Importance And Importance Of Organizational Structure

The structure of an organization is the sum of total ways in which it divides its labour into distinct tasks and then achieves coordination among them. (Mintzberg, 1979). An organization can be structured in many ways depending on their objectives. An organizational structure consists of activities such as task allocation, coordination and supervision which are directed towards the achievement of organizational aims. (www.wikipedia.org)

Businesses require structure to be a successful money-making venture. Designing an organization structure helps the leadership identify what caliper and type of employees that needs to be hired into the organization. With this in mind it is also important that employee responsibilities are clearly defined. Each member needs to have a job description and each job is a needed and has its own slot on the company’s organizational chart.

When an organization is small, a sole proprietorship or partnership where face-to-face communication is frequent, formal structure may not be necessary. As the organization grows larger into a corporation or limited liability company, a more defined structure becomes necessary to facilitate decision making in the delegation of various tasks. Business leaders respond to this need by creating and establishing management procedures and structure to assign responsibilities for essential functions. These decisions and procedures determine the organizational structure within the organization (Jones, 2004).

Organizational structure determines how activities such as task allocation, coordination and supervision are direct towards the achievement of organizational goals. It can be considered as the viewing class through which individuals see their organizations and itsenvironment. The structure of the organization can be in different forms depending on

Organizational structure refers to the way that an organization arranges people and jobs so that its work can be performed and its goals can be met. According to USA their structure states in order to provide clear alignment and focus for the planning process of USAA’s organizational structure, a planning team was assembled with strategic-thought leaders to author a strategic market outlook.

1. The organizational structure defines the reporting formation, span of control and layers in the hierarchy;

The structure of an organization is very important because it determines the different roles and how all the departments perform. The organizational structure consists of a group of people that works together to achieve the goals that are implemented.

Organizational Structure is necessary to run any company effectively and efficiently. There are six key elements that a company should be following for success and those elements are as follows:

The structure of the company also has an influence on the organization. Organizing the company by department allows the employees to build strong teams. It also allows the teams to support each other’s daily functions. The structure of the organization also effects number of personnel hired into the company. The structure also effects departmental and organizational hierarchy. The departmental organization within the company is also important as it helps to determine departmental collaboration as well as the role of each person in the department (www.smallbusiness.chron.com 2013).

for the oversight of delegating processes and expected outcomes. Without structure there is a potential for chaos to ensue, communication to be inhibited, thereby preventing goals from getting accomplished. Organizational structure is an important tool managers use to increase efficiency within the departments (Sullivan, 2013) and is an important line of communication for employees at the department level as well as throughout the organization. Every

The organization structure is a framework of roles, responsibilities, authority and communication relationships that are deliberately designed to accomplish an organization’s tasks and achieve its objectives. A lack of organizational structure means that developmental projects and administrative responsibilities are often neglected.

Manager’s of an organization has to use structure to help the company run efficiently. “The five types of organizational structures are functional, divisional, matrix, team-based, and virtual network” (Draft, 2013, p.316). Functional structure in an organization that is developed by grouping departments by the skills, level of knowledge, activities done daily, and the resource used. “This structure places specific departments from the bottom to the top” (Draft, 2013, p.318). For example, specific departments such as: human resources, accounting, engineering, and manufacturing are placed at the top, while there are mostly seen at the bottom in other organizations. While common functions such as; people, facilities, and other resources are combined together as a single department instead of being divided into multiple departments.

Organizational structure is a formal relationship between management and the employees. It is a way to motivate the employees and get them to working. It is also away to get employees to follow the company goals, and work together as a team. To make an organization work they need to have an organized structure to be able to run the company. The mission

Organizational structure is a system that consists of explicit and implicit institutional rules and policies designed to outline how various work roles and responsibilities are delegated, controlled and coordinated. (Investopedia, 2017) , It determines the guidelines of activities such as task distribution, coordination, and supervision to reach and achieve organizational objectives. The organization can be structured in various ways, depending on its objectives.

Organization is the basis of the whole structure of the management. It is built with various manageable components in order to achieve the objectives and goals. Organization can also be said to be a structure where living and non-living things work together to achieve some goals and objectives. Organization can be defined in four ways.