unit 5</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21937/51-the-role-of-operations-management.html" title="5.1 The role of operations management">5.1 The role of operations management</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24843/glossary.html" title="Glossary">Glossary</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21938/52-production-methods.html" title="5.2 Production methods">5.2 Production methods</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24848/glossary.html" title="Glossary">Glossary</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21939/53-lean-production-quality-management-hl.html" title="5.3 Lean production & quality management (HL)">5.3 Lean production & quality management (HL)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24839/glossary-lean-production-and-quality-management.html" title="Glossary: Lean Production and quality management">Glossary: Lean Production and quality management</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21700/54-location.html" title="5.4 Location">5.4 Location</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../24959/glossary.html" title="Glossary">Glossary</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21695/55-production-planning-hl.html" title="5.5 Production planning (HL)">5.5 Production planning (HL)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25032/glossary-production-planning.html" title="Glossary: Production planning">Glossary: Production planning</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../33222/56-research-development-hl.html" title="5.6 Research & development (HL)">5.6 Research & development (HL)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../34014/glossary-research-development.html" title="Glossary: Research & Development">Glossary: Research & Development</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21941/57-crisis-management-contingency-planning-hl.html" title="5.7 Crisis management & contingency planning (HL)">5.7 Crisis management & contingency planning (HL)</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../25042/glossary.html" title="Glossary">Glossary</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../25115/cuegis.html" title="CUEGIS">CUEGIS</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="The 6 CUEGIS concepts">The 6 CUEGIS concepts</a></li><ul class="level-3 "><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Ethics">Ethics</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../21954/mcdonalds-supersize-me.html" title="McDonald's - Supersize Me">McDonald's - Supersize Me</a></li></ul></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="The CUEGIS essay">The CUEGIS essay</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22876/planning-your-cuegis-essay.html" title="Planning your CUEGIS essay">Planning your CUEGIS essay</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../33806/paper-2-section-c-questions.html" title="Paper 2 Section C Questions">Paper 2 Section C Questions</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../33959/the-ia.html" title="The IA">The IA</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="HL IA">HL IA</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22190/35-sample-research-questions-for-the-hl-ia.html" title="35 sample research questions for the HL IA">35 sample research questions for the HL IA</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22200/hl-ia-student-checklist.html" title="HL IA - Student Checklist">HL IA - Student Checklist</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../33508/ia-hl-poster.html" title="IA HL Poster">IA HL Poster</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="SL IA">SL IA</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../22146/sl-ia-20-sample-titles.html" title="SL IA - 20 Sample Titles">SL IA - 20 Sample Titles</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../38181/faq-about-the-sl-ia.html" title="FAQ about the SL IA">FAQ about the SL IA</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../22114/exams.html" title="Exams">Exams</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../22115/command-terms.html" title="Command Terms">Command Terms</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../36599/glossary-of-key-terms.html" title="Glossary of key terms">Glossary of key terms</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../38059/flashcards-revision.html" title="Flashcards - Revision">Flashcards - Revision</a></li><ul class="level-3 "><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../38060/flashcards-revision-unit-1.html" title="Flashcards - Revision (Unit 1)">Flashcards - Revision (Unit 1)</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38056/unit-11-revision-flashcards.html" title="Unit 1.1 Revision Flashcards">Unit 1.1 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38061/unit-12-revision-flashcards.html" title="Unit 1.2 Revision Flashcards">Unit 1.2 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38067/unit-13-revision-flashcards.html" title="Unit 1.3 Revision Flashcards">Unit 1.3 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38092/unit-14-revision-flashcards.html" title="Unit 1.4 Revision Flashcards">Unit 1.4 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38096/unit-15-revision-flashcards.html" title="Unit 1.5 Revision Flashcards">Unit 1.5 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38102/unit-16-revision-flashcards.html" title="Unit 1.6 Revision Flashcards">Unit 1.6 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38103/unit-17-revision-flashcards.html" title="Unit 1.7 Revision Flashcards">Unit 1.7 Revision Flashcards</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../38114/flashcards-revision-unit-2.html" title="Flashcards - Revision (Unit 2)">Flashcards - Revision (Unit 2)</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38121/unit-21-revision-flashcards.html" title="Unit 2.1 Revision Flashcards">Unit 2.1 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38125/unit-22-revision-flashcards.html" title="Unit 2.2 Revision Flashcards">Unit 2.2 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38126/unit-23-revision-flashcards.html" title="Unit 2.3 Revision Flashcards">Unit 2.3 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38144/unit-24-revision-flashcards.html" title="Unit 2.4 Revision Flashcards">Unit 2.4 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38146/unit-25-revision-flashcards.html" title="Unit 2.5 Revision Flashcards">Unit 2.5 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38147/unit-26-revision-flashcards-hl-only.html" title="Unit 2.6 Revision Flashcards (HL only)">Unit 2.6 Revision Flashcards (HL only)</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../38149/flashcards-revision-unit-3.html" title="Flashcards - Revision (Unit 3)">Flashcards - Revision (Unit 3)</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38153/unit-31-revision-flashcards.html" title="Unit 3.1 Revision Flashcards">Unit 3.1 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38154/unit-32-revision-flashcards.html" title="Unit 3.2 Revision Flashcards">Unit 3.2 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38182/unit-33-revision-flashcards.html" title="Unit 3.3 Revision Flashcards">Unit 3.3 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38183/unit-34-revision-flashcards.html" title="Unit 3.4 Revision Flashcards">Unit 3.4 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38191/unit-35-revision-flashcards.html" title="Unit 3.5 Revision Flashcards">Unit 3.5 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38192/unit-36-revision-flashcards-hl.html" title="Unit 3.6 Revision Flashcards (HL)">Unit 3.6 Revision Flashcards (HL)</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38193/unit-37-revision-flashcards.html" title="Unit 3.7 Revision Flashcards">Unit 3.7 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38194/unit-38-revision-flashcards.html" title="Unit 3.8 Revision Flashcards">Unit 3.8 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38195/unit-39-revision-flashcards.html" title="Unit 3.9 Revision Flashcards">Unit 3.9 Revision Flashcards</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../38196/flashcards-revision-unit-4.html" title="Flashcards - Revision (Unit 4)">Flashcards - Revision (Unit 4)</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38198/unit-41-revision-flashcards.html" title="Unit 4.1 Revision Flashcards">Unit 4.1 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38203/unit-42-revision-flashcards.html" title="Unit 4.2 Revision Flashcards">Unit 4.2 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38217/unit-43-revision-flashcards.html" title="Unit 4.3 Revision Flashcards">Unit 4.3 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38218/unit-44-revision-flashcards.html" title="Unit 4.4 Revision Flashcards">Unit 4.4 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38219/unit-45a-product-revision-flashcards.html" title="Unit 4.5a Product Revision Flashcards">Unit 4.5a Product Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38220/unit-45b-price-revision-flashcards.html" title="Unit 4.5b Price Revision Flashcards">Unit 4.5b Price Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38221/unit-45c-promotion-revision-flashcards.html" title="Unit 4.5c Promotion Revision Flashcards">Unit 4.5c Promotion Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38222/unit-45d-promotion-revision-flashcards.html" title="Unit 4.5d Promotion Revision Flashcards">Unit 4.5d Promotion Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38223/unit-46-revision-flashcards-hl.html" title="Unit 4.6 Revision Flashcards (HL)">Unit 4.6 Revision Flashcards (HL)</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38224/unit-47-revision-flashcards-hl.html" title="Unit 4.7 Revision Flashcards (HL)">Unit 4.7 Revision Flashcards (HL)</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38225/unit-48-e-commerce-flashcards.html" title="Unit 4.8 E-commerce Flashcards">Unit 4.8 E-commerce Flashcards</a></li></ul><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../38232/flashcards-revision-unit-5.html" title="Flashcards - Revision (Unit 5)">Flashcards - Revision (Unit 5)</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38233/unit-51-revision-flashcards.html" title="Unit 5.1 Revision Flashcards">Unit 5.1 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38234/unit-52-revision-flashcards.html" title="Unit 5.2 Revision Flashcards">Unit 5.2 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38235/unit-53-revision-flashcards-hl.html" title="Unit 5.3 Revision Flashcards (HL)">Unit 5.3 Revision Flashcards (HL)</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38236/unit-54-revision-flashcards.html" title="Unit 5.4 Revision Flashcards">Unit 5.4 Revision Flashcards</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38237/unit-55-revision-flashcards-hl.html" title="Unit 5.5 Revision Flashcards (HL)">Unit 5.5 Revision Flashcards (HL)</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38238/unit-56-revision-flashcards-hl.html" title="Unit 5.6 Revision Flashcards (HL)">Unit 5.6 Revision Flashcards (HL)</a></li><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../38239/unit-57-revision-flashcards-hl.html" title="Unit 5.7 Revision Flashcards (HL)">Unit 5.7 Revision Flashcards (HL)</a></li></ul></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../33830/formulae-quiz.html" title="Formulae Quiz">Formulae Quiz</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Paper 1 Pre-release case study">Paper 1 Pre-release case study</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44969/n22-case-study-ele-plc.html" title="N22 Case Study (ELE PLC)">N22 Case Study (ELE PLC)</a></li><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="M22 (Peacewick Uni)">M22 (Peacewick Uni)</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../44106/additional-exam-questions-paper-1.html" title="Additional exam questions (Paper 1)">Additional exam questions (Paper 1)</a></li></ul><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../32840/may-2020-p-s-trawlers.html" title="May 2020 (P&S Trawlers)">May 2020 (P&S Trawlers)</a></li><li class=" parent" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="M23 Paper 1">M23 Paper 1</a></li><ul class="level-4 "><li class="" style="padding-left: 56px"><i class="expander fa fa-caret-right "></i><a class="" href="../47825/paper-1-svt-study-guide-shirin-karimi.html" title="Paper 1 SVT Study Guide (Shirin Karimi)">Paper 1 SVT Study Guide (Shirin Karimi)</a></li></ul></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../26095/exam-study-tips-resources.html" title="Exam & Study tips (resources)">Exam & Study tips (resources)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../31342/revision-exams-top-tips.html" title="Revision & Exams - Top tips">Revision & Exams - Top tips</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../47460/top-tips-for-m23-exams.html" title="Top Tips for M23 Exams">Top Tips for M23 Exams</a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../43522/unit-1-intro-to-bm.html" title="Unit 1 - Intro to BM">Unit 1 - Intro to BM</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44034/11-what-is-a-business.html" title="1.1 What is a business?">1.1 What is a business?