Organisational Structure

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Organizational Structure

An organization is a social unit of people, systematically structured and managed to meet a need or to pursue collective goals on a continuing basis. All organizations have a management structure that determines relationships between functions and positions, and subdivides and delegates roles, responsibilities, and authority to carry out defined tasks. Therefore, in order to better manage the large amount of resources and assets organizations need to be in some sort of organizational structure so that it can be formed into some form and clear lines are defined in order to control and get the productive use of organization's resources.

Furthermore, an organizational structure is the framework, within which an organization arranges its lines of authority and communications, and allocates rights and duties. It determines the manner and extent to which roles, power, and responsibilities are delegated, controlled, and coordinated, and how information flows between levels of management. An organizational structure depends entirely on the organization's objectives and the strategy chosen to achieve them. An organizational structure is essential as it gives focus and direction to an organization, reduces cost and redundancies by eliminating extra and unproductive processes

In illustrating the organization’s structure an organizational chart is utilized. And an organizational chart is a diagram that depicts the structure of an organization in terms of relationships among personnel or departments. An organizational chart also represents lines of authority and responsibility. They are typically used to provide both employees and individuals outside the organization with an ideal picture of its reporting relationships, divisions of work, and levels of management.

On the other hand, an organizational design can be defined narrowly, as the process of reshaping the organization structure and roles. In other words, it is a step-by-step

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