By: Tia Patel - Unit 1 P3
Date: 17th October 2014
Title: Article 4: Organisational Charts
In the organisational structure M&S and St Luke’s must both take into account two factors the management hierarchy and the span of control.
An Organisational chart is the way that jobs, responsibilities and power within the business are organised.
Organisation structure is the different roles, responsibilities and jobs within the organisation and how information is communicated through the different departments.
A Functional structure is when the business is organised based on the functions e.g. Marketing, Finance, IT.
A Product Structure is a business which is organised based on the products sold e.g. Tesco sells financial services, Electronics and baby clothing.
Customer structure is about the company which is based on different target audiences e.g. Baby clothing is for parents.
A Geographical structure is when the organisation is based on the location e.g. London, South West, Northwest, Wales and Scotland
A hierarchical structure is about the different layers within an organisation. Normally this is seen in large Public limited companies. M&S operate as a hierarchical structure before they switched to a flatter structure. A flat structure means there are fewer layers within an organisation e.g. manger, Supervisor and employees. M&S follows a functional structure for head office whilst they use flat organisational structure in its individual stores as this type structure has limited levels of management between administrative level and front-line employees. This gave employees all through the organisation more responsibility than they had before.
The main functions of Marks and Spencer are as follows: -
- The Finance Department - in M&S keeps records of financial activity e.g. balance sheets, Profit & Loss statements, sales, payments made by the business. They provide managers with