Problem statement: how can a company be structured?
1. Define an organizational structure
* Organizational structure consists on activities such as coordination and supervision which are directed towards the achievement of organizational aims. The organizational structure determines how roles such as power and responsibilities are playwithin the organization, also how information flows between different level of management.
A structure depends on the organization’s objectives and strategy. In a center structure the top layer of management has the power when it comes to decision making and has the control over other departments and divisions. In a lower structure , called decentralized structure, the decision making power isdistribute and the departments and division may contribute on the decisions.
In conclusion an organizational structure is a hierarchical arrangement of how an organization work within the company , what I mean is that there is different types within the company as it is mentioned above there is centralized structure where we can see that the management have the power over the other department whenit comes on decision making and then we have the decentralized structure where the decision making distribute and the department and division may have their contribute as well.
The organizational structure consists on communication, right and duties of an organization and this helps out how to control it.
2. What should be considered when establishing the structure?
* The first stepis to determine the type of governance you need to make decision. Identify the role of the organization where the structure will be. Mostly an initial steering committee writes the business plan. Identify a leader to coordinate the work motivate and support the work. Also very important would be a board of directors to coordinate activities, make contacts, network with other industry leaders andclear the way for organization to meet its objective.
* Second step will be establishing rules to state how formal and informal groups operate within the organization. Now days we come up with intercultural employees and organizations, so by establishing this rules makes up the organization culture. This minimize misunderstanding and confusion.
* Third step is to distribute the work,establishing task and action committees to carry out activities, these people make specific changes to policies and practices to achieve their goals.
* Fourth and last step is to evolve the organizational structure in time. As the organization grows the function of a manager into division that allows its member to produce and services.
3. What different structures are there?
*Bureaucratic structure, maintain strict hierarchies when it comes to people management, there are the types of bureaucracy structure:
* Pre-bureaucratic structure - this can usually be seen in small startup companies. Usually the structure is centralized and there is only one key decision maker.
* Bureaucratic structures- when the organization grow complex and large the this structure is requiredfor management and is suitable for tall organizations.
* Post- bureaucratic structure – the organization that follows this structure still come into the strict hierarchies, but open to more modern ideas.
* Functional structure, the organization is divided into segments based on the functions when managing, this allows the organization to make better the efficiencies of these functionalgroups.
* Divisional structure, these types of organizations divide the functional areas of the organization to divisions, each division stays with its own resources in order to work independently.
* Matrix structure, the organization places the employee based on the function and product, this structure gives the best of both worlds of functional and divisional structures. In this types...
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