Organizational Structures :
Organizations are structured in a variety of ways, dependant on their objectives and culture. The structure of an organisation will determine the manner in which it operates and it’s performance. Structure allows the responsibilities for different functions and processes to be clearly allocated to different departments and employees.
The wrong organization structure will hinder the success of the business. Organizational structures should aim to maximize the efficiency and success of the Organization. An effective organizational structure will facilitate working relationships between various sections of the organization. It will retain order and command whilst promoting flexibility and creativity.
Internal factors such as size, product and skills of the workforce influence the organizational structure. As a business expands the chain of command will lengthen and the spans of control will widen. The higher the level of skill each employee has the more the business will make use of the matrix structure to maximize these skills across the organization.
Span of Control
This term is used to describe the number of employees that each manager/supervisor is responsible for. The span of control is said to be wide if a superior is in charge of many employees and narrow if the superior is in charge of a few employees.
The most common organization structures are:
· Centralized and decentralized
When we walk into an organization and get a certain 'feel' for it, whether it is fast moving and responsive, or whether it feels old and backward looking, this 'feeling' is referred to 'organizational culture'. Culture is about how the organization organizes itself, it's rules, procedures and beliefs make up the culture of the company. In this section we are going to briefly look at six types of organizational cultures.