The word organisation has two different meanings in this area of study.
• an institution or functional group such as a business or a society
• the process of organising. This is the way in which work is arranged and allocated among members of an organisation so that the goals of the "organisation" can be most efficiently achieved.
The process of organising isdividing up the work that is done among areas and employees and linking together these areas and jobs in order to form a unified whole, (a single working unit where all of its parts work together to achieve the organisations goals).
The Division of Work.
The division of work is the breaking down of the jobs that your organisation needs to do in order to achieve its goals. A craftsperson who ismaking, selling and designing chairs would do a lot of different things in the course of that activity. If the chair was being mass produced in a large company the tasks would probably be broken down into smaller sections handled by different people such as purchasing, design, sales and marketing, production etc. All of these areas could be broken down even further.
It is believed that jobspecialisation leads to greater efficiency and higher output per person than a more general approach but it does have its problems such as creating boring and repetitive jobs, but there are strategies for helping to deal with these problems.
Structure of Organisations
In order to structure your organisation you need to take these divisions of work and organise them into logical groupings . You needto show how these areas are linked to each other, the hierarchy, levels of authority and responsibility and its formal channels of communication.
Types of Organisational Structures
o The General structure
o Functional Structure
o Geographical Structure
o The Matrix Structure
The General structure.
One of the ways in which we can explain the structure ofan organisation is through an organisational chart. This charts usually show the title of each managers position and using connecting lines show who is accountable to whom and who has responsibility for which department. It doesn't tell you everything about the organisation such as the communication channels and liaising between departments but it is a useful conceptual tool so that one can thinkof the organisation as a whole and understand how all its parts fit together.
Towards the top of the structure is usually centred most of the power while as we move down through the structure there is less authority and status.
In this type of organisational structure the division of work is the most important part. Jobs and activities are grouped together. This is calleddepartmentation. This is a very popular model.
This structure may be varied in a number of ways.
Division by Product or Service.
Here the organisation is divided up according to the product (such as in a supermarket - toiletries, fruit and vegetables, etc.) or the service (such as a local council's sanitation area including waste disposal, recycling, street sweeping and maintenanceetc.)
Division by Customer
This could include a sales business which is divided into wholesale and retail sections to cater to the needs of the public and businesses.
Division by process or equipment
A printing firm, for example, may use this sort of division in order to keep all of its printing functions in the one area, for example a screen printing department for T-shirts and acard section for the printing of business cards.
As a firm grows it sometimes needs to set up branches in other locations.
A firm may wish to allow these branches to work as autonomous units, that means that they are like little organisations of there own making local decisions but guided by the policy decisions made at the head office.
For example some...
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