Every company must have an organizational structure that consists of many activities like supervision, collection of tasks, coordination, etc. There are various departments in an organization associated with different activities and tasks. The organizational structure may be related to the viewing lens of individuals or the public viewing the company.
Ways of structuring an organization.
The owners or partners who operate an organization can easily structure it in many different ways. But, the forms of structuring also depend on the objectives or purposes of an organization. Through the structure, the modes of operation in a business will be quite clear. There will be expressions regarding the assignment of responsibilities in each department with the help of the organizational structure. The structures can be of a work group, branch, individual as well as a department.
Effect on organizational action
There are two main ways in which the structure of an organization affects organizational action. First, the structure provides the foundation on which routines and a standard operating process are maintained in an organization. The structural part of an organization also clarifies about the employee or people associated with the organizations that are involved in the particular process.
Organization Types
The organization can be divided into two main parts, namely the formal and informal organization. The set of structure, which is not related to the operational action, can be known as an informal organization. But when the communication between employees of the same organization takes place regarding the functioning of an organization, it can be related to the formal structure. The policies of each organization may vary according to management strategies.
Well-functioning multinational companies
A multinational company consists of thousands of employees located in various parts of the world. If each employee of the company fulfills his duties and responsibilities, then all the activities of the organization will be carried out easily in a tuned mechanism. Therefore, the company will benefit with the maximum result in very chip. But, it is not possible all the time. The structure of an organization is a scheme consisting of individuals, units, branches, and departments. The relationship between each department and the employees must be foreseen.
Strength and number optimization
The smooth running of the business depends on the structure of an organization along with the proper assignment of responsibilities to each member of the organization. If the structure of an organization is competently built, the smooth running of a company can be easily discovered. Sometimes, due to office politics, the smooth running of a business establishment is disturbed. It is time to remove double and triple subordination and start smooth operation with due vigilance.
A big business house may have different departments, from marketing department, IT, HR department, to R&D wing, etc. If everything in each department is taken care of carefully and efficiently, the smooth running of the company will be supported by profit. If the main objective of the business is met, the income will come automatically.