Structure for Conglomerates
Reflect on your reading , specifically Analytical . Is another form of structural configuration better suited to multiproduct, multiservice companies? If not, is there a form of departmentalization for multiproduct, multiservice companies which would match somewhat the divisional structure configuration?"
Explain how the following somewhat match each other:
• functional structure with simple structure
• divisional structure with departmentalization by product
• machine bureaucracy with centralized, mechanistic structure
• professional bureaucracy with decentralized, organic structure
You must be at least 200 words in length. You must Support your claims with examples from required material(s) and/or other scholarly resources, and properly cite any references.Summary
Organizational structure is a formal system of task and reporting relationships that coordinates the activities of employees so that they can work together to achieve organizational goals. Organizational design is the process by which managers make specific organizing choices that result in a particular kind of structure for the company. Organizational design involves numerous activities that include designing jobs, departmentalizing decisions, completing the company's structure, and outlining the best structural configuration.
Job design is the process of assigning tasks to jobs. It starts with job analysis, which results in the assignment of individual tasks to specific jobs. Then, a job description outlining the tasks and duties can be created. Finally, a job specification identifies the eligibility requirements or qualifications needed to perform a job. Departmentalization is an organizational tool that involves placing various jobs into different departments or divisions. The primary forms of departmentalization include those by function, product, customer, geographic region, or strategic business unit, as well as by the matrix approach. Managers select the form of departmentalization that best matches each company's unique operating needs.
An organization's structure is complete when lines of authority and responsibility have been identified. Authority consists of the right to direct activities and permission to act or make decisions. Responsibility is the obligation to complete tasks as assigned by reporting to a specific supervisor. Parity of authority and responsibility means that equal levels of both are placed in each job or position in the organization.
Managers then conduct organizational operations by featuring centralization, decentralization, specialization, formalization, and degrees of mechanistic or organic flexibility. Each structure matches the specific circumstances of the company involved. When a crisis arises, one natural response is to create additional structure or a new department designed to defend against the threat.
Structural configurations related to several business enterprises include a simple structure, machine bureaucracy, professional bureaucracy, divisional structure, or adhocracy. Each form facilitates the operation of a specific type of enterprise. Organizational goal-setting processes lead to the most efficient and effective forms of organizational decision.