September 9, 2013
Instructor: Matthew Gidley
Every company has their own form of organizational structure. Whether the business is big or small, an organizational structure is needed in order to be successful. An organizational structure helps put the business in order to make sure there are no problems in the future, but what exactly is an organizational structure? It is how the reporting structure is organized. There are many types of organizational structures. Some examples of organizational structures are, the functional, matrix, and divisional structures (Bateman & Snell, 2011). When business owners are planning a structure for their business, it is important to know just how complex the business will be. If the business is a major corporation, such as Wal-Mart, then the structure should be able to support the complexity of the business. When a major corporation does not have a structure that supports their complexity, they are likely to have issues within the organization of the business. This potentially causes the business to lack the proper management and to possibly fail. An organizational structure will determine how all employees work together. If the business is not under a strong structure, then there could be confusion throughout the whole business. An organizational structure also determines the decisions that the business will make as a whole (, 1991). If there is not a structure, then there is ultimately not a business. There is a lead manager and then it spirals down. There should be someone in charge of all departments within the business. If it is a small business there is not really a need to have a complex organizational structure. If the business is a big business, they should have a structure that will work best for them. Along with a structure, comes structure control. A structure is nothing without having the proper controls that come along...
References: Bateman, T. S., & Snell, S. A. (2011). Management Leading & Collaborating in a Competitive World (9th ed.). Retrieved from The University of Phoenix eBook Collection database.
Wal-Mart. (2012). Retrieved from http://corporate.walmart.com/
(1991). Organizational Structure and Controls. Retrieved from http://asso.nordnet.fr/adreg/hitt%20et%20al%20chapitre%2011%20structure%20et%20controle.pdf.
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