</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399695.html" title="The nature of business">The nature of business</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399694.html" title="Primary, secondary, tertiary, & quaternary sectors">Primary, secondary, tertiary, & quaternary sectors</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399693.html" title="Entrepreneurship">Entrepreneurship</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399692.html" title="Challenges & opportunities for starting a business">Challenges & opportunities for starting a business</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399691.html" title="1.1 True or False Quiz">1.1 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399690.html" title="1.1 Revision Flashcards">1.1 Revision Flashcards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399689.html" title="1.1 Glossary of key terms">1.1 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399681.html" title="1.2 Types of business entities">1.2 Types of business entities</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399688.html" title="Public & private sectors">Public & private sectors</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399687.html" title="Types of for-profit organizations">Types of for-profit organizations</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399686.html" title="For-profit social enterprises">For-profit social enterprises</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399685.html" title="Non-profit social enterprises">Non-profit social enterprises</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399684.html" title="True or False quiz">True or False quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399683.html" title="1.2 Revision Flashcards">1.2 Revision Flashcards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399682.html" title="1.2 Glossary of key terms">1.2 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44041/13-business-objectives.html" title="1.3 Business objectives">1.3 Business objectives</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399679.html" title="Vision and mission statements">Vision and mission statements</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399680.html" title="Common business objectives">Common business objectives</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399678.html" title="Strategic & tactical objectives">Strategic & tactical objectives</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399677.html" title="Corporate social responsibility">Corporate social responsibility</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399676.html" title="1.3 Revision Flashcards">1.3 Revision Flashcards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399674.html" title="True or False quiz">True or False quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399675.html" title="1.3 Glossary of Key terms">1.3 Glossary of Key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44044/14-stakeholders.html" title="1.4 Stakeholders">1.4 Stakeholders</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399673.html" title="The interests of stakeholders">The interests of stakeholders</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399672.html" title="Conflict between stakeholders">Conflict between stakeholders</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399670.html" title="Unit 1.4 Revision Flashcards">Unit 1.4 Revision Flashcards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399669.html" title="1.4 True or False">1.4 True or False</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399671.html" title="1.4 Glossary of Key terms">1.4 Glossary of Key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44045/15-growth-and-evolution.html" title="1.5 Growth and evolution">1.5 Growth and evolution</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44212/economies-diseconomies-of-scale.html" title="Economies & diseconomies of scale">Economies & diseconomies of scale</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44214/internal-and-external-growth.html" title="Internal and external growth">Internal and external growth</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44220/external-growth-methods.html" title="External growth methods">External growth methods</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44219/reasons-to-grow-or-stay-small.html" title="Reasons to grow or stay small">Reasons to grow or stay small</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45586/unit-15revision-flashcards.html" title="Unit 1.5 Revision Flashcards">Unit 1.5 Revision Flashcards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45450/true-or-false-quiz.html" title="True or False quiz">True or False quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43673/15-glossary-of-key-terms.html" title="1.5 Glossary of key terms">1.5 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44046/16-multinational-companies.html" title="1.6 Multinational companies">1.6 Multinational companies</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44236/the-impact-of-mncs-on-host-countries-ao3.html" title="The impact of MNCs on host countries (AO3)">The impact of MNCs on host countries (AO3)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44240/video-documentaries-mncs.html" title="Video documentaries - MNCs">Video documentaries - MNCs</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45587/16-glossary-of-key-terms.html" title="1.6 Glossary of key terms">1.6 Glossary of key terms</a></li></ul></ul><li class="ancestor parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right fa-rotate-90"></i><a class="" href="../43530/unit-2-hrm.html" title="Unit 2 - HRM">Unit 2 - HRM</a></li><ul class="level-1 expanded"><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44253/21-introduction-to-hrm.html" title="2.1 Introduction to HRM">2.1 Introduction to HRM</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44256/role-of-hrm.html" title="Role of HRM">Role of HRM</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44257/factors-that-influence-hr-planning.html" title="Factors that influence HR planning">Factors that influence HR planning</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44282/reasons-for-resistance-to-change.html" title="Reasons for resistance to change">Reasons for resistance to change</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44283/hr-strategies-for-reducing-the-impact-of-change-resistance-to-ch.html" title="HR strategies for reducing the impact of change & resistance to change">HR strategies for reducing the impact of change & resistance to change</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45458/21-true-or-false-quiz.html" title="2.1 True or False quiz">2.1 True or False quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43677/21-glossary-of-key-terms.html" title="2.1 Glossary of key terms">2.1 Glossary of key terms</a></li></ul><li class="ancestor parent" style="padding-left: 14px"><i class="expander fa fa-caret-right fa-rotate-90"></i><a class="" href="../43875/22-organizational-structure.html" title="2.2 Organizational structure">2.2 Organizational structure</a></li><ul class="level-2 expanded"><li class="current" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="terminology-for-understanding-organizational-structures.html" title="Terminology for understanding organizational structures">Terminology for understanding organizational structures</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44310/types-of-organization-charts.html" title="Types of organization charts">Types of organization charts</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44323/appropriateness-of-organizational-structures-and-external-factor.html" title="Appropriateness of organizational structures and external factors">Appropriateness of organizational structures and external factors</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44316/changes-in-organizational-structures-hl.html" title="Changes in organizational structures (HL)">Changes in organizational structures (HL)</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44338/23-leadership-and-management.html" title="2.3 Leadership and management">2.3 Leadership and management</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44343/scientific-intuitive-management-hl.html" title="Scientific & intuitive management (HL)">Scientific & intuitive management (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44339/management-and-leadership.html" title="Management and leadership">Management and leadership</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44340/leadership-styles.html" title="Leadership styles">Leadership styles</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45462/23-true-or-false-quiz.html" title="2.3 True or False Quiz">2.3 True or False Quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43829/24-motivation-and-demotivation.html" title="2.4 Motivation and demotivation">2.4 Motivation and demotivation</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44349/motivation-theories-sl-hl.html" title="Motivation theories (SL & HL)">Motivation theories (SL & HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44353/motivation-theories-hl.html" title="Motivation theories (HL)">Motivation theories (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44354/labour-turnover-hl.html" title="Labour turnover (HL)">Labour turnover (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44361/types-of-appraisal-hl.html" title="Types of appraisal (HL)">Types of appraisal (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44383/methods-of-recruitment-hl.html" title="Methods of recruitment (HL)">Methods of recruitment (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44382/internal-external-recruitment-hl.html" title="Internal & external recruitment (HL)">Internal & external recruitment (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44363/types-of-financial-rewards.html" title="Types of financial rewards">Types of financial rewards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44370/types-of-non-financial-rewards.html" title="Types of non-financial rewards">Types of non-financial rewards</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44371/types-of-training.html" title="Types of training">Types of training</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44390/25-organizational-corporate-culture-hl.html" title="2.5 Organizational (corporate) culture (HL)">2.5 Organizational (corporate) culture (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44392/organizational-culture-hl.html" title="Organizational culture (HL)">Organizational culture (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44393/types-of-organizational-culture-hl.html" title="Types of organizational culture (HL)">Types of organizational culture (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44394/cultural-clashes-hl.html" title="Cultural clashes (HL)">Cultural clashes (HL)</a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44247/26-communication.html" title="2.6 Communication">2.6 Communication</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../43545/unit-3-finance.html" title="Unit 3 - Finance">Unit 3 - Finance</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44435/31-introduction-to-finance.html" title="3.1 Introduction to finance">3.1 Introduction to finance</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44431/31-introduction-to-finance-role-of-finance.html" title="3.1 Introduction to finance - role of finance">3.1 Introduction to finance - role of finance</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45634/31-glossary-of-key-term.html" title="3.1 Glossary of key term">3.1 Glossary of key term</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44436/32-sources-of-finance.html" title="3.2 Sources of finance">3.2 Sources of finance</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44437/internal-sources-of-finance.html" title="Internal sources of finance">Internal sources of finance</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44450/external-sources-of-finance.html" title="External sources of finance">External sources of finance</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44479/appropriateness-of-sources-of-finance.html" title="Appropriateness of sources of finance">Appropriateness of sources of finance</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45483/32-true-or-false-quiz.html" title="3.2 True or False Quiz">3.2 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43688/32-glossary-of-key-terms.html" title="3.2 Glossary of key terms">3.2 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44486/33-costs-and-revenues.html" title="3.3 Costs and revenues">3.3 Costs and revenues</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44487/types-of-costs.html" title="Types of costs">Types of costs</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44491/total-revenue-revenue-streams.html" title="Total revenue & revenue streams">Total revenue & revenue streams</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45484/33-true-or-false-quiz.html" title="3.3 True or false quiz">3.3 True or false quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45657/33-glossary-of-key-terms.html" title="3.3 Glossary of key terms">3.3 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44492/34-final-accounts.html" title="3.4 Final accounts">3.4 Final accounts</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44527/the-purpose-of-accounts-to-different-stakeholders.html" title="The purpose of accounts to different stakeholders">The purpose of accounts to different stakeholders</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44577/profit-loss-account.html" title="Profit & loss account">Profit & loss account</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44579/balance-sheets.html" title="Balance sheets">Balance sheets</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44560/types-of-intangible-assets.html" title="Types of intangible assets">Types of intangible assets</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44585/depreciation-hl.html" title="Depreciation (HL)">Depreciation (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45919/34-true-or-false-quiz.html" title="3.4 True or False Quiz">3.4 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45658/34-glossary-of-key-terms.html" title="3.4 Glossary of key terms">3.4 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44593/35-profitability-liquidity-ratio-analysis.html" title="3.5 Profitability & liquidity ratio analysis">3.5 Profitability & liquidity ratio analysis</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44595/profitability-ratios.html" title="Profitability ratios">Profitability ratios</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44626/liquidity-ratios.html" title="Liquidity ratios">Liquidity ratios</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45486/35-true-or-false-quiz.html" title="3.5 True or False Quiz">3.5 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45661/35-glossary-of-key-terms.html" title="3.5 Glossary of key terms">3.5 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44627/36-efficiency-ratio-analysis-hl-only.html" title="3.6 Efficiency ratio analysis (HL only)">3.6 Efficiency ratio analysis (HL only)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44805/efficiency-ratios-hl.html" title="Efficiency ratios (HL)">Efficiency ratios (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44633/insolvency-versus-bankruptcy.html" title="Insolvency versus bankruptcy">Insolvency versus bankruptcy</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45488/36-true-or-false-quiz.html" title="3.6 True or False Quiz">3.6 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45662/36-glossary-of-key-terms.html" title="3.6 Glossary of key terms">3.6 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44493/37-cash-flow.html" title="3.7 Cash flow">3.7 Cash flow</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44502/the-difference-between-profit-cash-flow.html" title="The difference between profit & cash flow">The difference between profit & cash flow</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44506/working-capital.html" title="Working capital">Working capital</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44557/liquidity-position.html" title="Liquidity position">Liquidity position</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44558/cash-flow-forecasts.html" title="Cash flow forecasts">Cash flow forecasts</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44507/relationship-between-investment-profit-cash-flow.html" title="Relationship between investment, profit & cash flow">Relationship between investment, profit & cash flow</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44509/strategies-for-dealing-with-cash-flow-problems.html" title="Strategies for dealing with cash flow problems">Strategies for dealing