Organisation Structure
Organisational structure is a system used to define a hierarchy within an organisation. It identifies each job, its function and where it reports to within the organisation. When hiring large amounts of staff organisation is important. Everyone in the company needs to understand their individual/team role. It is the manager’s job to keep their staff organised and motivated to getting the job done. As the business grows in size and therefore takes on more staff, managers need to make sure employees understand their role within the company. Organisation is the way a business is structured. This structure is developed to establish how an organisation operates and assists an organisation in obtaining its goals to allow
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As you can see the image above also does fit its name because as you go down it, it gets thicker showing that each manager has more and more workers to monitor.
Chain of Command and Employee Roles
A traditional hierarchical structure clearly defines each employee’s role within the organisation and demonstrates who that employee works for in that department/area. Furthermore, it defines the nature of their relationship with other employees. Hierarchical organisations are often tall with narrow spans of control, which will always get wider as you move down the structure. They are often centralised with the most important decisions being taken by senior management.
Tall Structure Tall structures, like the one above, have many levels of hierarchy. An advantage of this structure is that the span of control is very narrow and long therefore there are many opportunities for promotion. However, a disadvantage of this organisational structure is that lines of communication are long, due to many levels in the chain of command and this may mean that messages get lost or tampered with on their way to the bottom and the firm is unresponsive to change. Another advantage of this structure is that each manager in each level of command has fewer staff or employees to watch over and control. This means that their job is easier as they only have to closely manage a few people and they can keep them on the task at hand. As a result of close management it means that the
A Hierarchical structure is a term used to organise a business into different categories of employees that contain multiple types of groups, which would be typically in a chain of commands that is usually in a pyramid that contains a large number of employees, so the lower part of the pyramid having the responsibility of a small role, meanwhile the upper part of the pyramid consists of roles that carry a big responsibility. However, there is one rank that is one
“An organizational structure defines how job tasks are formally divided, grouped, and coordinated” (Robbins and Judge, 2007, p. 583). The six key elements that Robbins and Judge explain that managers need to address are; work specialization, departmentalization, chain of command, span of control, centralization and decentralization, and formalization. Coming from a military background, I find it easy and effective to bring in a strong chain of command. Robbins and Judge (2007) define chain of command as “an unbroken line of authority that extends from the top of the organization to the lowest echelon and clarifies who reports to whom” (p. 542). This chain of command eliminates confusion, keeps employees working on their respective tasks without distracting others with any involvement on certain areas, and can help to break up the cliques. Currently there is a jumbled Sociogram depicting unilateral and bilateral communication throughout the organization. The chain of command can stream line this communication and ensure the right tasks are being delegated and communication can be effectively transferred through the appropriate levels to increase efficiency.
the different types of management structures with other types of organizations with taller hierarchical, example an acute hospital administrators have numerous specialists as department heads dealing with areas such as Human Resources, Finance, Planning, Marketing and Social Services, while Long Term Care Administrators have to handle many of these areas
According to Alfred Chandler (1977), the structure involved ‘administrative coordination’ can bring higher profit, productive and lower cost. He describes it as “The visible hand”. He believe the traditional will be gradually replaced by the multi-unit ‘modern business enterprise’ The top of the mine-and-staff structure based organization is the top management, then middle management, lower management and foremen, supervisors and so forth. (See figure 1) The command send from the top manager to the middle manager, then the mission will be allocated to the lower level until to the front-line staff. A person in a line position is directly involved in achieving the basic objectives of the organization. A person in a staff position, by
Hierarchical structures can be also known as tall structures, they is because of the amount of levels of employees the company has , an example of this would be a employees reports back to a team leader and the team leader would then go on to tell the operational management, this is due to the amount of staff within the company. This is not always a good thing as this structure can lead to slower communicational cannels and decision making because of the amount of people that would need to be asked. Flat structures have less management roles with the company but do have a wider span of control. This means its employees do have more responsibilities with making decisions and it does make it easier for the employees and managers to communicate as they may only be one or two mangers within the company. This structure does work better in smaller business or new companies as it can create a more motivated team, for this to work well all of the company’s employees must be well trained and capable of making positive decisions towards to
An advantage of Tesco PLC being part of a hierarchical structure is having a clear authority in each of the levels. This is an advantage because of the various levels having different levels of responsibilities and authorities. As top of the hierarchical structure as shown in the diagram above is the manager director who is the one to have the most control and authority its where the managers will confide in for guidance. Due to being on the level under the manager director as the manager director for example will have their say over what the managers will do. As the hierarchical structure descends there’s less control and authority. Furthermore, is an advantage because Tesco PLC for example, would be able
The hierarchical organization structure is pyramid-shaped. At the top of the structure is a single person, who has a small number of people reporting directly to them. Each of these people has several people reporting into them and the number of people at each level increases as you move down the structure.
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.
Here is a first hand account of culture, structure and systems not being in harmony. In 1994, Ticketmaster (TM) United States became a major presence in the ticketing industry. As part of their growth strategy, they expanded through the re-acquisition of all licensees. One of the licensees was the Canadian Ticketmaster business. From 1995 to 1997, TM Canada was forced to transform organizationally to become similar to our American parent. The cultural breakdown occurred when transitioning from networked “(high on sociability; low on solidarity)” to mercenary “(low on sociability; high on solidarity)” (Langton & Robbins, 2007, p. #341-342). For example, the lack of accountability
Organisations must organise a structure so that their objectives can be achieved. A company will have different departments and procedures with each one having a special function. All of these organised departments and procedures are linked so the company can run efficiently. For many organisation this can be very complex has they will have offices in international countries around the world.
Hierarchy of authority has helped to establish efficient communication paths between employees, departments and divisions of the company.
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
Motivation Problems. The taller the organization, the less managerial authority and responsibility there are. Tall hierarchies decrease motivation because managers, with less authority and responsibility, are less motivated. In a flat structure, managers have more responsibility and are more motivated. Accountability in a tall structure decreases, making it easy for managers to shirk responsibility.
Organisational Structure – It is a structure which is used to elaborate ranking in an organisation. It is also define as an organizational structure which defines how activities such as task portion, division and guidance are directed towards the achievement of organizational purposes.
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. Organizational structure also determines how information flows from level to level within the company (investopedia.com, 2017). If one level or department does not undertake its function accurately the entire business suffers, because all the departments interrelated to each other. There are generally four types of organizational structure: