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FILM: Business Structures
DVD [£47.00 plus VAT]
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26 mins, 2004
Ways Of Working
People In Organisations
You can't see it, but it's probably the most important thing in a business - its structure. This film offers a comprehensive guide to business structures with a range of examples, including Daimler Chrysler, Easy Jet and Stena Line.
The most common business structure is by function - such as marketing and production. But some companies also organise themselves around particular products or geography. Tall organisations have layers of managers structured in a hierarchy. Flatter companies have fewer layers - which they claim gives them more flexibility.
CHAIN OF COMMAND:
A tall company has a long chain of command, but managers have a narrow span of control. Everybody knows what they're supposed to be doing - but are tall hierarchies too rigid? Meanwhile, in multinational drugs company Eli Lilly, staff work in teams with different team leaders - a matrix structure.
Companies flatten their structures by cutting out layers of managers. But what about the human cost - large-scale redundancies and stress at work?
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