with cash flow problems</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45493/37-true-or-false.html" title="3.7 True or False">3.7 True or False</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43687/37-glossary-of-key-terms.html" title="3.7 Glossary of key terms">3.7 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44515/38-investment-appraisal.html" title="3.8 Investment appraisal">3.8 Investment appraisal</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44516/payback-period-average-rate-of-return.html" title="Payback period & Average rate of return">Payback period & Average rate of return</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44519/net-present-value-npv-hl.html" title="Net present value (NPV) (HL)">Net present value (NPV) (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45494/38-true-or-false-quiz.html" title="3.8 True or False Quiz">3.8 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43693/38-glossary-of-key-terms.html" title="3.8 Glossary of key terms">3.8 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44564/39-budgets-hl.html" title="3.9 Budgets (HL)">3.9 Budgets (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44565/the-difference-between-cost-profit-centres.html" title="The difference between cost & profit centres">The difference between cost & profit centres</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44568/the-roles-of-cost-profit-centres.html" title="The roles of cost & profit centres">The roles of cost & profit centres</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44576/constructing-budgets.html" title="Constructing budgets">Constructing budgets</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44569/variances.html" title="Variances">Variances</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44571/the-importance-of-budgets-variances.html" title="The importance of budgets & variances">The importance of budgets & variances</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45495/39-true-or-false-quiz.html" title="3.9 True or False Quiz">3.9 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43694/39-glossary-of-key-terms.html" title="3.9 Glossary of key terms">3.9 Glossary of key terms</a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../43547/unit-4-marketing.html" title="Unit 4 - Marketing">Unit 4 - Marketing</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44637/41-introduction-to-marketing.html" title="4.1 Introduction to marketing">4.1 Introduction to marketing</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44638/market-orientation-vs-product-orientation.html" title="Market orientation vs Product orientation">Market orientation vs Product orientation</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44639/market-share.html" title="Market share">Market share</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44641/market-growth.html" title="Market growth">Market growth</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44642/importance-of-market-share-market-leadership-hl.html" title="Importance of market share & market leadership (HL)">Importance of market share & market leadership (HL)</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43695/41-glossary-of-key-terms.html" title="4.1 Glossary of key terms">4.1 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43823/42-marketing-planning.html" title="4.2 Marketing planning">4.2 Marketing planning</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44645/the-role-of-marketing-planning.html" title="The role of marketing planning">The role of marketing planning</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44654/segmentation-targeting-and-positioning.html" title="Segmentation, targeting, and positioning">Segmentation, targeting, and positioning</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44646/difference-between-niche-mass-market.html" title="Difference between niche & mass market">Difference between niche & mass market</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43821/the-importance-of-having-a-usp.html" title="The importance of having a USP">The importance of having a USP</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44655/how-organizations-differentiate-themselves.html" title="How organizations differentiate themselves">How organizations differentiate themselves</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43834/42-vocab-quiz.html" title="4.2 Vocab Quiz">4.2 Vocab Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45528/42-true-or-false-quiz.html" title="4.2 True or False Quiz">4.2 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43696/42-glossary-of-key-terms.html" title="4.2 Glossary of key terms">4.2 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44660/43-sales-forecasting-hl.html" title="4.3 Sales forecasting (HL)">4.3 Sales forecasting (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44669/benefits-limitations-of-sales-forecasting.html" title="Benefits & limitations of sales forecasting">Benefits & limitations of sales forecasting</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45530/43-true-or-false-quiz.html" title="4.3 True or False Quiz">4.3 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43711/43-glossary-of-key-terms.html" title="4.3 Glossary of key terms">4.3 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44679/44-market-research.html" title="4.4 Market research">4.4 Market research</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44680/why-how-organizations-carry-out-market-research.html" title="Why & how organizations carry out market research">Why & how organizations carry out market research</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44692/methodstechniques-of-primary-market-research.html" title="Methods/techniques of primary market research">Methods/techniques of primary market research</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44693/methodstechniques-of-secondary-market-research.html" title="Methods/techniques of secondary market research">Methods/techniques of secondary market research</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44694/qualitative-quantitative-research.html" title="Qualitative & quantitative research">Qualitative & quantitative research</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44695/methods-of-sampling.html" title="Methods of sampling">Methods of sampling</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45531/44-true-or-false-quiz.html" title="4.4 True or False Quiz">4.4 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43712/44-glossary-of-key-terms.html" title="4.4 Glossary of key terms">4.4 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44720/45-the-seven-ps-of-the-marketing-mix.html" title="4.5 The seven Ps of the marketing mix">4.5 The seven Ps of the marketing mix</a></li><ul class="level-2 "><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44740/451-product.html" title="4.5.1 Product">4.5.1 Product</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44741/the-product-life-cycle.html" title="The product life cycle">The product life cycle</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44745/extension-strategies.html" title="Extension strategies">Extension strategies</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44981/relationship-between-the-plc-investment-profit-cash-flow.html" title="Relationship between the PLC, investment, profit & cash flow">Relationship between the PLC, investment, profit & cash flow</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44748/aspects-of-branding.html" title="Aspects of branding">Aspects of branding</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44757/the-importance-of-branding.html" title="The importance of branding">The importance of branding</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../45766/starterplenary-activity-anagrams-quiz-brands.html" title="Starter/Plenary activity - Anagrams Quiz (Brands)">Starter/Plenary activity - Anagrams Quiz (Brands)</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../45957/starterplenary-activity-whats-in-a-brand-name.html" title="Starter/Plenary activity - What's in a (brand) name?">Starter/Plenary activity - What's in a (brand) name?</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43713/45-glossary-of-key-terms-product.html" title="4.5 Glossary of key terms (Product)">4.5 Glossary of key terms (Product)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../42547/452-price.html" title="4.5.2 Price">4.5.2 Price</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43719/45-key-terms-price.html" title="4.5 Key Terms (Price)">4.5 Key Terms (Price)</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44782/453-promotion.html" title="4.5.3 Promotion">4.5.3 Promotion</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44783/above-the-line-promotion.html" title="Above the line promotion">Above the line promotion</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44795/below-the-line-promotion.html" title="Below the line promotion">Below the line promotion</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44797/through-the-line-promotion.html" title="Through the line promotion">Through the line promotion</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44801/social-media-marketing.html" title="Social media marketing">Social media marketing</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43721/45-glossary-of-key-terms.html" title="4.5 Glossary of key terms">4.5 Glossary of key terms</a></li></ul><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44803/454-place.html" title="4.5.4 Place">4.5.4 Place</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44804/the-importance-of-different-distribution-channels.html" title="The importance of different distribution channels">The importance of different distribution channels</a></li><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../43722/45-glossary-of-key-terms.html" title="4.5 Glossary of key terms">4.5 Glossary of key terms</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44758/455-people.html" title="4.5.5 People">4.5.5 People</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44773/456-processes.html" title="4.5.6 Processes">4.5.6 Processes</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44774/457-physical-evidence.html" title="4.5.7 Physical evidence">4.5.7 Physical evidence</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44982/appropriate-marketing-mixes.html" title="Appropriate marketing mixes">Appropriate marketing mixes</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44697/46-international-marketing-hl.html" title="4.6 International marketing (HL)">4.6 International marketing (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44698/opportunities-threats-posed-by-entry-into-international-markets.html" title="Opportunities & threats posed by entry into international markets">Opportunities & threats posed by entry into international markets</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45537/46-true-or-false-quiz.html" title="4.6 True or False Quiz">4.6 True or False Quiz</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45736/46-glossary-of-key-terms.html" title="4.6 Glossary of key terms">4.6 Glossary of key terms</a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../43565/unit-5-operations-mgt.html" title="Unit 5 - Operations Mgt">Unit 5 - Operations Mgt</a></li><ul class="level-1 "><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44817/51-introduction-to-operations-management.html" title="5.1 Introduction to operations management">5.1 Introduction to operations management</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44818/the-role-of-operations-management.html" title="The role of operations management">The role of operations management</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44812/52-operations-methods.html" title="5.2 Operations methods">5.2 Operations methods</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44815/operations-methods.html" title="Operations methods">Operations methods</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44861/53-lean-production-quality-management-hl.html" title="5.3 Lean production & quality management (HL)">5.3 Lean production & quality management (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44864/features-of-lean-production.html" title="Features of lean production">Features of lean production</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44872/methods-of-lean-production.html" title="Methods of lean production">Methods of lean production</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44874/cradle-to-cradle-design-manufacturing.html" title="Cradle to cradle design & manufacturing">Cradle to cradle design & manufacturing</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44875/quality-control-quality-assurance.html" title="Quality control & quality assurance">Quality control & quality assurance</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44876/methods-of-managing-quality.html" title="Methods of managing quality">Methods of managing quality</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44877/the-impact-of-lean-production-tqm.html" title="The impact of lean production & TQM">The impact of lean production & TQM</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44878/national-international-quality-standards.html" title="National & international quality standards">National & international quality standards</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44840/55-break-even-analysis.html" title="5.5 Break-even analysis">5.5 Break-even analysis</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44843/contribution.html" title="Contribution">Contribution</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44848/aspects-of-break-even-analysis.html" title="Aspects of break-even analysis">Aspects of break-even analysis</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44851/changes-in-price-and-costs.html" title="Changes in price and costs">Changes in price and costs</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44852/limitations-of-break-even-analysis.html" title="Limitations of break-even analysis">Limitations of break-even analysis</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44890/56-production-planning-hl.html" title="5.6 Production planning (HL)">5.6 Production planning (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44902/the-local-global-supply-chain-process.html" title="The local & global supply chain process">The local & global supply chain process</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44922/the-difference-between-jit-jic.html" title="The difference between JIT & JIC">The difference between JIT & JIC</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44931/stock-control-charts.html" title="Stock control charts">Stock control charts</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44970/capacity-utilization-rate.html" title="Capacity utilization rate">Capacity utilization rate</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45125/defect-rate.html" title="Defect rate">Defect