Which term refers to the way authority and power is organised in an organisation?

• A. Organisational structure
• B. Chain of command
• C. Authority hierarchy
• D. Line management

Answer: (B)

It’s about how authority and power are arranged within a company. The chain of command describes the route of authority from the top down and who reports to whom, showing the order in which decisions are made and who is accountable for them. This makes clear lines of responsibility and helps communication flow properly through the organization.

Organisational structure is the overall design of the company—its departments, levels, and roles—of which the chain of command is a key part. Authority hierarchy is a related idea about levels of authority, but the chain of command specifically pinpoints the path along which authority flows. Line management refers to the managers who supervise staff, not the entire system of authority itself.