CHAPTER 4 SYNTHESIS

Abisado, Jona E. BSHM 4B

An organization is a group of two or more people that coordinates the distribution

of resources toward a common goal or objective. In business, an organization is a legal
entity established with the goal of bringing on a business company. And also, it is based
on legal systems that govern contracts and exchange, property rights, and
incorporation. The most important aspect of any organization is its people. It is essential
to provide them with the necessary tools for success. However, it is also a company.
Possessing a solution that can accommodate the requirements of both employees and
the business will help to align their goals and lead to happier, more productive workers.

Organizational structures can be complex, with multiple levels separating entry-

level employees from top executives. They can also be a simple line type, with only a
few levels among employees and management. No two companies are alike in the
same way that no two people are alike. Within an industry, companies may appear to
have similar organization structure, but there will always be differences. There are three
types of Organization the first one is the line type organization, which is the simplest
type of organization where authority flows directly from the top position to instantly
employees’ levels. One of the most common examples of line organization is small
businesses with the owner supervising daily operations. The benefits are of this type of
organization is that it is simple and easy to understand, it maintains discipline since
there’s only one executive that manages his employees, it has quick decision-making
and implementation and lastly, the employees and the head are flexible. The
disadvantages includes overworked managers, lack of specialization since the
employees will do the jobs that they can and they must be flexible, authoritarian
leadership is existing, and sometimes there will be coordination issues in an
organization where the members won’t coordinate each other. The next type of an
organization is the functional organization where it provides specialization for every
employee, with each department operating independently of the other departments.
Each department's team can focus on their particular jobs on a regular basis and
improve their skills. Furthermore, this type of structure improves production and
efficiency because each worker becomes an expert in his or her functional area and can
perform tasks with high speed, accuracy, and efficiency. This type of organization also
presents some difficulties for the company. For instance, there would be a lack of
teamwork among the company's employees because each department operates as a
unit and the employees have no opportunity to collaborate as a team. A line-staff
organization delegated work from upper management to lower-level employees.
Supervisors set guidelines for work quality and timelines for employees to complete
their tasks, and they interact their expectations to the team. The availability of technical
specialists is a benefit of a line-and-staff organization. Staff subject matter experts are
incorporated into the formal command chain. Conflict between line and staff personnel
is a disadvantage of a line-and-staff organization.

Selecting an organizational structure is essential for a company's management. It

is therefore important for employers to select the appropriate organizational type to
assist functions run more efficiently. Management should consider the types of
organizations that will be used. Several factors should be considered when deciding
which type of organization to join. They include the company's size, the business if the
type of organization will be fit in the business, and its environment. Although it may
appear to be a difficult task, establishing an organizational structure is worthwhile and
provides numerous benefits. It improves communication among a business owners or a
company's stakeholders, for example. It also assists managers in properly setting
company's objectives.