Question

Victor Green has been working at The Bicycle Superstore for about two weeks.This morning he noticed that the store's inventory on bicycle tire repair kits is out,but he is unsure of whom he should report to for approval to place an order for more kits.Victor is unclear about the______.
A) chain of command.
B) degree of specialization.
C) level of authority.
D) span of management.
E) nature and degree of departmentalization.

Answer 1

Answer:

The correct option is A.

Explanation:

The chain of command in an organisation refers to the official hierarchy of authority that dictates who is in charge of whom and of whom permission must be requested before any important business decision is made.

A chain of command is put in place so that everyone will know who they are supposed to report to and what responsibilities are expected of them at their current level. A chain of command is used to enforce responsibility and accountability and organisations will implement a chain of command so that workers will follow them when asking questions or filing complaints.

In the scenario presented above, Victor Green clearly does not know the chain of command, therefore, he does not know who to report to or seek permission from in order to make a business decision.