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Showing posts with the label Organizational Structure

Aligning Organizational Structure and Organizational Strategy

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 Having a well-aligned organizational structure and organizational strategy means that strategy implementation is less likely to be slowed down by bureaucracy and administrative confusion. Harmonizing strategy and structure is important for any organization that seeks to create value for its customers and stay competitive. Below is a brief outline of a management training session on this topic:   -           Four basic structures: simple structure (central executive handles all decisions) , functional structure (functional departments report to CEO) , multidivisional structure (each division represents a business) and matrix structure (multiple structures are combined)   -           How to determine the impact of existing reporting and procedural arrangements and ensure that they will support organizational structure   -        ...

Organizational Structure

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It is important that an organization’s structure is built and revised as the company grows.   Here are some key things to address if examining your company’s organizational structure: -           Formalization – refers to written rules, policies, procedures (formalization would be low in a start-up or small organization) -           Centralization – how much decision-making authority is held at different levels -           Complexity – refers to different job titles and departments in an organization -           Specialization – extent to which a big task is broken into smaller steps or tasks.   How to determine the level of complexity required in the organization’s structure? -           Define primary functions in the organization and c...