Comprehension

1.What is the main advantage of a chain of command?

A chain of command helps improve efficiency when communicating with workers and
supervising their work. All the people in the organization know who their boss or their manager
is, what decisions they are able to make, and who they report to.

2.Why is it not usually possible to organize a large organization in a single hierarchy?

Most large organization have a functional structure, including, production, marketing, finance,
sales, etc. For example, the production and marketing department cannot take financial
decisions without the finance department. So, the company usually divided into separate
operating divisions.

3. In what ways can dividing a business functionally cause problems?

People are often concerned with the success of their own department. If they take decisions
that are advantageous to themselves but disadvantageous to other departments, the company
will suffer damage.

4. What factors might lead companies to flatten their hierarchies?

People at lower levels can’t take important decisions, their boss give instructions to
subordinates at the level below in the chain of command.

5. According to the text, what kind of managers might not want to delegate decision making?
The owners of small firms want to keep as much control over their business as possible, they
don’t want to delegate decision making to their staff.

6) What is the potential disadvantage of matrix management systems?

The potential disadvantage of matrix management systems is people report to more than one
superior, which can become quite complex.

7) Under what circumstances might teams not be effective?

Ineffective teams are often made up of individuals who do not mix well, or who do not have the
necessary skills to perform the variety of work at hand.

Vocabulary
delegate decision making
make decisions
give instructions
take responsibilities
motivate staff
take priority