Why is span of control important within an organization, and which common organizational design would most likely have the widest span of control? Explain your answer

What will be an ideal response?

The question of span of control is important because, to a large degree, it determines the number of levels and managers an organization has. It answers the question "How many employees can a manager efficiently and effectively direct?" All things being equal, the wider or larger the span of control, the more efficient the organization.

A simple structure, because of its natural small size, would have a fairly narrow span of control. The bureaucracy is typically characterized by narrow spans of control and decision making that follows the chain of command. A matrix organization, characterized by dual lines of authority that combine functional and product departmentalization, would lend itself to a very wide span of control with managers from the different departments all being in some part responsible for a large number of employees. One of the disadvantages of the matrix lies in the confusion it creates, its propensity to foster power struggles, and the stress it places on individuals, somewhat due to the wide span of control. Without the unity-of-command concept, ambiguity about who reports to whom is significantly increased and often leads to conflict.

Business

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When organizations establish teams, employee turnover tends to ______.

-disappear -increase -decrease -remain steady

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The two primary audiences for a firm's business plan are a firm's employees and investors and other external stakeholders

Indicate whether the statement is true or false

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