In: Operations Management
his assignment will assess competency 3. Analyze the fundamental characteristics of organizing. Throughout your career, especially as a manager, you will have to understand and work in a variety of structural configurations. Changing times may force you to participate or lead a reorganization for your company. It is important to understand the structure and the effect it can have on achieving company goals. For your paper: Research and describe how the scholarly literature describes the functional and divisional approaches to structure. Select an organizational structure (see exhibit 10.3 in your book to get a start) and explain how the structure is designed to work by providing an example or scenario (make certain to address the theory’s advantages and disadvantages). Discuss how culture is reflected in the chosen theory. What types of companies might choose it? Once chosen, how might the company's culture be affected?
answer-
ORGANIZATION STRUCTURE-
Organization structure is the hierarchy within an organization in context of roles-responsibilities, tasks allocation, supervision etc.organization structure can be changed according to the time & future goals & objectives.
1- functional organization structure approach-
it is the organizational structure where members are grouped into several functional departements according to thier skills, expertise, knowledge, work activities, and resource. the the power of decisions & authority is in the hands of top management which is communcated to the down management in vertical manner.
for example- marketing manager at top with its marketing executives(marketing function)
HR manager at top with its HR executives(HR function)
finance & account manager at top with its finance & account execitives at down(finance & account function)
2- divisional organization structure approach-
divisional organization structure in which big companies organizes its business oeprations into division based on the geography,market or product etc.each division works as its own business unit.
lets select the functional organization approach in which the stucture is deisgned as follows-
1- TOP MANAGEMENT -
Managing director, chief executive officer(CEO), president etc.
2- MIDDLE LEVEL OF MANAGEMENT-
general managers, functional or departmental managers(maketing manager, HR manager etc.)
3- LOWER LEVEL OF MANAGEMENT-
seniro & junior executives, staff etc.
- advantages of functional approach-
- disadvantages of the functional approach-
culture in functional approach is not diversified as divisional because it involves the people with same set of skills, expertise, knowledge also it may form for the business at national level in which members are more of same culture, religion , values etc. so there are very less chances of discrimination in the culture of the buisness.the mostly small & medium startup or business adopted this functional organization structure.
* above answer is written in my own words.hope this answer would help you.good luck.