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Organisation Structure : Basic Concepts

Organising 

"Organising" is one of the functions of management which is concerned with choosing ;what tasks are to be done, who is to do them, how the tasks are to be grouped, who is to report to whom and where decisions are to be made. 

Organisation Structure 

The "structure" of  an organisation is the formal system of working relationships that both divide and coordinate the tasks of multiple people and groups to serve a common purpose. It is the basic framework of formal relationship among tasks, activities, and people in the organisation. 

Essentially, structure in an organisation can-be compared to the skeleton of the human body. It shows how parts are interconnected. The typical means of showing the organisational structure is an organisation chart. 

Organisation Chart 

An "organisation chart" is a graphic model of a'formal organisation. It intends to serve two basic purposes : 

  1. It shows who is accountable to whom. 
  2. It shows, in abbreviates form, who does what in the organisation. 

A quick glance over this organisation chart can convey the following useful information : 

  • The division of work shown by boxes on a typical organisation chart. 
  • Supervisor - subordinate relationships. 
  • Type of work performed by the position holder. 
  • How various positions are grouped together as sub-units or departments. 
  • It shows management levels in the entire hierarchy of authority. 

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