Organisational process

and
organizational structure
 WHAT IS AN Organisation?
A social unit of people, systematically structured and
managed to meet a need or to pursue collective goals on
a continuing basis.
 Features of an organisation
• Work Specialisation
• Chain of Command
• Authority, Responsibilities and Delegation
 importance of an organisation
• Facilitates Administration
• Facilitates Growth and Diversification
• Permits optimal use of Resources
• Stimulates Creativity
• Encourages Synergy Effect
• Transfer and Adaptation of Technology
 Organisation PROCESS
The steps involved in the
process of organization are:

I. Determination of Objectives
II. Identification and Grouping of
Activities
III. Allotment of Duties
IV. Developing Relationships
V. Integration of Activities:
1. Through authority relationships
2. Through organisational
information or communication
system
 Organisation structure
• It is a framework within which an Organization arranges it’s lines of
authorities and communications and allocates rights and duties.
• There are two types of Organization Structure:
1. Formal Organization Structure
2. Informal Organization Structure
 Why do we need an Organisation
structure?

All Organizations have a management structure that determines the

relationships b/w functions and positions and subdivides and
delegates roles, responsibilities and authority to carry out defined
tasks.
 Features of organizational structure

• Determines the manner and extent to which roles, power and

responsibilities are delegated.
• Depends on objectives and strategies.
• Acts as a perspective through which individuals can see their
organization and it’s environment.
 ELEMENTS OF ORGANISATIONAL
STRUCTURE

Departmentalisation Span of Control

Organisational
Structure
Elements
Formalisation Centralisation
 Formal Organization Structure
• It is the structure of jobs and
positions with defined function and
relationships.
• It can be classified as:
- Line Organisation
- Functional Organisation
- Line and Staff Organisation
- Project Management Organisation
- Matrix Organisation
 Line Organisation
• Line organisation is the simplest,oldest type of organisation.
• It is also known as scalar organization/military type organisation.
 Functional Organisation
• Large, complex organizations often require a taller hierarchy.
• In its simplest form, a tall structure results in one long chain of command similar to the
military.
• As an organization grows, the number of management levels increases and the structure
grows taller.
In a Functional structure, managers form many ranks and each has a small area of control.
 Line and Staff Organisation
• Flat structures have fewer
management levels, with each level
controlling a broad area or group.
• Flat organizations focus on
empowering employees rather than
adhering to the chain of command.
• By encouraging autonomy and self-
direction, flat structures attempt to
tap into employees’ creative talents
and to solve problems by
collaboration.
 Project Management Organisation
Organized according to the
different types of products
produced.
 Matrix Organisation

Employees are
temporarily assigned
to a specific team
and have a
permanent
functional unit.
 inFormal Organization Structure
Unofficial but important working relationships between members.
Thank You