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Management Theory and Practice

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Management Theory and Practice
Introduction

There is no particular definition of an organization. Different authors have defined organization in different ways. Therefore, organization can be define as an institute where a group of people work together to achieve certain goals and objectives. Organization has a distinct purpose and follows a particular strategy to goals or set of goals. Whereas structure is the manner, in which something is build. This structure defines and limits the behavior of the members of an organization. In an organization to achieve certain objectives, a structure is very important. The structure of an organization can be different level of managers and how are they commanding their employees to work properly in an organization.

Organizational Structure

A business may begin with one person doing all the necessary tasks. As businesses become successful and grow bigger, more people are required to perform various tasks of the business. These people are located in different departments of an organization and they all work towards a common objective. To accomplish such objectives, there must be a plan showing how we will organize the work. The plan made for the systematic arrangement of work is the organizational structure. Organizational structure is composed of functions, relationships, responsibilities, authorities and communications of individual within each department.
Organization structure can be of two types: flat and tall organization structure.
Flat organization structure is a decentralized organic structure. It encourages high employee involvement in decision-making. The purpose of this structure is to create independent small business that can respond to customer’s needs or changes in the business environment.
Advantage of flat structure • It has a fewer problems in communication and coordination • It can motivate employees to take greater responsibility for their output
Disadvantage of flat structure • It creates more opportunities



Bibliography: From Books • Cole.G.A. Management Theory and Practice. 6th edithion. • Griffin Ricky W. Management. 8th edition. Houghton Mifflin Company • Hellriegel Don & Slocum John W. Management: Contingency Approaches. 2nd edition. Addison Wesley Publishing Company • Mullins Laurie J. Management and Organizational Behavior. 7th edition. Prentice Hall: India • Robbins Stephen P. (1999). Organizational Behavior. 8th edition. Prentice Hall: India. • Robbins Stephen P & Coulter Mary. (1998). Management. 5th edition. Prentice Hall: India. • Stonner James A.F, Freeman R.Edward & Gilbert Daniel R. Management. 6th edition. From Website http://www.answers.com/what+is+organizational+structure?cat=biz-fin

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