Organizational Design Essay

875 Words Sep 9th, 2010 4 Pages
Key Concepts of Organizational Design
If an organization is to remain effective as it changes and grows with its environment, managers must continuously evaluate the way their organizations are designed: for example, the way work is divided among people and departments, and the way it controls its human, financial, and physical resources. Organizational design involves difficult choices about how to control—that is, coordinate organizational tasks and motivate the people who perform them—to maximize an organization’s ability to create value (Jones, 2004). Maintaining that competitive edge in the snack food industry can be challenging. Snacks and goodies are considered one of America’s favorite past times. Best Snacks has held the number
…show more content…
Organizational design can provide quicker decision-making as some models help accelerate information flow and streamline decision-making. It can also provide personal growth by creating opportunities for people to take on different and challenging roles within the same organization. Any work process in the organization can be in scope for organizational design.
Organizational Structures Organizational structure is definitely a must have in an organization. Organizational structure is designed to form and develop clear lines of order to control an organization getting the best use of the organizations resources. According to Mahmud Hasan, some advantages of organization structure are that is easier to control the resources and they can be rationed and allocated to different units to use them at their more productive use at a micro level. Another advantage would be that clearly defined reporting lines make it easy for employees to know whom to report to while reducing redundancies by eliminating extra or unproductive processes. Other advantages are to streamline processes by giving them more focus and adoptive nature, reduce cost because the controlling of various cost control centers are controlled at micro level. Lastly, another advantage is it will help reduce cost because the controlling of various cost control centers are collected at micro level (Hasan, 2010).
• Excessive fragmentation of
Open Document