In: Operations Management
An organizational design forms the structure in the organization which helps in establishing the relationships between employees, departments and management. This establishes the authority-responsibility and facilities workflow and operational processes.
The design of the organization's structure helps in developing the behavior of the workforce the most. For example, employees are supervised more rigidly in a formal structure than in an informal structure. This impacts the communication process as in the informal structure, employees are more free and open to discuss new ideas and share it with the management. Similarly, a decentralized structure gives rise to more trust and bonding within the teams than a centralized structure.
Therefore, it would be correct to assume that the organizational design has a definite impact on the behavior of the workforce and each company should design their organizational structure to develop the kind of behavior they would like to implement in the company.