Definition of Organizational structure:
The typically hierarchical arrangement of lines of authority, communications, rights and duties of an organization. Organizational structure determines how the roles, power and responsibilities are assigned, controlled, and coordinated, and how information flows between the different levels of management.
A structure depends on the organizations objectives and strategy. In a centralized structure, the top layer of management has most of the decision making power and has tight control over departments and divisions. In a decentralized structure, the decision making power is distributed and the departments and divisions may have different degrees of independence. A company such as Proctor & Gamble that sells multiple products may organize their structure so that groups are divided according to each product and depending on geographical area as well.
An organizational chart illustrates the organizational structure.
The organizational structure also determines how information flows between levels within the company. For example, in a centralized structure, decisions flow from the top down, while in a decentralized structure, decision-making power is distributed among various levels of the organization.
An organizational structure is a system that outlines how certain activities are directed in order to achieve the goals of an organization. These activities can include rules, roles, and responsibilities.
How to use Organizational structure in a sentence?
- Before the man began working at his new job, he wanted to know the organizational structure and who was in charge.
- A centralized structure has a defined chain of command, while decentralized structures give almost every employee receiving a high level of personal agency.
- An organizational structure outlines how certain activities are directed to achieve the goals of an organization.
- Successful organizational structures define each employee's job and how it fits within the overall system.
- My buddy did not want to work on Saturday, but he complained to the plant manager instead of our department supervisor, completely ignoring the organizational structure of our company.
- Having a good organizational structure will lead to much better decisions by your business for its long term investment goals.
Meaning of Organizational structure & Organizational structure Definition