Fundamentals of Organizational Structure
Structures are an essential part of the functioning of an organization. Organizations require structures regarding task allocation, supervisory activities and coordination to exist.
Different organizations apply various forms of structures to meet their short term and long term goals. In most situation the structure of an organization is reflected in the form of charts which demonstrate the separate divisions of a business and how they operate separately and when intertwined together.
Therefore, the structures are designed to bring about information flow in different directions, both vertically and horizontally. Vertical information flow is centralized, hierarchical and based on rules whereas the horizontal linkages are considered as being de-centralized and composed of very minimal rules.
The current business world and its complexity are translated in the structures used by organizations. In the hope of meeting these ever changing environments, organizations need to adopt to this complexity so as to stay functional.
Many organizations have a structure that delegates the roles and duties that the members are to perform, and this helps everyone in the organization to understand his responsibilities and obligations.