(ii) Project organisation provides greater flexibility in organisation; greater check over the project work, provision of determining exact responsibility and better co-ordination of organisational resources. iv. For example, Life Insurance Corporation of India runs its life insurance business on the basis of territorial divisionalisation in which the entire geographical area of the country has been divided into five zoneseastern, central, northern, southern, and western. The major advantages of the product organisation grouping are the following: i. It does not encourage development of future managers. For building the project team, personnel are drawn both from the functional departments of organisation and from outside. Content Guidelines 2. On the completion of project, the internal staff will be sent back to their respective parental departments or may be shifted to other projects. ii. There are many ready made frameworks available for creating a static webpage. Separate strategic and operational control, iii. Small-business proprietors ought to start considering a formal structure early within the development stage of their business. Though some degree of such conflicts is positive, they may often be heightened specially in the absence of coordinative force leading to destruction in the firm. v. Retains functional specialisation in each SBU. iii. (v) It helps in training of specialist managers rather than generalist managers. In traditional organizations, functional departments create horizontal boundaries which stifle interaction between functions, product lines, and units. Disadvantage: Weakening of Common Bonds. (iii) Project organisation requires specialists in various fields. In this form, each major product or product line is organized as a separate unit. The important disadvantages of the matrix organisation are the following: i. In this form, the organization is divided into several fairly autonomous units. The relationships are not rigid; they are collaborative and redefined through interaction. Thus, a subordinate in matrix structure may receive instructions from two bosses. Centralization is an organizational structure that gives the ability of decision-making responsibilities to higher management. Content Filtration 6. Entrepreneurial Structure (Simple Structure): 4. WebCompare and contrast them and describe the advantages and disadvantages of the two that you choose. (v) It keeps problems of production isolated from those of others. Also, a unitary government is very simple system, and as such less costly to run. Weba piece of cake a piece of old tackle a pushover as easy as ABC as easy as falling off a log as easy as pie a snack a snap a snip child's play duck soup easy-peasy kids' stuff money for jam money for old rope no sweat easy to do cream puff more For Sheldon Cooper, adhering to social constructs was not simple . Adjective Easy to understand Even though background plays an important role to be popular and admirable businessman, individuals leadership entrepreneurship abilities are a Introduction Apple Inc. (Apple) is an American multinational technology company established by Steve Jobs, Steve Wozniak and Ronald Wayne in 1976 (Biography, 2017). It also highlights the various roles and responsibilities. What is Decentralization: Advantages & Disadvantages of Decentralisation. Boundary less organizations are better equipped to manage these features. Each zone has further been divided into appropriate number of divisions, for example, northern zone into four divisions located at Jalandhar, Chandigarh, New Delhi, and Ajmer. Webadvantages of data structure. Moreover, there may be conflicts among the specialists quite often because of their different orientations. Advantages There becomes reduced personal responsibility for any business debts incurred Legal liability also becomes reduced since a company is a separate legal entity from you as an individual Company tax rates are lower compared to higher marginal tax rates It can be much easier to raise finance and capital to grow and expand Sharply focuses on accountability for performance. The nature of the organisational structure depends on a number of factors like the size of the enterprise, objectives of the enterprise, nature of the business, marketing characteristics, social factors, etc. Agreeing Joan Woodward contemplated inferred that innovation is a significant effect on hierarchical structure. i. i. iv. It is not suitable for enterprises with very diverse lines of businesses. Weaknesses of a Simple Organizational Structure Many of the problems of using a simple organizational structure revolve around the workload of the owner, or that of the person at the top. In this type, each department has a boss or supervisor, with top down management hierarchy who supervise lower levels. Committee Organisational Structure Features: (a) Formed for managing certain problems/situations. In other words, an organization is known by its culture. (iii) Co-ordination between line and staff may become difficult. 6. ii. These departments may be created on the basis of their requirement in the organization and can be placed according to their role in strategy implementation. For example, for new product development, no functional department is created but a multidisciplinary team is created that works on a single process. ii. (v) It has been found to fit a number of widely-varying situations such as product development, installation of a new plant, etc. Each division regulates the LIC branches in its territory and each branch has separate departments for operations such as new policies, collection of premium, adjustment of claims and administration. Organizational Structure. We will write an essay sample crafted to your needs. (v) Excessive specialisation may destroy teamwork in the organisation. (ii) Staff officers may resent their lack of authority. The matrix structure has the following advantages: i. (ii) It may be difficult to achieve coordination between different departments because of their different orientations. Let us assume that a typical company has two divisions for metal products and cement respectively. For instance, the marketing department may be divided into four sections; namely, advertising, sales, customer service and marketing research. List of Advantages of a Flat Organizational Structure 1. May divert the owner from strategic decisions to day-to-day operating decisions. This structure serves the needs of the situation faced and is flexible in nature. Plagiarism Prevention 5. It does not allow employees participation in decision making. Greater emphasis to the need of the customers may lead to less than optimum use of space, equipment and specialised personnel. This problem gets magnified when there is a tendency for the functional departments to become jealous of their prerogatives and fight to promote and preserve their specialisation rather than work towards unified project objectives. Departmentation refers to the formal structure of the organisation composed of various departments and managerial positions and their relationships to each other. A perfect example of this strategy is the military organization. There are different types of departmentation or organisational structure. Since these activities may be divided and assigned in different ways, there are many forms of organization structure. In fact, most of the companies in information technology sector which are engaged in development of software for different purposes and for different customer segments have adopted this approach. Under the functional structure, the organisation is designed on the basis of the basic functions, namely, production, finance and accounting, marketing and personnel. Under this structure, there could be confusion regarding job and task responsibilities. Other companies can do very well in those areas in which the first group of companies feels handicapped. Most loved Kind to Skin Cleansing Wipes Kind to Skin Micellar Cleansing Water Kind to Skin Protecting Light Moisturizer SPF 15 Choose Kindness High cost of operation prevents the small companies from adopting this type of structure. iii. A divisional structure encompasses a set of relatively autonomous units governed by a Corporate Office. Advantages of Queue: A large amount of data can be managed efficiently with ease. It needs no specialized knowledge for them to understand that there are several departments, each performing a separate function, and all departments must work in unison to achieve an organizations goals. Under this, each major product or product line is organised as a separate division. Report a Violation 11. For example, each division has its own manufacturing, engineering, marketing, etc. Thus, departmentation by product generally leads to duplication of facilities. For instance, a big automobile servicing enterprise may organise its departments as follows heavy vehicle servicing division, car servicing division, and scooter servicing division. Functional departmentation is the most widely used basis for organising activities. Each product line or product group gets concentrated attention. (2019, March 7). For example, if an organization emphasises product innovation and development in its strategy, its research and development may be given very high status. WebAdvantages of Organisation Structure: Merits of having a well-designed organisation structure are as follows: 1. The project staff is separate from and independent of the functional departments. It is easily understood by the employees. This structure improves communication across the business. d. They often create their own schedules and review their performance as a group. Each unit is directly accountable to the organization. It is appropriate when each product is relatively complex and a great deal of capital is required for each product. (n.d.). iii. When making beyond any doubt your organization is well organized, a couple of steps must be taken after: When it comes to advancing the structure of a company it is basic to communicate the proper stream of information to everyone inside the organization. WebAdvantages of Organisation Structure: Merits of having a well-designed organisation structure are as follows: 1. Territorial departmentation has the following advantages: (i) It leads to the benefits of local operations. (iii) It introduces specialisation leading to higher productivity and economical operations. 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