Organization Structure and Design Organizing: Arranging and structuring work to accomplish organizational goals. Organizational Structure is the formal arrangement of jobs within an organization. Organization chart: Organization structure shown visually in the form of a chart. Organizational Design: A process that involves decisions about six key elements : Work specialization, Departmentalization, Chain of command , Span of control, Centralization and decentralization and Formalization. Purpose of Organizing • Dividing work to be done into specific jobs and departments. • Assigning tasks and responsibilities associated with individual jobs • Coordinating diverse organizational tasks. • Clustering jobs into units • Establishing …show more content…
It involves three concepts : authority, responsibility and unity of command. Authority : refers to the rights inherent in a managerial position to tell people what to do and to expect them to do it. Power vested in a position. Responsibility : Obligation to perform. Unity of Command : An employee should report to only one manager. Alternative People meet frequently at short intervals, may be twice a day to study problem and identify solutions. IT has also made things faster, through easier data availability. Span of Control Large or small depending on number of employees reporting to manager. The larger the span, the lesser will be the number of hierarchy. The smaller the span, the hierarchical levels will be more. Level 1 2 3 4 Total number of workers Total including managers Assuming span of 4 1 4 16 64 --------64 85 Span of 8 1 8 64 512 --------64 73 Factors Affecting Span of Control There is generally no agreed number. However, the following factors determine the span of control. 1. Skill and abilities of employees 2. Skill and abilities of manager 3. The nature of work – hazardous 4. Simple or complex task 5. Physical proximity to worker 6. Existence of standardized procedures 7. Organizational information systems 8. Strength of organizational culture 9. Preferred style of manager Current Trend: Increases flexibility and freedom to worker.
This image shows the base level to be the workers which has the lowest ranking but is the largest amount then moves onto a higher level in the hierarchical structure which is the assistant managers. Span of control is who the managers is directly responsible for the number of subordinates (workers). The second level is a smaller amount than the base level meaning more authority such as being in control of the subordinates which the span of control for the assistant managers is four, two, two, and three. The highest level in the hierarchical structure at the Tesco PLC store is the chief executive. This level has the most authority and is in control of the three managers.
Organizational Structure Organization structure is the differentiation; that is the way the organisation is differentiated into tasks, responsibilities, departments and hierarchies and the integration (the way the organisation is coordinated to form a unitary whole). It defines how activities in the organization are directed toward the achievement of organizational aims. The structure provides the foundation on which standard operating procedures and routines rest, determines which individuals get to participate in which decision making processes and thus to what extent their view shape the organization’s actions (Stephen, 1987) United Parcel Services Organization Chart United Parcel Service, Inc. (UPS) is the world’s largest package delivery
Classifying the authority - Once the departments are made, the manager likes to classify the powers and its extent to the managers. This activity of giving a rank in order to the managerial positions is called hierarchy. The top management is into formulation of policies, the middle level management into departmental supervision and lower level management into supervision of foremen. The clarification of authority helps in bringing efficiency in the running of a concern. This helps in achieving efficiency in the running of a concern. This helps in avoiding wastage of time, money, effort, in
The structure and design of organizations have drastically changed over the last twenty-five years. Organizations develop new goals at the beginning of the year or after the completion of previous goals, and heavily depend on planning to help achieve these goals. Planning is an integral part of organizational success, as upper management receives substantial information on various needs such as risk uncertainty, available resources, employee development, and unforeseen changes in technology (Daft, 2013). Most importantly, successful planning allows management to make effective decisions when unforeseen events arise within the organization. Not participating in planning is equivalent to taking a road trip across the country without a
The company is geographically located in most major united states locations. It employs a hierarchal organizational design. One of the contributing factors to its success is the company’s success in providing a dining experience for its customers that excel in choices, price, customer service, and serving size. The company is known world-wide for its delicious cheesecakes with the key factor being the variety.
Organizational structure involves, in addition to task organizational boundary considerations, the designation of jobs within an organization and the relationships among those jobs. There are numerous ways to structure jobs within an organization, but two of the most basic forms include simple line structures and line-and-staff structures.
In addition to being referred to as position management, organizational design incorporates the analysis of individual position and their arrangement in the entire organization. Therefore, an efficient organizational design supports clear lines of authority, responsibilities of the authorities, cooperation and trust, effective communication, smooth and timely work flows, cost efficiency, and flexibility to changing situations.
An organizational structure is a framework set for certain activities at the work place like coordination of activities, supervision of employees and task allocation to be organised (Mills, 2005).
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
1) Describe the internal and external factors that have defined and shaped your organization in terms of its size, organizational structure, and processes
Today we will look at Company B. We will begin with an overview of the organization, what category of industry it falls under, and some of the products the organization offers. Next, we will explore the current status in the organization, that is, the current state of affairs in the organization with regard to products as well as the internal organizational structure, the factors that contribute to the structure, the effectiveness of the structure. Then we will investigate the steps the company has taken to modify how it views innovation and how this has affected the organization’s strategy. The first potion of this presentation will conclude with a discussion of potential advantages and disadvantage of the current
Over the years, most organizations have been urged to consider changing their organizational structure so as to promote employee flexibility as well as empower them with the discretion of making decisions. As a result, organizations across the world have resorted to de-layering or flattening their organizational structures with the hopes of achieving employee flexibility and improving the operations of the organization as well. De-layering or flattening, in this case, refers to the elimination of certain layers in an organization’s hierarchy and the broadening of the span of control of managers. Research has indicated that pushing down the process of decision making to the lower organization levels not only makes employees responsible for their actions but also promotes accountability (Hirsch & De Soucey, 2006). It should, however,be noted that these changes in organizational structure have also left organizations in the midst of chaos. In fact, as organizations delayer their structure and downsize their labor force, employees, as well as managers, find themselves in working environments that have redefined their work as well as the corporate culture.
Organizational design identifies through various steps and if there are any flawed aspects to the structure, procedures, workflow or technical systems. Once the flaws have been identified in an organization a plan is developed and then implemented to ensure that the new objectives are met. This week’s assignment required a review and analysis of the article, Dr. Gayle Brings Collaboration to Care. Also, student were asked to identify the methodology used and to offer suggestions.
The structure of an organisation is built in order to achieve the distinct tasks by the labour and coordination between teams to provide goods and services. Organisational structure is selected in order to have a basic work and consistency according to the situation. The most foremost factors in an organisation are skilled labours, mutual understanding among the fellows and direct control to frame a good result. A good structured organisation results in quality production, which can be taken into peoples consider through marketing. When an organisation tracks in a solid structure, management plans and tasks can be easily constructed and executed. In this essay, I have been explained about the concept of Mintzberg five
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.