Types Of Organizational Structure In An Organization

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A typical organisation may consist of the following functions, operations, Marketing, Finance, Human resources, Research and development, Sales, Production, Manager, supervisors, IT,
Operations function – This is key to overall organisations performance as it is where a number of process come together to make the product and services to satisfy customer needs. However, the operations function needs the support of services in:
Finance – To manage the flow of money across the organisation. Finance managers produce financial and management accounts not only to ensure legal compliance but also to contribute to the strategic decision – making process by forecasting financial performance. Budgets enable operations to have the resources (for example, …show more content…

These types of organisation structures should not be seen as sequential, but as a range of alternatives which are the subject of deliberate management choice because organisations are set up in specific ways to accomplish different goals therefore the structure of an organisation can help or hinder a business objectives.
Functional organisations – This type of structure reflects the different functions present within an organisation. For example, marketing, finance, sales, production, research and human resource specialties each have their own sub organisation which is represented at the board level. The size of each department varies according to business needs and the general point is that such a structure allows employees with specialist skills to deploy these to their best …show more content…

Organisation by product – Product based organisations work best when there a need to promote entrepreneurial behaviour. Each of the business areas pursues the development of its products around the organisation’s core competencies.
Organisation by customer or Market – These are organisations that in this case rely heavily on the small number of important customers who account for most or all of their business. Customer- facing organisations have attracted considerable approval in recent decades, partly spurred by such influential works as in search of excellence (peters and waterman 1982). Being close to the customer and able to respond quickly to their changing demands requires an organisation to uphold the primacy of the customer relationship and give autonomy to local staff to make deals and

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