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Levels of the Organisation and Design Implications

Now you will realise that strategic factors of organisational design may not affect all levels of the organisation in the same way. 

Top Management Level 

At the top or strategic level, size and environment may be more important than technology, since top people must keep themselves well-informed about the external environment. In this context, top management must continuously gather information about such areas as economic and energy conditions, changing attitude of people towards work, social responsibility of the business, and the growing number of environmental and consumer pressure groups. 

Middle Management Level 

The middle management level performs two basic functions : 

  1. Coordinating, administering, and servicing the operating level; and 
  2. mediating between the operating level and those who use the products and services. 

Matrix structure is quite often used for integrating the activities of different specialists while maintaining specialised organisational units. 

Example 

Hospital personnel such as nurse report to a single administrator but work in several different departments such as medicine, surgery, and psychiatry. 

Operating Level 

At the operating level, size may be important because it affects group dynamics or team work; environment may be important because it affects the kind of work being done. And the smaller the organisational sub-unit, the more the structure is affected by technology, which in turn, affects behaviour. At the operating level, mostly it involves creating and maintaining relatively autonomous groups (teams) of employees who are collectively responsible for their output. 

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