Understanding the structure of an organization plays a vital role in laying the blueprint for how a company will be managed and organized. It provides a well-defined framework that outlines the roles and responsibilities of each employee in a particular company. It shows how each employee interacts and works one another in achieving the goals of a company. In other words, organizational structure is a reflection of the working relationships that govern the workflow of the company. It has a profound effect on a company’s structural dimensions, which includes formalization, specialization, hierarchy and centralization.
Organizational structure is the way that an organization arranges people and jobs so that work can be performed and goals can be achieved. Good organizational design helps communications, productivity, and innovation. Many organization structures have been created based on organizational strategy, size, technology, and environment. Robbins and Judge (2011, p. 504) listed three common structures: simple, bureaucracy, and matrix. In this post the author will describe the matrix structure, and discuss its advantages and disadvantages.
Organizational structure within an organization is a critical component of the day to day operations of a business. An organization benefits from organizational structure as a result of all it encompasses. It is used to define how tasks are divided, grouped and coordinated. Six elements should be addressed during the design of the organization’s structure: work specialization, departmentalization, chain of command, spans of control, centralization and decentralization. These components are a direct reflection of the organization’s culture, power and politics.
Organizational culture is a reflective view of the inner workings of an organization. This culture reflects hierarchical arrangements as it pertains to the lines of authority, rights and obligations, duties, and communication processes. Organizational structure establishes the manner in which power and roles are coordinated and controlled amongst the varying levels of management. The structure of an organization is dependent upon their goals, objectives, and strategy. Determining organizational structure best suited for an organization is generally found within the six key elements of organizational structure and choosing those to implement those best suited for the organization. The six key elements include:
Flat organizational structure is arguably best suited to respond to complex and turbulent environments facing organizations today (Burns & Stalker, 1994). This bold statement came from observation by these two researchers who in the 1950s spent time in a British manufacturing firm. This firm particularly adopted novel approaches to management and production, giving only title to managing director but entirely avoided defining roles and functions for its overall employees. Ongoing modification of goals and procedures through weekly team meetings are done to assess emergent situations and tackle problems that rise at the moment. Regular weekly meetings at this firm resulted in participative act by its employees to solve problems and collaborate at the discussion. Hence, problems are solved by collective effort instead of one’s authority. Burns and Stalker concluded that there are two ideal organizational types. First type is the traditional mechanistic bureaucracy and the second is the alternative types which are more responsive to environment and less hierarchical. They named this second types organic structure. They also added, mechanistic organization and organic organization is needed at different kind of environment. Mechanistic bureaucracy is more fit in stable environment but on the opposite site, organic organization is more suited to environments which are turbulent and full of changes.
There are some basic business structures can be applied in different type of business and that use them. There are different basic organization structures first one is sole trader, partnership, and company. Here every individual organization structure have own features as well as some advantages and disadvantages from their own point of view. The organization structure can be applied on base the situation that what type of business position and structure can be adopted. Here there are different structural of organization are follows with their advantage and disadvantage.
A hierarchical organization is called an organizational structure that every entity present in the organization, with one exception, is subordinate to a single other entity. This arrangement is called a form of a hierarchy. In an organization, the hierarchy most of the times consists of a singular or group of power that is at the
Introduction
There are many challenges for today’s organizations, such as globalization, intense competition, rigorous ethical scrutiny, the need for rapid response, the digital work place and the increasing diversity (Daft, 2010). Indeed, management and leadership are important factors which may influence success of an organization. In order to analyze how these factors may influence an organization; this essay will introduce a change event in small organization- a university broadcast station.
This university broadcast station was established in 1994. After few years of the establishment, the broadcast station realized that some changes should be made to meet the need of the teachers and students in the university.
First of all, organizational structure determines the hierarchy, the levels of communication, and how job tasks are formally divided, grouped and coordinated within an organization (Langton, Robbins, & Judge, 2013). There are six key elements that managers need to address when they design their organization’s structure: work specialization, departmentalization, chain of command, span of control, centralization and decentralization, and formalization (Langton et al., 2013). The way in which an organizational structure is constructed and implemented can affect company productivity.
Every organisation has its own structure and culture. It may vary depending on it is mission and vision etc. In my own understanding organisation structure is based on number of people working in the organisation and their priority of work it has been designed. According greet hofsted organisation culture is “the collative programming of the mind that distinguishes the member of one organisation from other”