rate</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43832/productivity.html" title="Productivity">Productivity</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45187/cost-to-buy-cost-to-make.html" title="Cost to buy & Cost to make">Cost to buy & Cost to make</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../46353/sinterklaas-putting-ctb-vs-ctm-into-practice.html" title="Sinterklaas - Putting CTB vs CTM into practice">Sinterklaas - Putting CTB vs CTM into practice</a></li></ul></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../45242/57-crisis-management-contingency-planning-hl.html" title="5.7 Crisis management & contingency planning (HL)">5.7 Crisis management & contingency planning (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45243/difference-between-crisis-management-contingency-planning.html" title="Difference between crisis management & contingency planning">Difference between crisis management & contingency planning</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45268/impact-of-contingency-planning.html" title="Impact of contingency planning">Impact of contingency planning</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45260/factors-that-affect-effective-crisis-management.html" title="Factors that affect effective crisis management">Factors that affect effective crisis management</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45554/57-true-or-false-quiz.html" title="5.7 True or False Quiz">5.7 True or False Quiz</a></li></ul><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../45669/59-management-information-systems-hl.html" title="5.9 Management Information Systems (HL)">5.9 Management Information Systems (HL)</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../42633/data-analytics.html" title="Data analytics">Data analytics</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45861/database.html" title="Database">Database</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../44966/cybersecurity-and-cybercrime.html" title="Cybersecurity and cybercrime">Cybersecurity and cybercrime</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45859/critical-infrastructures.html" title="Critical infrastructures">Critical infrastructures</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../46175/virtual-reality.html" title="Virtual reality">Virtual reality</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45862/the-internet-of-things.html" title="The internet of things">The internet of things</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45858/artificial-intelligence.html" title="Artificial intelligence">Artificial intelligence</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../42634/big-data.html" title="Big data">Big data</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43392/customer-loyalty-programmes.html" title="Customer loyalty programmes">Customer loyalty programmes</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../43395/digital-taylorism.html" title="Digital Taylorism">Digital Taylorism</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45671/data-mining.html" title="Data mining">Data mining</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../45856/benefits-risks-ethical-implications-of-mis.html" title="Benefits, risks, & ethical implications of MIS">Benefits, risks, & ethical implications of MIS</a></li></ul></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../42640/bmt-.html" title="BMT ">BMT </a></li><ul class="level-1 "><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399696.html" title="BMT 1 - SWOT analysis">BMT 1 - SWOT analysis</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399697.html" title="BMT 2 - Ansoff matrix">BMT 2 - Ansoff matrix</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44027/bmt-3-steeple-analysis.html" title="BMT 3 - STEEPLE analysis">BMT 3 - STEEPLE analysis</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42577/bmt-4-boston-consulting-group-matrix.html" title="BMT 4 - Boston Consulting Group matrix">BMT 4 - Boston Consulting Group matrix</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42956/bmt-5-business-plans.html" title="BMT 5 - Business plans">BMT 5 - Business plans</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43606/bmt-6-decision-trees.html" title="BMT 6 - Decision trees">BMT 6 - Decision trees</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42362/bmt-7-descriptive-statistics.html" title="BMT 7 - Descriptive statistics">BMT 7 - Descriptive statistics</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42226/bmt-8-circular-business-models.html" title="BMT 8 - Circular Business Models">BMT 8 - Circular Business Models</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43605/bmt-9-gantt-chart-hl-only.html" title="BMT 9 - Gantt chart (HL only)">BMT 9 - Gantt chart (HL only)</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42214/bmt-10-porters-generic-strategies-hl-only.html" title="BMT 10 - Porter's generic strategies (HL only)">BMT 10 - Porter's generic strategies (HL only)</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42216/bmt-11-hofstedes-cultural-dimensions-hl-only.html" title="BMT 11 - Hofstede's cultural dimensions (HL only)">BMT 11 - Hofstede's cultural dimensions (HL only)</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../../task/399698.html" title="BMT 12 - Force field analysis (HL only)">BMT 12 - Force field analysis (HL only)</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42375/bmt-13-critical-path-analysis-hl-only.html" title="BMT 13 - Critical path analysis (HL only)">BMT 13 - Critical path analysis (HL only)</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42344/bmt-14-contribution-hl-only-.html" title="BMT 14 - Contribution (HL only) ">BMT 14 - Contribution (HL only) </a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../42311/bmt-15-simple-linear-regression-hl-only.html" title="BMT 15 - Simple linear regression (HL only)">BMT 15 - Simple linear regression (HL only)</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../42758/concepts.html" title="Concepts">Concepts</a></li><ul class="level-1 "><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43633/creativity.html" title="Creativity">Creativity</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43631/ethics.html" title="Ethics">Ethics</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43435/sustainability.html" title="Sustainability">Sustainability</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43668/change.html" title="Change">Change</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../42836/ia-.html" title="IA ">IA </a></li><ul class="level-1 "><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44415/formulating-suitable-ia-questions.html" title="Formulating suitable IA questions">Formulating suitable IA questions</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../47685/supporting-documents-for-the-ia.html" title="Supporting documents for the IA">Supporting documents for the IA</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../47840/top-tips-for-the-ia-primary-research.html" title="Top tips for the IA – Primary research">Top tips for the IA – Primary research</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44047/50-sample-ia-research-questions.html" title="50+ Sample IA research questions">50+ Sample IA research questions</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../46719/recommended-format-for-the-ia.html" title="Recommended format for the IA">Recommended format for the IA</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../43603/exams.html" title="Exams">Exams</a></li><ul class="level-1 "><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../44091/paper-1.html" title="Paper 1">Paper 1</a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="std-disabled" href="#" title="Paper 2">Paper 2</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../46637/01-ikea.html" title="01 - IKEA">01 - IKEA</a></li></ul><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../45839/quantitative-techniques.html" title="Quantitative techniques">Quantitative techniques</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../46025/abbreviations-quiz.html" title="Abbreviations Quiz">Abbreviations Quiz</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../43740/command-terms.html" title="Command terms">Command terms</a></li><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../45612/glossary-of-key-terms.html" title="Glossary of key terms">Glossary of key terms</a></li></ul><li class=" parent std-toplevel" style="padding-left: 4px"><i class="expander fa fa-caret-right "></i><a class="" href="../33955/the-core.html" title="The Core">The Core</a></li><ul class="level-1 "><li class="" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../34902/cas-bm.html" title="CAS & BM">CAS & BM</a></li><li class=" parent" style="padding-left: 14px"><i class="expander fa fa-caret-right "></i><a class="" href="../21665/the-ee.html" title="The EE">The EE</a></li><ul class="level-2 "><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21934/the-bm-extended-essay.html" title="The BM Extended Essay">The BM Extended Essay</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../32857/ee-planning-form.html" title="EE Planning form">EE Planning form</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../37390/managing-the-ee-process.html" title="Managing the EE process">Managing the EE process</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../37496/top-10-tips-for-the-bm-ee.html" title="Top 10 tips for the BM EE">Top 10 tips for the BM EE</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21930/70-top-bm-ee-research-questions.html" title="70 top BM EE Research Questions">70 top BM EE Research Questions</a></li><li class=" parent" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../22196/tools-techniques-theories-for-the-ee.html" title="Tools, techniques & theories for the EE">Tools, techniques & theories for the EE</a></li><ul class="level-3 "><li class="" style="padding-left: 42px"><i class="expander fa fa-caret-right "></i><a class="" href="../44048/the-triple-bottom-line.html" title="The triple bottom line">The triple bottom line</a></li></ul><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21836/understanding-the-assessment-criteria.html" title="Understanding the assessment criteria">Understanding the assessment criteria</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../37960/reflections-and-engagement-in-the-ee.html" title="Reflections and engagement in the EE">Reflections and engagement in the EE</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../41874/the-mandatory-reflection-sessions.html" title="The mandatory reflection sessions">The mandatory reflection sessions</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../37659/top-10-tips-for-completing-the-rppf.html" title="Top 10 Tips for completing the RPPF">Top 10 Tips for completing the RPPF</a></li><li class="" style="padding-left: 28px"><i class="expander fa fa-caret-right "></i><a class="" href="../21945/academic-integrity-the-ee.html" title="Academic Integrity & the EE">Academic Integrity & the EE</a></li><li class="" style="padding-left: 28px"><i 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<div id="main-column" class="span9"> <article id="terminology-for-understanding-organizational-structures" style="margin-top: 16px;">
<h1 class="section-title">Terminology for understanding organizational structures</h1>
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<div class="panel panel-purple"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p>Unit 2.2 - Terminology for understanding organizational structures (AO2)</p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;"><img alt="" src="../../../ib/businessmanagement/images/2.2-organizational-chart-1.png" style="width: 280px; height: 187px;"></span></p><p>This section of the IB Business Management syllabus looks at terminology to facilitate understanding of different types of organizational structures (AO2).</p><p><span style="font-family:arial,helvetica,sans-serif;">The <strong>organizational structure</strong> of a business shows the interrelationships and hierarchical arrangements within the firm. In order for employees to achieve the organization’s goals collectively, human resources need to be formally organized. The way in which people are organized determines who each employee reports to, and the breadth and depth of the authority each person has (if any). The <strong>organizational chart</strong> is a diagrammatic representation of an organization’s formal organizational structure. Hence, it shows the role(s) of each employee in the organization, responsibilities, and accountability (who each employee must formally report to).</span></p><p><span style="font-family:arial,helvetica,sans-serif;"></span></p><p><span style="font-family:arial,helvetica,sans-serif;">The following terms feature in the IB Business Management syllabus to facilitate understanding of different types of organizational structures:</span></p><div class="row-fluid"><div class="span6 col-left"><div><ul class="branded"><li><span style="font-family:arial,helvetica,sans-serif;">Delegation</span></li><li><span style="font-family:arial,helvetica,sans-serif;">Span of control</span></li><li><span style="font-family:arial,helvetica,sans-serif;">Levels of hierarchy</span></li><li><span style="font-family:arial,helvetica,sans-serif;">Chain of command</span></li><li><span style="font-family:arial,helvetica,sans-serif;">Bureaucracy</span></li></ul></div></div><div class="span6"><div><ul class="branded"><li><span style="font-family:arial,helvetica,sans-serif;">Centralization</span></li><li><span style="font-family:arial,helvetica,sans-serif;">Decentralization</span></li><li><span style="font-family:arial,helvetica,sans-serif;">De-layering</span></li><li>Matrix structure</li></ul></div></div></div><section class="tib-hiddenbox"><p><span style="color:#FF0000;">Please note that whilst this topic was covered in the previous syllabus (final exams N23), the content has increased from AO1 to AO2 in the new guide. In addition, the matrix structure has been added to this part of the course.</span></p></section><p><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-youtube fa-lg" style="color: rgb(202, 72, 26);"> </span> Watch this video clip to gain an overview of organizational structures:</span></p><p><span style="font-family:arial,helvetica,sans-serif;"><iframe allow="encrypted-media" allowfullscreen="" frameborder="0" gesture="media" height="360" src="https://www.youtube.com/embed/Chb3Mk7wVVQ" width="640"></iframe></span></p></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-default panel-expandable"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">1. Delegation (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;"><img alt="" src="../../../ib/businessmanagement/images/delegate.jpg" style="width: 280px;"></span></p><p><span style="font-family:arial,helvetica,sans-serif;"><strong>Delegation</strong> occurs when a line manager entrusts and empowers a subordinate with authority to successfully complete a particular task, project or role. It involves passing on control and authority but holding subordinates accountable for their actions. Although authority and decision making are passed on, the <strong>responsibility</strong> for the outcome remains with the line manager because they are ultimately in charge.