Internal organisation of business,
different ways of organizing work
of the Board of Directors
• type of business activity
(insurance, factory, hospital, college,
• size of business
• number of employees
a) past: pensionable jobs
b) present: flexible labour markets (deregulated)
advances in computer technology
economic dynamism (insecurity)
consists of departments
is made up of departments
is composed of departments
is divided into departments
in charge of something
accountable to somebody
responsible to somebody
responsible for something
supported by somebody
People report to somebody
• Clear chain of command
• Immediate superior/boss
• Responsibility passed on bosses
• People at lower levels can’t take important
• Trend: reducing the chain of command –
Board of Directors
Chief Executive Officer
Board of Directors
• elected by the shareholders
• look after shareholders’ interests
• at the top
• Chief Executive Officer (CEO) / Managing Director (MD)
• Chief Operating Officer (COO)
• Chief Financial Officer (CFO)
a) Representatives from within the company
- inside directors – executive directors
- Managing Director (Chief Executive Officer)
b) Representatives independent from the company
- outside directors – non-executive directors
• Human resources
• (operating divisions)
• People from different departments
• People report to both their project
and line managers
• Wholly autonomous
• Responsible for the entire project
• Split up after successful completion
Match the following sentences:
1. I work in the a) working in teams.
2. I’m responsible for b) Finance Department.
3. My job involves c) financial statements.
4. I report to d) raising money.
5. I spend some time e) to the CFO.
pass on _________________
1. MK: pp: 22 and 23 – Vocabulary
2. p: 25 – Write a short summary on working for either a
big or a small company
• Which groups govern corporations?
• What are their responsibilities?
Write down the explanation of the following words:
• empowerment _____________________________________
• hierarchy ________________________________________
• downsizing _______________________________________
What is a flat hierarchy?