Understanding The Frame Of Organizational Structure Commerce Essay

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Work specialization is a key factor of organization structure. In the organization there are several jobs along their workers. So the workers perform individually their tasks so they are performing that activity again and again then they trained and work specialized on their field. This factor is gives advantage and disadvantage both e.g. In a Honda company these are many portions every worker is specialize on their portion by doing one job. He could be more accurate, takes less time

In less input will give more output and the disadvantage is that if the work specialized person is absent so the production will be stop. By doing the same job he might be bore so the moral will be down...


Though departmentalization jobs are divided into the specialize work and they perform the tasks in a groups the following are the forms of departmentalization

Customer Departmentalization

Geographical Departmentalization

Functional Departmentalization

Product Departmentalization

Process Departmentalization

Chain of Command:-

Chain of command is the responsibility, proper line of authority in the organization. Classical theory explains hierarchy or chart structure that who reports to whom, and clarifies the ranks it tells about the duties, responsible assignments in organization. In some of the organization is based on it like navy and much active.

Span of Control:-

It explains the actual position of the manager in the organization that how managers are controlling their sub co-ordinates we have two types of spin of control. Tall and narrow and the other one is Flat and wide.

Tall and narrow

In this factor manager can handle five to eight sub co-ordinates. It is much easier to handle minimum people good communication will be there supervision will be stronger its means that the distance between CEO and lower managers is very less.

Flat and Wide

This is totally opposite to the tall and narrow. There is many sub co-ordinates under the manager. So it's very much difficult to handle many people motivation to every is much difficult and normally human can handle eight people. So as a result no attraction to the works moral will be down. No communication between the manager and employees because it's not easy to ask about the work daily the result will be not impressive in that kind of organization….

Centralization and Decentralization

It tells about the organization structure that who is the decision maker in the organization. Who has the power and the authority to make a decision for the firm. In the centralization decision making is concentrated by the single person and the decision making is done higher manager with no interaction from the lower level and in the decentralization decision making is get distributed in the hierarchy throughout the organization its benefits is actions and decisions are taken more quickly and more confident. Every employee is the decision maker and feel will an important and a part of an organization.

Matrix Structure

Matrix structure is the combination of the product customer, functional departmentalization. An organization which has a matrix structure that is the team work of the business and based for the project. Every department is responsible for their section. This team work is up to the project time if the project time is over then they divert to another project. Here the project manager is responsible after the completion of the project and budget


Supports inter-disciplinary co-operation and multi-function working

Combines the benefits of specialization of the product/project structure

Develops tolerance of flexibility


Here in this sector there is a big disadvantage of the loyalty between the managers and the project manager over the location of funding, dudget and recourses

Costs of added management positions, meetings

Slower decision making

Possible competition between dual managers

Organizational Culture

Organization culture is the set of values, rules, beliefs, attitudes and regulations these factors can help members of the organization to know how we will Work. To whom we will report? What we this? Why this is important?

Culture is like a backbone for the organization because it is the internal environment it play a key role to success of the firm

Types of Culture

Power Culture

Power culture is centralized this culture may found in the small kinds a business control is the basic element the decision maker is alone there is no consultancy the organization may react quickly to the danger. Some times more consultancy can lead to staff feeling undervalued and de-motivated, which can also lead to high staff turnover.

Welfare/ Person culture

Basically this kind of culture is a welfare non profitable, charities and for the social activities. This kind of culture can be in the group or individual aim

Task Culture

It is basically a team work based approach to complete a particular task. This culture is more common the business where the organization will establish a project team to complete the project in the particular time. Employee's feels motivated because they are in power to make decisions within their team, they will also feel good and value because they may have been selected within that team and given the responsibility to bring the task.

Role Culture

Common in most organizations today is a role culture. In a role culture, organizations are split into various functions and each individual within the function is assigned a particular role. The role culture has the benefit of specialization. Employees focus on their particular role as assigned to them by their job description and this should increase productivity for the company. This culture is quite logical to organize in a large organization.

P2:- Analyze the relationship between an organization's structure and culture

And the effects on business performance.

Task for P2:- Here you will discuss how organization culture and structure affect the organizational performance positively or negatively. This should be attempted as a continuation of P1.

Culture and structure is working like a backbone in the organization. It creates a new concepts and strategies which can affect any level of planning. When it applies on any hierarchy organization. So then implications of organizational culture and structure will be implemented to the government companies etc

Organizational structure and culture can affect progress of organization in the positive and in the negative way. In the positive way it differentiate the organization to the another one which don't have a culture and structure. It explains the limitation of the firm. It provides a sense of license among the employees to know each other for the success and achievement of goals. It can bring stability and social system in the organization. In any organization having culture and structure strange there will be working environment also provides appropriate standards of working environment.

Every organization has different policies rules and regulations that how to communicate with the employee. The organization also shows about the responsibilities that who will report to whom mean who will be responsible to whom majority in this kind of organization tasks a good decision foe the company

Culture and structure has also some drawbacks on the business progress. If the organization culture is too much complex then in the organization decision will be very slow and also there will be centralized decision making in which the lower level employee's will not be entertained.

P3:- Analyze the factors which influence individual behavior at work.

Task for P3:- In this area discuss the factors that influence behavior at work, your answer should focus on personality, traits and types, its relevance in understanding self and others

There are many terms and influences which can change the behavior. But the most important one is one is personality and Perception

Personality will be defined as the distinctive traits and the characteristic of a person and the relation to the others. And the response from the other