Organizational Structure & Design
Businesses set goals to work toward. Once the business' mission statement is decided, an organizational structure will work toward this vision in incremental steps.
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Mission Statement
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A mission statement showcases the importance of communication. It inspires innovation and promotes efficiency. The organizational structure is designed around the goal of the mission statement.
Basis
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The organizational structure is based either on a department or on a particular project. If it's based on a department, duties are divided by the types of staff within the department.
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Chain of Command
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If the business has one leader, that position must have a distinct title and role. If the business has more than one leader, each leader takes on a different role.
Roles
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Organizational structures are either centralized or decentralized. Centralized structures assign defined roles to individuals. Decentralized structures are cooperative; many workers are responsible for several functions. Subordinates understand which supervisors they report to. Managers arrange how and when interactions between employees and supervisors take place.
Responsibility
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Each person has a defined role. Functions don't overlap unless certain functions are shared among several people.
Changes
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Organizational structures are flexible. Processes adapt as the organization grows. Supervisors consult regularly to discuss the success of the company.
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References
- Photo Credit Company image by Yuriy Rozanov from Fotolia.com