IB Business Management SL 2.2.1 Organizational Structure Terminology Questions

Features of a hierarchical organization include:
- Pyramidal with many layers (workers>supervisors>managers>senior managers>executives>CEO) or long chain of command or tall structure
- Usually a narrow span of control.
- Decisions flow from top down and information passes from the bottom up.
- Authority/decision making is centralized.
- Delegated authority, if any, is narrowly defined.
- Individuals in a hierarchical organization tend to have specialized skills.
- Decision making typically takes time or is not a quick process.

If a candidate raises the issue of decision making, award [1] if they say that decision making typically takes time.

However, if the candidate appropriately contextualizes their response, they can earn [1] for saying decision making can be faster. For example, if a candidate wrote something to the effect of "In hierarchical organizations where delegation occurs, decision making can be fast."