The Internal Logic Between Organizational Structure And People Management

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Assessment 1: Capability portfolio
1. Introduction
According to the theory of Value Chain put forward by Michael Porter, the enterprise value creation is constituted by a series of activities. These activities can be divided into two categories:basic activities and supporting activities. The company forms various corresponding departments according to the activity types, and everyone has his/her role in different departments of the company. As a result, organization structure is established. As people is the basic element of an organization, the relationship between organizational structure and people management is of great importance and lots of scholars have done lots of research on this.
In a world increasingly characterized by globalization of product markets, the importance of human capital as a resource that can potentially provide competitive advantage has become more important (Patrick and Rebecca, 2008). In this paper, the author will try to clarify the internal logic between organization structure and people management and in which way can this two factors
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Conclusions and suggestions
Most modern enterprises consist of multiple business departments, and the human resources department is an important part of the enterprise organizational structure. In the process of human resource management, the human resource policy formulated by enterprises should adapt to the organizational structure of the company to ensure the realization of the strategic objectives.
Traditional human resource management focus on employee's work commitment and job performance (Patrick and Rebecca, 2008). With the continuous development of human resources theory, the company gradually understood the significance of establishing a series of policies to meet the various level of demand of staff. It determine whether the company's strategic goals can be achieved and effort can be made in the aspect of organizational structure and people management.
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