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">As an organization grows and evolves, delegation becomes more commonplace as managers do not have the capacity to do everything or make all decisions. Hence, they need to share the workload and pass on some of their roles. If delegation is successful, it frees up managers to deal with other important responsibilities, such as strategic planning.</span></p><h5><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-check-circle-o fa-lg" style="color: rgb(103, 7, 124);"> </span> Advantages of delegation</span></h5><ul class="branded"><li><p><span style="font-family:arial,helvetica,sans-serif;">Delegation can motivate employees, as they feel valued and empowered. As American psychologist Abraham Maslow argued, recognition (of workers’ skills, talents and abilities) is a motivation factor as it helps to meet both the love/belonging and esteem needs to the employees.</span></p></li><li><p>Delegation can improve the quality and speed of decision-making, especially in large organizations. Delegation means that decisions can be made by employees who have a better understanding of their roles and the specific needs of customers, without having to refer all issues and problems to senior managers.</p></li><li><p>Effective delegation helps to reduce the workload of senior managers, especially if work is delegated to highly competent employees. This frees up valuable time for executives and directors to focus on the strategic direction of the business.</p></li><li><p>Delegation helps to improves the skills and qualities of employees throughout the business, so helps to prepares them for more senior roles within the organization. This helps to boost employee morale as well as staff retention.</p></li></ul><h5><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-times-circle-o fa-lg" style="color: rgb(103, 7, 124);"> </span> Limitations of delegation</span></h5><ul class="branded"><li><p><span style="font-family:arial,helvetica,sans-serif;">Delegation usually comes with additional pay or remuneration, but this is not always the case - it depends on the scale and scope of what is being delegated. If so, this will tend to increase the overall costs for the business.</span></p></li><li><p>Delegation often requires the business to invest in prior training and development of employees to ensure they have the necessary skills and qualifications to carry out the delegated tasks. This can be both time consuming and expensive for the business.</p></li><li><p><span style="font-family:arial,helvetica,sans-serif;">It should also be noted that delegation does not motivate everyone - not all workers are willing and/or able to take on extra workload or accountability.</span></p></li><li><p><span style="font-family:arial,helvetica,sans-serif;">Some workers might also feel disgruntled that they are doing the work of the manager especially if delegation takes place without additional pay and recognition.</span></p></li><li><p>Delegation is not a suitable in numerous situations, such as in organizations with low-skilled, manual workers who require supervision and direction or during a major crisis. In such situations, decision making is best left to experienced senior executives and directors.</p></li></ul><div class="yellowBg"><h5><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-lightbulb-o fa-lg" style="color: rgb(103, 7, 124);"> </span> Top tip!</span></span></h5><p>Make sure you can distinguish between authority and responsibility. <strong>Authority</strong> refers to the official rights of a line manager to give orders and instructions to his/her subordinates in the organization to get things done. <strong>Responsibility </strong>refers the duties and obligation assigned to a person in the organization. For example, managers are held responsible for the work and tasks they delegate, even though these are carried out by subordinates.</p></div><p><span class="snippet-fa fa fa-youtube fa-lg" style="color: rgb(202, 72, 26);"> </span> Watch this short video to recap on the importance of delegation in the workplace.</p><p><iframe allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="360" src="https://www.youtube.com/embed/ziOqIzZflZI" width="640"></iframe></p></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">2. Span of control (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;">The <strong>span of control</strong> refers to how many workers are directly accountable to (or under the authority of) a particular line manager, i.e. the number of workers who report directly to a particular manager. In this example, the chief executive officer (CEO) of the company has a span of control of four people (such as the directors of marketing, finance, operations and human resources).</span></p><p><span style="font-family:arial,helvetica,sans-serif;"><img alt="" height="102" src="../../../ib/businessmanagement/images/2.2-1.jpg" width="370"></span></p><p><span style="font-family:arial,helvetica,sans-serif;">There is an inverse relationship between the span of control and the number of layers in the organizational hierarchy (or l<span style="font-family:arial,helvetica,sans-serif;">evels of the hierarchy</span>). Managers have a <strong>narrow span of control</strong> in organizations that prefer to have a tighter (closer) control on decision-making. It enables managers to keep closer control over the activities and operations of the employees for whom they are directly responsible for. By contrast, delegation is inevitable when the span of control is wide.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">A <strong>wide span of control </strong>means a line manager has responsibility for many subordinates. A narrow span of control can present challenges for managers in terms of communication and control unless they are able to delegate effectively to members of their team. Naturally, workers have a greater degree of independence if there is a wide span of control as it is not possible for an individual line manager to monitor the work and progress of each and every subordinate in the team. However, a wide span of control can help to reduce costs (as there are fewer levels of management in the organizational hierarchy) but this requires strong leadership.</span></p><p>Whether a business decides to adopt a wide or narrow span of control depends on three main interralated factors:</p><ul class="branded"><li><p>Employee competencies - This refers to the skills, qualifications, training, and experience of employees. Workers who are highly competent are more likely to be given greater authority and flexibility to make decisions and to organize their own work. Hence, the employer is more able and willing to use wider spans of control and delegation.</p></li><li><p>Managerial competencies - This refers to the attitudes and beliefs of of managers, and hence their management styles. Some managers believe that a workforce is most<br>efficient if employees are given greater freedom to make decisions and they are more likely to<br>delegate authority to junior employees, enabling the use of wide spans of control</p></li><li><p>The business context - This refers to the nature of the organization and the market(s) in which it operates as well as the activities under consideration. Large, multinational companies (MNCs) will need to be structured differently from small sole traders or partnerships. MNCs will have wider spans of control as senior managers will be responsible for larger teams, possibly across multiple geographical locations. In the case of sole traders and small partnerships, the business owners may maintain narrower spans of control.</p></li></ul><p><span style="font-family:arial,helvetica,sans-serif;">However, there is no universally accepted number that determines what is a narrow or wide span of control, so </span><span style="font-family:arial,helvetica,sans-serif;">this really depends on the context of the organization and the industry in which it operates.</span></p></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">3. Levels of the hierarchy (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;">The term <strong>levels of hierarchy</strong> refers to the number of layers of formal authority. It is represented in an organizational chart. Each horizontal level in the hierarchy shows the level of seniority in the organization. In the example below, there are five levels in the organizational hierarchy.</span></p><h4><span style="font-family:arial,helvetica,sans-serif;"><img alt="" height="169" src="../../../ib/businessmanagement/images/2.2-2.jpg" width="402"></span></h4><p><span style="font-family:arial,helvetica,sans-serif;"><span style="font-family:arial,helvetica,sans-serif;">The hierarchical structures in an organization show where workers fit within the firm, showing their level of seniority. The organizational hierarchy also indicates lines of communication, decision-making authority, accountabilities and responsibilities.</span></span></p><p><span style="font-family:arial,helvetica,sans-serif;"><span style="font-family:arial,helvetica,sans-serif;"></span>A <strong>tall structure</strong> (or<strong> vertical structure</strong>) has a large number of levels of hierarchy, so the span of control is likely to be narrow. This means that there are many people between the person at the top of the organization (the CEO or Managing Director) and those at the bottom of the hierarchical structure. Hence, decision-making tends to be centralized and relatively quick. Tall structures can benefit from the advantages of delegation (see above) but can be costly due to the large number of managerial structures in the organization.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">By contrast, a wider span of control means the organization has a <strong>flat structure</strong> (or <strong>horizontal structure</strong>). This means there are only a few levels or layers in the organizational hierarchy. Decision-making is therefore decentralized and therefore takes a relatively longer time. Flatter strucutures tend to benefit from improved and speedier communications as there are fewer layers in the hierarchy. However, they do not create many promotional opportunities for employees and can overburden those in managerial positions.</span></p></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">4. Chain of command (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;">The <strong>chain of command</strong> refers to the formal lines of authority in an organization. It can be seen via an organizational chart, which shows the formal path through which commands and decisions are communicated from senior managers to subordinates and operatives lower down in the organizational hierarchy.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">The chain of command is typically represented by vertical lines of authority, from top to bottom. This shows that commands (instructions or directions) and decisions are passed down the organizational hierarchy. It also reveals how communications flow throughout the organization.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">In the example below, the marketing team would receive communications (commands and decisions) from the director of marketing. If the chief executive officer (CEO)* wanted to communicate with the finance staff about a particular issue, the message would pass through the chain of command, via the finance director to the marketing manager, and finally to the finance staff.</span></p><h4><span style="font-family:arial,helvetica,sans-serif;"><img alt="" height="214" src="../../../ib/businessmanagement/images/2.2-3.jpg" width="376"></span></h4><p>Larger businesses and those with tall (vertical) hierarchical structures tend to have longer chains of command, and vice versa. However, long chains of command can create challenges for operational efficiency and miscommunications. In any case, h<span style="font-family:arial,helvetica,sans-serif;">aving clear and formal chains of command help to improve communications within an organization, ensuring that directions and decisions are more likely to be understood and acted by subordinates. Businesses with flatter structures (fewer levels in the organizational hierarchy) have shorter chains of command.</span> However, it is not alway practical or beneficial for businesses to reduce the number of layers in its organizational structure.</p><p><span style="color:#696969;">* Read more about the role of a CEO by clicking the icon below.</span></p><section class="tib-hiddenbox"><p>The <strong>Chief Executive Officer</strong> (CEO), also known as the <strong>Managing Director</strong> (MD), is the person who represents the head of the Board of Directors (BOD). The CEO can appoint a Chairperson who chairs the BOD meetings. Although it is quite common for a CEO to also be the Chairperson, this is not a necessary requirement. The CEO and BOD are ultimately responsible for running the business and are accountable to the company’s shareholders. Shareholders collectively approve the appointment of the BOD at the Annual General Meeting.</p><p>The main roles of the MD or CEO are to:</p><ul><li><p>Act as a figurehead or ambassador for the organization.</p></li><li><p>Lead the team of directors.</p></li><li><p>Represent the desires, ideas and beliefs of the directors.</p></li><li><p>Formulate organizational objectives and policies with the BOD.</p></li><li><p>Communicate with the BOD regarding any problems, concerns and decisions that need to be made.</p></li><li><p>Devise and implement business strategy.</p></li></ul><hr class="hidden"><p><strong>The Board of Directors (BOD)</strong></p><p><strong>Directors</strong> are responsible for the overall running of the business. In a large firm, there is likely to be directors responsible for each key functional area: marketing, human resources, finance and operations management. There are two main types of directors:</p><ul><li><p><strong>Executive directors</strong> work full-time at the organization and make key decisions.</p></li><li><p><strong>Non-executive directors</strong> do not work at the organization but are consultants used for their particular expertise. They advise the Board of Directors on corporate strategy.</p></li></ul><p>Duties of the Board of Directors are broad and varied, but typically include:</p><ul><li><p>Target setting</p></li><li><p>Devising long term plans</p></li><li><p>Establishing organizational policies and codes of practice</p></li><li><p>Monitoring and controlling the organization’s activities</p></li><li><p>Overseeing staffing issues, e.g. recruitment, promotion, performance management and dismissal of workers</p></li><li><p>Advising and supporting the CEO.