Describe The Organizational Structure

An organization structure is the hierarchy which decides the formal division of task, and is of three different types, i.e. simple, bureaucratic and matrix. The structure of the organization is illustrated by the organization chart (Friend Lucy, n.d.). Simple structure of the organization can be seen in case of small firms or retail stores, where the manager and owner is the single individual who controls all the activities (Robbins Stephen P., n.d., page no. 406, part - 4). It has very low degree of departmentalization, authority handled by single person, wide span of control, and lower degree of formalization. The main strength of this structure is simplicity and possess clear accountability, while bureaucratic structure is applied to organizations where standardized activities are carried out and have highly routine operations, have formal rules and regulations, functional departments are allocated with specific tasks, centralized authority, chain of command is followed in decision making, and posses very narrow span of control. On the other hand, matrix structure is most often used in aerospace and construction companies, which has the combination of two type of department, i.e. product and functional. It comprises of combining the strength functional departments, and has dual chain of command.