Organizational structure involves a set of planned links between people who have associated goals and physical elements and the human resources required for the appropriate and effective implementation of those goals and elements (Thompson, 2017). In an organisation the structure is highlighted in the form of a chart which outlines the role, authority and responsibility of different positions in an organisation indicating the positions hierarchy (Thompson, 2017). Organizational structure is essential as it offers an enterprise with guidance and clarity of definite issues in human resource including managerial authority. Human resource managers should consider a formal organizational structure in the initial phases of the development of an organization.
Importance to an organization
The structure enables for the division of labour to avoid work duplication which decreases ambiguity. All workers and leaders have a job description which provides an outline of their roles. The structure enables coordination in an organisation as it facilitates order in the purpose and guidance in which the framework offers. The organisational structure defines clear objectives as it provides a scope for the official employees conduct in the organisation (Thompson, 2017). Employees should always refer to the structure for guidelines to understand how things need to work and the rules that apply in different circumstances. The structure offers a guarantee for enhancement in efficiency of operations of workers. The structure allows for internal and administration communication. It assists in decision making and administration. It is seen as an operations guidebook or a manual. The decisions are made easily when a guidance system is involved (Lee, Kozlenkova, & Palmatier, 2015).
Communication is crucial to organization success. The organizational structure should be designed to ensure departments coordinate their work processes via communication lines installed into the structure. It promotes organizational growth and diversification which develop to keep them updated with the current business activities. A proper organizational structure makes sure the enterprise has the correct people occupying different work positions (Lee, Kozlenkova, & Palmatier, 2015). The structure can point out deficiencies or weaknesses in the existing work hierarchy. As an organizational diversifies and grows, it should ensure its organizational structure evolves. Project managers can use the organizational structure to recognize better human resources available to assign them to different positions. An effective organizational structure makes sure that sufficient human resources exist within an organization.
Lee, J. Y., Kozlenkova, I. V., & Palmatier, R. W. (2015). Structural Marketing: Using Organisational Structure to Achieve Marketing Objectives. Journal of the Academy Of Marketing Science, 43(1), 73-99.
Thompson, J. D. (2017). Organisations in Action: Social Science Bases of Administrative Theory. Routledge.
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