</p></li></ul></section></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">5. Bureaucracy (AO2)</span></p></div></div><div class="panel-body"><p><span style="font-family:arial,helvetica,sans-serif;"><strong>Bureaucracy </strong>refers to administrative systems within an organization. This includes the formal policies and procedures of the business. A bureaucratic organization is one that has a lot of formal rules, regulations and procedures. There is a lack of flexibility as the organization is set in the way it does things.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">Typically, bureaucratic organizations involve a lot of paperwork to get tasks approved and accomplished. Auditing is also commonplace in order to show that rules, policies and procedures have been correctly followed. It is associated with clear hierarchical structures with employees fulfilling specific roles and being held accountable for their areas of responsibility. Hence, bureaucracy helps managers to ensure they have control of their business and its operations.</span></p><h4><span style="font-family:arial,helvetica,sans-serif;"><img alt="" height="164" src="../../../ib/businessmanagement/images/policies.jpg" width="301"></span></h4><p><span style="font-family:arial,helvetica,sans-serif;">Bureaucracy is associated with organizations that are large and well-established, i.e. ones which have been in operation for many years. They are also more likely to have tall hierarchical structures, with a many layers of management. Hence, authority and decision-making tend to be centralized.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">However, there are disadvantages. Bureaucratic organizations are inflexible, so are slow in responding to changes in the external business environment. Also, as people have to adhere to fixed rules, regulations and policies, creativity and innovation are essentially discouraged. Nevertheless, the main limitation or criticism is that bureaucracy (with all its detailed and complex rules and procedures) slows down decision making and causes operational inefficiencies.</span></p><div class="yellowBg"><h5><span class="snippet-fa fa fa-cubes fa-lg" style="color: rgb(103, 7, 124);"> </span><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"> ATL Activity 5 (Research, Communication, and Thinking skills)</span></span></h5><div>Investigate the IB 5-year review process at your school. Your teacher and/or IB Diploma Programme Coordinator can be invited to lead a short talk about the (bureaucratic) process. The review process should include coverage of matters such as:</div><div></div><div><ul class="branded"><li><p>The school's mission statement and values statement</p></li><li><p>The organizational chart</p></li><li><p>The written curriculum at the school, including evidence of allocated teaching time</p></li><li><p>Evidence of collaborative planning</p></li><li><p>Policies, including assessment policy, academic integrity policy, and language policy</p></li><li><p>IB staff roles, such as identifying which members of staff at the school are IB examiners, IB workshop leaders, IB field representatives, and so forth</p></li><li><p>Stakeholder surveys (including students, staff, parents, and the school's governing body)</p></li><li><p>School facilities and how these support teaching and learning</p></li><li><p>Budgeting and resourcing</p></li><li><p>Areas in need of further development or improvement as identified from the self-study process</p></li><li><p>Action plan of the school (strategic plan).</p></li></ul></div><div><section class="tib-teacher-only" readonly="true" title="This box is not visible to students"><div class="header" readonly="true"><img class="icon" src="../../../thinkib/icons/teacher-only.svg"> Teacher only box</div><div class="content" readonly="false"><p><span style="color:#FF0000;"><strong>Suggestion</strong></span></p><p><span style="color:#FF0000;">Get students to work in small groups of 2 or 4 people to complete one of the tasks above, such as creating an organizational chart for the school.</span></p><p><span style="color:#FF0000;">Ideally, you would want the entire class to cover all the tasks above, but this will depend on class sizes in your school.</span></p></div></section></div></div><div class="greenBg"><h5><span class="snippet-fa fa fa-cogs fa-lg" style="color: rgb(103, 7, 124);"> </span> <span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;">Theory of Knowledge (TOK)</span></span></h5><p>Do bureaucracies improve or hinder transparency?</p></div><div class="greenBg"><h5><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-linode fa-lg" style="color: rgb(103, 7, 124);"> </span> Key concept - Creativity</span></span></h5><p>To what extent does bureaucracy discourage <strong>creativity</strong> in the workplace?</p></div><div class="greenBg"><h5><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-linode fa-lg" style="color: rgb(103, 7, 124);"> </span> Key concept - Creativity</span></span></h5><p>Is there any role for <strong>creativity </strong>in large, formal, and bureaucratic organizations.</p></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">6. Centralization (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;"><strong>Centralization </strong>refers to the situation in organizations where decision-making is predominantly made by a small group of senior managers at the top of the organizational hierarchy. For example, in a tall organizational structure, with many levels in the organizational hierarchy, decision-making tends to be centralized.</span></p><p><span style="font-family:arial,helvetica,sans-serif;"><img alt="" height="247" src="../../../ib/businessmanagement/images/2.2-4.jpg" width="284"></span></p><p><span style="color:#696969;"><span style="font-family:arial,helvetica,sans-serif;"><em>Centralized organization and decision-making</em></span></span></p><p><span style="font-family:arial,helvetica,sans-serif;">Centralization is typically associated with organizations that have narrow spans of control. Leadership and management are likely to be autocratic or paternalistic. For example, the emergency services (ambulance, fire, and police services) uses a centralized organizational structure and tight chains of command to ensure that their services safeguard the general public.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">Centralized decision-making ensures decision-making is swift and that the group of senior managers can maintain better command and control. In particular, centralization should ensure that everyone in the organization pursues the <span style="font-family:arial,helvetica,sans-serif;">business </span>objectives set by senior executives and directors.</span></p><p><span style="font-family:arial,helvetica,sans-serif;"><img alt="" src="../../../ib/businessmanagement/images/emergency-services.jpg" style="width: 280px; height: 187px;"></span></p><p><span style="color:#696969;"><span style="font-family:arial,helvetica,sans-serif;"><em>The emergency services use centralized organizational structures</em></span></span></p><p><span style="font-family:arial,helvetica,sans-serif;"></span></p><p><span style="font-family:arial,helvetica,sans-serif;">However, as delegation rarely happens in centralized organizations, morale and productivity may be lower than otherwise. In addition, such structures are very rigid (inflexible), which can be demotivating for employees, who cannot express their opinions or suggestions. It also means that centralization is unsuitable for industries that rely on creativity and autonomous decision-making, e.g., the high-tech industry.</span></p><p>Whether an organization is centralized or decentralized (see below) partly depends on the dominant leadership style and the organizational culture. The decision to adopt a centralized organization may reflect the preferred style of leadership style of the business as senior executives and directors wish to retain authority and control of all business activities and operations. This can be beneficial in numerous circumstance, such as:</p><ul class="branded"><li>Situations when rapid decision making is required, such as during a major crisis than threatens the survival of the business.</li><li>In organizations where low-skilled workers form the vast majority of the workforce, so employees require direction and supervision to meet <a href="../../task/399680.html" title="New syllabus 2022 » Unit 1 - Introduction to Business Management » 1.3 Business objectives » Common business objectives">organizational objectives</a>.</li><li>When centralization can lead to cost savings, such as fewer managerial positions throughout the organization or when buying decisions are made centrally (creating opportunities to benefit from <a href="../44212/economies-diseconomies-of-scale.html" title="New syllabus 2022 » Unit 1 - Introduction to Business Management » 1.5 Growth and evolution » Economies & diseconomies of scale">purchasing economies of scale</a>).</li></ul></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">7. Decentralization (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;"><strong>Decentralization</strong> refers to the situation in organizations where decision-making authority is delegated throughout, rather from a central authoritative group. It is, essentially, the opposite of centralization. In a decentralized organization, decision-making authority is delegated to middle and junior level managers, although (as with all organizations) strategic decision-making is maded by the group of senior managers.</span></p><p><span style="font-family:arial,helvetica,sans-serif;"><img alt="" height="266" src="../../../ib/businessmanagement/images/2.2-5.jpg" width="297"></span></p><p><span style="color:#696969;"><span style="font-family:arial,helvetica,sans-serif;"><em>Decentralized organization and decision-making</em></span></span></p><p><span style="font-family:arial,helvetica,sans-serif;">A decentralized organization tends to have a flatter hierarchical structure, with fewer levels in the organizational hierarchy. Managers tend to have wider spans of control, meaning that subordinates have greater autonomy as decision-making is delegated. Unlike centralized structures which tend to have a ‘top-down’ approach (autocratic or paternalistic management and leadership styles), a decentralized organization is usually more democratic.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">Decentralization can help to improve morale and productivity as workers feel valued and empowered. Decision-making is more flexible, and can usually be made a lot quicker. It also reduces the workload on senior executives and directors, freeing up their time to focus on strategic (rather than operational or tactical) matters.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">However, <span style="font-family:arial,helvetica,sans-serif;">decentralization means it is </span>more difficult for senior managers to know about all of the decisions that are made, especially in large organizations with multiple locations. This makes it more challenging for them to maintain overall control of the <span style="font-family:arial,helvetica,sans-serif;">organization </span>and to ensure employees maintain clear focus on <span style="font-family:arial,helvetica,sans-serif;"><span style="font-family:arial,helvetica,sans-serif;"></span>business </span>objectives.</span></p></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">8. Delayering (AO2)</span></p></div></div><div class="panel-body"><div><p><span style="font-family:arial,helvetica,sans-serif;"> <img alt="" src="../../../ib/businessmanagement/images/2-hrm/delayering.jpg" style="width: 300px; height: 185px;"> </span></p><p><span style="font-family:arial,helvetica,sans-serif;"></span></p><p><span style="font-family:arial,helvetica,sans-serif;"><strong>Delayering </strong>occurs when an organization removes one or more layers in its hierarchical structure, i.e. it reduces the number of layers of management to make the organization flatter.</span></p><p><span style="font-family:arial,helvetica,sans-serif;">The intention is twofold: (i) to cut costs, and (ii) to remove or reduce bureaucratic inefficiencies in the organization. Delayering removes levels in the organizational hierarchy so can result in substantial reductions in wage costs for the business. Delayering also widens spans of control, and can help to improve communications in the workplace as there are shorter chains of command. For many firms, delayering has been attractive due to the growth in flexible working practices, which has meant less of a need to have traditional, hierarchical organizational structures. </span></p><p><span style="font-family:arial,helvetica,sans-serif;">However, delayering adds to the workload of the existing workforce, especially those who have responsibility for a larger team (due to the wider span of control associated with delayering). This can cause anxiety, stress, resentment and conflict, so must be handled carefully by the management team. <span style="font-family:arial,helvetica,sans-serif;">The management team also need to be sensitive to those who</span> lose out from delayering as their security needs may be threathened, causing demotivation and lower labour productivity. In addition, delegation can cause a loss of institutional knowledge and internal expertise as employees in former managerial positions no longer contribute to the decision making process in the same ways as before. </span></p><div class="yellowBg"><h5><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-lightbulb-o fa-lg" style="color: rgb(103, 7, 124);"> </span> Top tip!</span></span></h5><p>Do not confuse <em>delayering </em>is not the same as <em>redundancies</em>, although they can be linked to one another. Delayering does not necessarily cause job losses as people can simply be redeployed to other positions or roles in the organization. Essentially, delayering is a reduction in the number of layers in the hierarchical organizational structure. By contrast, redundancies means job losses as there is no longer demand for certain roles in the organization.</p></div></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-expandable panel-default"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">9. Matrix structure (AO2)</span></p></div></div><div class="panel-body"><p><img alt="" src="../../../ib/businessmanagement/images/2-hrm/matrix-structure.jpg" style="width: 300px; height: 200px;"></p><div><p>Organizational structures are not static due to the dynamic nature of the global business environment and changes in the <a href="../44027/bmt-3-steeple-analysis.html" title="New syllabus 2022 » Business Management Toolkit (BMT) » BMT 3 - STEEPLE analysis">external environment</a>. In reality, organizational structures are often more flexible and adaptable to change. A <strong>matrix structure </strong>is a flexible organizational structure based on the specific needs of a particular business to meet the changing needs of the organization.</p><p>A matrix structure involves organizing or assigning individuals to multiple roles, so they are placed in multiple reporting lines. This type of organizational structure is typically used to promote cross-functional collaboration. Individuals may report to multiple managers, and be part of multiple teams. For example, a teacher of IB DP Business Management might also be on the TOK team, a pastoral leader, or even on the Senior Leadership Team. This type of structure allows for more efficient decision-making and faster response times due to improved communications. However, it can also lead to confusion and conflict due to the complex reporting lines and people holding multiple roles.