Business Management Concepts Quiz

Study Notes

Span of Control: Refers to the number of employees managed by a single manager; influences management effectiveness.
Chain of Command: Pathway of communication and authority in an organization, illustrating who reports to whom.
Subordinates: Employees beneath a manager in the organizational hierarchy, playing a critical role in the company's operations.
Hierarchy Structure: Common in larger businesses; characterized by many management layers and a narrow span of control.
Responsibilities in Hierarchies: Higher positions come with increased responsibilities; management levels affect accountability and motivation.
Advantages of Hierarchical Structure:
- Opportunities for promotion due to multiple managerial positions.
- Clear accountability by identifying responsible parties easily.
Disadvantages of Hierarchical Structure:
- Slower communication due to multiple layers, risking message distortion.
- Higher operational costs with more managerial roles.

Flat Structure: Features fewer manager layers, leading to a wider span of control and shorter chain of command.
Advantages of Flat Structures:
- Faster communication with less bureaucratic delay.
- Increased employee engagement due to greater involvement in decision-making.
- Potential cost savings for organizations.
Disadvantages of Flat Structures:
- Limited advancement opportunities, which can demotivate employees.

Matrix Structure: Combines traditional departments with project teams from various functions.
Advantages of Matrix Structures:
- Leverages diverse skills for effective problem-solving.
- Promotes free information flow and stronger team dynamics.
Disadvantages of Matrix Structures:
- Conflicts may arise from dual reporting to multiple managers.
- Time-consuming team formation and coordination.

Cloud Computing: Offers flexibility and efficient resource management; suitable for smaller businesses; requires robust internet connectivity.
Automation: Enhances efficiency and workflow; crucial for lowering operational costs and saving time.
Remote Working: IT enables employees to access their workspaces remotely, facilitating productivity outside traditional settings, significantly adopted since early 2020.
Mobile Technology: Rapid growth area influenced by the trend of Bring Your Own Device (BYOD), enhancing accessibility and functionality.
Information Protection: Significant for managing sensitive data; robust IT solutions safeguard against potential loss and legal issues.
Customer Satisfaction: IT tools are essential for improving interactions with customers and swiftly resolving their issues.
Resource Management: IT optimizes resource allocation and management through systems like ERP, boosting operational efficiency.

Open source software allows for customization to better suit organizational needs, promoting flexibility and cost-effective solutions.

Improve Productivity: IT tools foster efficient workflows.
Increase Performance: Enhancements in performance metrics due to streamlined processes.
Save Money: Cost reduction through automated solutions and resource management.
Improve Customer Experience: Better tools for customer interactions result in higher satisfaction.
Streamline Communications: Facilitates clear and fast communication across the organization.
Enhance Managerial Decision Making: Access to data-driven insights aids better leadership decisions.

Definition: A structured process for creating software applications using standard business methodologies.
Typical Stages: Includes Planning, Requirements Gathering, Design, Build, Document, and Deploy phases.
Purpose of SDLC: Provides a framework for evaluating and refining development processes, ensuring focused efficiency in each phase.