Organizing Trend

Topics: Management, Organizational structure, Organization Pages: 4 (1121 words) Published: February 26, 2011

Organizing Trends in Workplace

Traditional Trends

In designing a structure to support the efficient and effective accomplishment of organization goals, managers may choose to follow more traditional organizational organizational designs. The design are including functional, divisional, product, geographical, process and customer.

A functional structure is an organizational design that group similar or related occupational specialties together. It’s functional approach to departmentalization applied to the entire organization. Functional departmentalization can be used in all types of organization. Only the functions different follow the organization’s objectives and activities. For examples, a hosplital may have departments to research, patient care, accounting and so forth. The functional structure have cost – saving advantages from specialization (economies of scale, minimal duplication of people and equipment) and employees are grouped with other who have similar tasks. The weaknesses for this structure is pursuit of functional goals can cause manager to lose sight of what’s best for overall organization. Functional specialists become insulated and have litle understanding of what other units are doing. Besides, the employess have no chance to know about the other’s unit activities. This can cause the problem of standardization and integration between units. Functional units are effective when the organization has only few products or is small in size; the drawback of limited view of the entire organization gets negligible.

The divisional structure is an organizational structure made up of separate business unit or divisions. In this design, each unit or division has limited autonomy with a division manager responsible for performance and who have strategic and operational authority over the unit. In divisional structure, the parent corporation typically acts as an external overseer to coordinate and control the various division and...
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