</p><p>Matrix structures are a type of task-oriented organizational structure is designed to allow firms to be responsive to changes in market demand for goods and services as well as changing needs of a business. As a flexible organizational structure, it can be used by any type of business in many different situations. Using experts from across the organization in a matrix structure can help to generate new and creative ideas, as well as improve productivity. The flexibility enables organizations to overcome limitations associated with traditional or hierarchical organizational structures.</p><p>However, matrix structures can isolate team members who work outside of their departments and ‘comfort zone’. Sub-cultures are formed which might unsettle some employees. There might also be conflicting interests, as employees report to two or more managers (their designated line manager and project managers in the matrix structure), so have to deal with uncertainties about prioritising different tasks. Conflict can result between managers and employees if there are divided loyalties, resulting in lower morale and productivity. Furthermore, matrix structures are complex so can be expensive to execute.</p><p>Similarly, some employees may feel demoralized due to the increased workload and pressures, especially if they are involved in numerous assignments happening at the same time. Finally, additional resources and finance are required to fund the different teams in a matrix structure.</p></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-purple panel-expandable"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><h6><span style="font-family:arial,helvetica,sans-serif;">Key terms</span></h6></div></div><div class="panel-body"><div><ul class="branded"><li><p><strong>Authority</strong> refers to the official rights of a line manager to give orders and instructions to his/her subordinates in the organization to get things done.</p></li><li><p><strong>Bureaucracy </strong>refers to administrative systems within an organization. This includes the formal policies and procedures of the business.</p></li><li><p><strong>Centralization </strong>refers to the situation in organizations where decision-making is predominantly made by a small group of senior managers at the top of the organizational hierarchy.</p></li><li><p>The <strong>chain of command</strong> refers to the formal lines of authority in an organization.</p></li><li><p><strong>Decentralization</strong> refers to the situation in organizations where decision-making authority is delegated throughout, rather from a central authoritative group.</p></li><li><p><strong>Delayering </strong>occurs when an organization removes one or more layers in its hierarchical structure, i.e. it reduces the number of layers of management to make it flatter.</p></li><li><p><strong>Delegation</strong> occurs when a line manager entrusts and empowers a subordinate with <strong>authority</strong> to successfully complete a particular task, project or role.</p></li><li><p>A <strong>flat structure</strong> has few levels in the organizational hierarchy.</p></li><li><p><strong>Hierarchical structures</strong> in an organization show where each worker fits within the firm, showing his/her level of seniority.</p></li><li><p><strong>Levels of hierarchy</strong> refers to the number of layers of formal authority. It is represented in an organizational chart.</p></li><li><p>A <strong>matrix structure </strong>is a form of flexible organizational structure that uses teams of employees with suitable skills and qualifications drawn from different departments or divisions of the business.</p></li><li><p>The <strong>organizational</strong><strong> chart</strong> is a diagrammatic representation of an organization’s formal organizational structure.</p></li><li><p>The <strong>organizational</strong><strong> structure</strong> of a business shows the interrelationships and hierarchical arrangements within the firm.</p></li><li><p><strong>Responsibility </strong>refers the duties and obligation assigned to a person in the organization.</p></li><li><p>The <strong>span of control</strong> refers to how many workers are directly accountable to (or under the authority of) a particular line manager.</p></li><li><p>A <strong>tall structure</strong> has many levels of hierarchy, so the span of control is likely to be narrow.</p></li></ul></div></div></div><div class="yellowBg"><h5><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-pencil-square-o fa-lg" style="color: rgb(103, 7, 124);"> </span> </span></span></h5><section class="tib-teacher-only" readonly="true" title="This box is not visible to students"><div class="content" readonly="false"></div></section></div><h4><span style="color:#FF0000;"><span style="font-family:arial,helvetica,sans-serif;"><span class="snippet-fa fa fa-question-circle-o fa-lg" style="color: rgb(103, 7, 124);"> </span> </span></span></h4><div class="tib-quiz" data-quiz-id="1421" data-structure="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" data-score-answers="6d4a526a457a48584f763758344a7649472f76324c53614b78524c393439595570496d5a5971374b38686f3d"><div class="exercise">
<div class="q-question">
<p>Which term describes refers to the official rights of a line manager to give orders and instructions to his/her subordinates in the organization to get things done?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="f68d7f55f4083a854810c69c9d259e46"><input type="radio"><span> Bureaucracy</span></label></p>
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
</div>
<div class="q-explanation">
<p>Authority refers to the official rights of a line manager in an organization to give orders and instructions to his/her subordinates to get things done.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to administrative systems within an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="957fc460ac426388f010a36161f8d269"><input type="radio"><span> Chain of command</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
<p><label class="radio" data-answer="f68d7f55f4083a854810c69c9d259e46"><input type="radio"><span> Bureaucracy</span></label></p>
</div>
<div class="q-explanation">
<p>Bureaucracy refers to administrative systems (formal processes and policies, including paperwork) within an organization.This includes the formal policies and procedures of the business.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the situation in organizations where decision-making is predominantly made by a small group of senior managers at the top of the organizational hierarchy?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
</div>
<div class="q-explanation">
<p><span style="color:#FF0000;">Centralization refers to the situation in organizations where decision-making is predominantly made by a small group of senior managers at the top of the organizational hierarchy, i.e. decision-making power is centralized in the hands of a few (senior executives).</span></p>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the formal lines of authority in an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="c30467b06390760855aa876e224a9daf"><input type="radio"><span> Hierarchical structures</span></label></p>
<p><label class="radio" data-answer="8b63f64b0d81f4ccd1beef9a2d5b54f8"><input type="radio"><span> Organizational structure</span></label></p>
<p><label class="radio" data-answer="957fc460ac426388f010a36161f8d269"><input type="radio"><span> Chain of command</span></label></p>
</div>
<div class="q-explanation">
<p>The chain of command refers to the formal lines of authority in an organization, as illustrated in an organizational chart.</p>
</div>
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<div class="exercise">
<div class="q-question">
<p>Which term refers to the situation in organizations where decision-making authority is delegated throughout the firm?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
</div>
<div class="q-explanation">
<p>Decentralization refers to the situation in organizations where decision-making authority is delegated throughout, rather from a central authoritative group.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>What occurs when an organization removes one or more layers in its hierarchical structure?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="4d69b75d66a9d6db6d1843a78caa32fa"><input type="radio"><span> Demarcation</span></label></p>
</div>
<div class="q-explanation">
<p>De-layering occurs when an organization removes one or more layers in its hierarchical structure, i.e. it reduces the number of layers of management to make it flatter.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>What occurs when a line manager entrusts and empowers a subordinate with authority to successfully complete a particular task?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
</div>
<div class="q-explanation">
<p>Delegation occurs when a line manager entrusts and empowers a subordinate with authority to successfully complete a particular task, project or role.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to an organization with only a few levels in the organizational structure?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="e7357adc78cf69c74d5ed7db91e9e66c"><input type="radio"><span> Levels of hierarchy</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
<p><label class="radio" data-answer="dc7863b5de1b3891378901e5472806be"><input type="radio"><span> Tall structure</span></label></p>
</div>
<div class="q-explanation">
<p>A flat structure has few levels in the organizational hierarchy.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term is used to show where each worker fits within an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="c30467b06390760855aa876e224a9daf"><input type="radio"><span> Hierarchical structures</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="b2e0166ea571c0f94d00264cbf0cac8b"><input type="radio"><span> Accountability</span></label></p>
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
</div>
<div class="q-explanation">
<p>Hierarchical structures in an organization show where each worker fits within the firm, showing his/her level of seniority.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the number of layers of formal authority in an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="e7357adc78cf69c74d5ed7db91e9e66c"><input type="radio"><span> Levels of hierarchy</span></label></p>
<p><label class="radio" data-answer="9734b7435a5483cb704b1f99c321b2de"><input type="radio"><span> Organizational chart</span></label></p>
<p><label class="radio" data-answer="3ff5deb8ef4ced1ba593aa0237387474"><input type="radio"><span> Empowerment</span></label></p>
</div>
<div class="q-explanation">
<p>Levels of hierarchy refers to the number of layers of formal authority. It is represented in an organizational chart.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to a diagrammatic representation of an organization’s formal organizational structure?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="9734b7435a5483cb704b1f99c321b2de"><input type="radio"><span> Organizational chart</span></label></p>
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
</div>
<div class="q-explanation">
<p><span style="color:#FF0000;">The organizational chart is a diagrammatic illustration of a firm’s formal human resource structures.</span></p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the interrelationships and hierarchical arrangements within a business?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="8b63f64b0d81f4ccd1beef9a2d5b54f8"><input type="radio"><span> Organizational structure</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
</div>
<div class="q-explanation">
<p>The organizational structure of a business shows the interrelationships and hierarchical arrangements within the firm.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers the duties and obligation assigned to a person in the organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
</div>
<div class="q-explanation">
<p>Responsibility refers the duties and obligation assigned to a person in the organization.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to how many workers are directly accountable to a particular line manager?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="3ff5deb8ef4ced1ba593aa0237387474"><input type="radio"><span> Empowerment</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
</div>
<div class="q-explanation">
<p>The span of control refers to how many workers are directly accountable to (or under the authority of) a particular line manager.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to firms with many levels of hierarchy?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
<p><label class="radio" data-answer="dc7863b5de1b3891378901e5472806be"><input type="radio"><span> Tall structure</span></label></p>
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
</div>
<div class="q-explanation">
<p>A tall structure has many levels of hierarchy, so the span of control is likely to be narrow.</p>
</div>
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<p> </p>
<div class="totals"><span class="score">Total Score: </span><button class="btn btn-success check-total"><i class="fa fa-check-square-o"></i> Check</button></div></div><hr><hr class="hidden"><div class="panel panel-purple panel-expandable"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">Interactive Review Quiz</span></p></div></div><div class="panel-body"><div><p>To test your understanding of this topic (Terminology for understanding organizational structures), have a go at this interactive quiz with a set of 15 questions.</p><div class="tib-quiz" data-quiz-id="1421" data-structure="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" data-score-answers="6d4a526a457a48584f763758344a7649472f76324c53614b78524c393439595570496d5a5971374b38686f3d"><div class="exercise">
<div class="q-question">
<p>Which term describes refers to the official rights of a line manager to give orders and instructions to his/her subordinates in the organization to get things done?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="f68d7f55f4083a854810c69c9d259e46"><input type="radio"><span> Bureaucracy</span></label></p>
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
</div>
<div class="q-explanation">
<p>Authority refers to the official rights of a line manager in an organization to give orders and instructions to his/her subordinates to get things done.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to administrative systems within an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="957fc460ac426388f010a36161f8d269"><input type="radio"><span> Chain of command</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
<p><label class="radio" data-answer="f68d7f55f4083a854810c69c9d259e46"><input type="radio"><span> Bureaucracy</span></label></p>
</div>
<div class="q-explanation">
<p>Bureaucracy refers to administrative systems (formal processes and policies, including paperwork) within an organization.This includes the formal policies and procedures of the business.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the situation in organizations where decision-making is predominantly made by a small group of senior managers at the top of the organizational hierarchy?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
</div>
<div class="q-explanation">
<p><span style="color:#FF0000;">Centralization refers to the situation in organizations where decision-making is predominantly made by a small group of senior managers at the top of the organizational hierarchy, i.e. decision-making power is centralized in the hands of a few (senior executives).</span></p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the formal lines of authority in an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="c30467b06390760855aa876e224a9daf"><input type="radio"><span> Hierarchical structures</span></label></p>
<p><label class="radio" data-answer="8b63f64b0d81f4ccd1beef9a2d5b54f8"><input type="radio"><span> Organizational structure</span></label></p>
<p><label class="radio" data-answer="957fc460ac426388f010a36161f8d269"><input type="radio"><span> Chain of command</span></label></p>
</div>
<div class="q-explanation">
<p>The chain of command refers to the formal lines of authority in an organization, as illustrated in an organizational chart.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the situation in organizations where decision-making authority is delegated throughout the firm?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
</div>
<div class="q-explanation">
<p>Decentralization refers to the situation in organizations where decision-making authority is delegated throughout, rather from a central authoritative group.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>What occurs when an organization removes one or more layers in its hierarchical structure?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="4d69b75d66a9d6db6d1843a78caa32fa"><input type="radio"><span> Demarcation</span></label></p>
</div>
<div class="q-explanation">
<p>De-layering occurs when an organization removes one or more layers in its hierarchical structure, i.e. it reduces the number of layers of management to make it flatter.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>What occurs when a line manager entrusts and empowers a subordinate with authority to successfully complete a particular task?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
</div>
<div class="q-explanation">
<p>Delegation occurs when a line manager entrusts and empowers a subordinate with authority to successfully complete a particular task, project or role.</p>
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<div class="exercise">
<div class="q-question">
<p>Which term refers to an organization with only a few levels in the organizational structure?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="e7357adc78cf69c74d5ed7db91e9e66c"><input type="radio"><span> Levels of hierarchy</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
<p><label class="radio" data-answer="dc7863b5de1b3891378901e5472806be"><input type="radio"><span> Tall structure</span></label></p>
</div>
<div class="q-explanation">
<p>A flat structure has few levels in the organizational hierarchy.</p>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term is used to show where each worker fits within an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="c30467b06390760855aa876e224a9daf"><input type="radio"><span> Hierarchical structures</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="b2e0166ea571c0f94d00264cbf0cac8b"><input type="radio"><span> Accountability</span></label></p>
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
</div>
<div class="q-explanation">
<p>Hierarchical structures in an organization show where each worker fits within the firm, showing his/her level of seniority.</p>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to the number of layers of formal authority in an organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="e7357adc78cf69c74d5ed7db91e9e66c"><input type="radio"><span> Levels of hierarchy</span></label></p>
<p><label class="radio" data-answer="9734b7435a5483cb704b1f99c321b2de"><input type="radio"><span> Organizational chart</span></label></p>
<p><label class="radio" data-answer="3ff5deb8ef4ced1ba593aa0237387474"><input type="radio"><span> Empowerment</span></label></p>
</div>
<div class="q-explanation">
<p>Levels of hierarchy refers to the number of layers of formal authority. It is represented in an organizational chart.</p>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to a diagrammatic representation of an organization’s formal organizational structure?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="9734b7435a5483cb704b1f99c321b2de"><input type="radio"><span> Organizational chart</span></label></p>
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
</div>
<div class="q-explanation">
<p><span style="color:#FF0000;">The organizational chart is a diagrammatic illustration of a firm’s formal human resource structures.</span></p>
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<div class="exercise">
<div class="q-question">
<p>Which term refers to the interrelationships and hierarchical arrangements within a business?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="8b63f64b0d81f4ccd1beef9a2d5b54f8"><input type="radio"><span> Organizational structure</span></label></p>
<p><label class="radio" data-answer="f792e7b17e4ba67571c9d623810ed197"><input type="radio"><span> Decentralization</span></label></p>
</div>
<div class="q-explanation">
<p>The organizational structure of a business shows the interrelationships and hierarchical arrangements within the firm.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers the duties and obligation assigned to a person in the organization?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="dee8af298acfc4c4bcb9fda657125917"><input type="radio"><span> Responsibility</span></label></p>
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
</div>
<div class="q-explanation">
<p>Responsibility refers the duties and obligation assigned to a person in the organization.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to how many workers are directly accountable to a particular line manager?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="57b11d3816e9f83adb4dd2ecb2a311b5"><input type="radio"><span> Delegation</span></label></p>
<p><label class="radio" data-answer="3ff5deb8ef4ced1ba593aa0237387474"><input type="radio"><span> Empowerment</span></label></p>
<p><label class="radio" data-answer="e85ac39ae93f8683736a375ba799a3e6"><input type="radio"><span> Span of control</span></label></p>
<p><label class="radio" data-answer="60f1a22c0e577712dfd7ff055183e4ad"><input type="radio"><span> Authority</span></label></p>
</div>
<div class="q-explanation">
<p>The span of control refers to how many workers are directly accountable to (or under the authority of) a particular line manager.</p>
</div>
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<p> </p>
<div class="exercise">
<div class="q-question">
<p>Which term refers to firms with many levels of hierarchy?</p>
</div>
<div class="q-answer">
<p><label class="radio" data-answer="f293e316bae6117328072f36725e0c01"><input type="radio"><span> De-layering</span></label></p>
<p><label class="radio" data-answer="dc7863b5de1b3891378901e5472806be"><input type="radio"><span> Tall structure</span></label></p>
<p><label class="radio" data-answer="9113cbdaeb77ba3cd75d8417eff41bf8"><input type="radio"><span> Centralization</span></label></p>
<p><label class="radio" data-answer="f171152609a33115742223de0d7e193f"><input type="radio"><span> Flat structure</span></label></p>
</div>
<div class="q-explanation">
<p>A tall structure has many levels of hierarchy, so the span of control is likely to be narrow.</p>
</div>
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<div class="totals"><span class="score">Total Score: </span><button class="btn btn-success check-total"><i class="fa fa-check-square-o"></i> Check</button></div></div><hr></div></div><div class="panel-footer"><div></div></div></div><div class="panel panel-purple panel-expandable"><div class="panel-heading"><a class="expander pull-right" href="#"><span class="fa fa-plus"></span></a><div><p><span style="font-family:arial,helvetica,sans-serif;">Exam Practice Question</span></p></div></div><div class="panel-body"><div><table border="1" cellpadding="0" cellspacing="0"><tbody><tr><td style="width:47px;"><p>(a)</p></td><td style="width:510px;"><p>Define the term <em>span of control.</em></p></td><td style="width:85px;"><p><em>[2 marks]</em></p></td></tr><tr><td style="width:47px;"><p>(b)</p></td><td style="width:510px;"><p>Explain the difference between <em>delegation </em>and <em>accountability</em>.</p></td><td style="width:85px;"><p><em>[4 marks]</em></p></td></tr><tr><td style="width:47px;">(c)</td><td style="width:510px;">Explain how delayering is likely to impact the span of control <strong>and </strong>delegation in an organization.</td><td style="width:85px;"><em>[4 marks]</em></td></tr></tbody></table><section class="tib-teacher-only" readonly="true" title="This box is not visible to students"><div class="header" readonly="true"><img class="icon" src="../../../thinkib/icons/teacher-only.svg"> Teacher only box</div><div class="content" readonly="false"><p><strong><span style="color:#FF0000;">Answers</span></strong></p><div class="content" readonly="false"><p><strong><span style="color:#FF0000;">Answers</span></strong></p><p><strong>(a) Define the term <em>span of control. </em><em>[2 marks]</em></strong></p><p><span style="color:#FF0000;">The <em>span of control</em> describes the number of employees that report to each line manager (supervisor). A narrow span of control means that each manager is in charge of a relatively few number of staff. The span of control is wide if a manager is in charge of many staff.</span><span style="color:#FF0000;"></span></p><p><span style="color:#FF0000;"></span></p><p><span style="color:#FF0000;">Award <em>[1 mark] </em>for a definition that shows some understanding.</span></p><p><span style="color:#FF0000;">Award <em>[2 marks]</em> for a clear and accurate definition that shows good understanding, similar to the example above.</span></p><hr class="hidden"><p><strong>(b) Explain the difference between delegation and accountability. <em>[4 marks]</em></strong></p><p><span style="color:#FF0000;"><em>Delegation </em>refers to the process of passing on authority from a line manager to a subordinate. As an organization grows, it is inevitable that managers must relinquish some of their authority and control by empowering and entrusting subordinates to carry out delegated tasks. However, the line manager still retains overall responsibility for the tasks, i.e. authority can be delegated to someone else but responsibility ultimately remains with the line manager.</span></p><p><span style="color:#FF0000;"><em>Accountability </em>describes the extent to which a person is held responsible for the success or failure of a task. Having a clear organizational structure allows workers to see who is held accountable for which functions and which teams. Accountability allows senior managers to have better control over the running of their organizations. Those who achieve or exceed their targets are recognised for their accomplishments. However, those who fail to meet deadlines or targets can be clearly identified and held accountable for their mistakes. For example, subject leaders in a school are held accountable for the examination results in their departments. These middle managers can delegate tasks to their team of teachers, but the subject leaders still hold overall responsibility for the degree of success of their teams.</span></p><p><span style="color:#FF0000;">Essentially though, the person who delegates is still accountable for the outcomes or results. Similarly, those who have responsibility delegated to them are held accountable for their actions and still need to report accordingly to their line </span><span style="color:#FF0000;">managers/supervisors.</span></p><hr class="hidden"><p><span style="color:#FF0000;">Award <em>[1 – 2 marks]</em> for a response that is limited in meeting the demands of the question. The distinction may not be clearly expressed, although some understanding is shown.</span></p><p><span style="color:#FF0000;">Award <em>[3 – 4 marks]</em> for a response that is accurate in meeting the demands of the question. There is a clear <span style="color:#FF0000;">distinction that is explained, using appropriate terminology throughout the answer.</span></span></p></div><hr class="hidden"><p><strong>(c) Explain how delayering is likely to impact the span of control <u>and</u> delegation in an organization. <em>[4 marks]</em></strong></p><p><span style="color:#FF0000;">Delayering refers to a removal of levels or layers in an organizational hierarchical structure. The span of control refers to how many workers are directly accountable to a particular line manager in the organizatioal hierarchy. Delayering naturally leads to a wider span of control as there are fewer levels of management in the organization. It also tends to lead to increased use of delegation in the organization as managers with a larger span of control are not able to fulfill all roles and responsibilities. </span></p><p><span style="color:#FF0000;">Award <em>[1 – 2 marks]</em> for a response that is limited in meeting the demands of the question. The explanation may not be clearly expressed, although some understanding is demonstrated.</span></p><p><span style="color:#FF0000;">Award <em>[3 – 4 marks]</em> for a response that is accurate in meeting the demands of the question. There is a clear <span style="color:#FF0000;">explanation of the impact on both the span of control and delegation, using appropriate terminology throughout the answer.</span></span></p></div></section></div></div><div class="panel-footer"><div></div></div></div><p><span style="font-family:arial,helvetica,sans-serif;">Return to the <a href="../43875/22-organizational-structure.html" title="New syllabus 2022 » Unit 2 - Human resource management » 2.2 Organizational structure">Unit 2.2 - Organizational structure</a> homepage</span><span style="font-family:arial,helvetica,sans-serif;"></span></p><p><span style="font-family:arial,helvetica,sans-serif;">Return to the <a href="../21699/unit-2.html" title="Unit 2">Unit 2 - Human resource management</a> homepage</span><span style="font-family:arial,helvetica,sans-serif;"></span></p><p><span style="font-family:arial,helvetica,sans-serif;"><a href="../../../businessmanagement.html"><img alt="" src="../../../ib/businessmanagement/logo-blue-black-1.png" style="width: 170px; height: 54px;"></a></span></p><script>document.querySelectorAll('.tib-teacher-only').forEach(e => e.remove());</script>
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