Firstly, the notion that the vertical chain of control provides the main distinguishing effect. The lower informational asymmetry may help the process of decision making and also help to produce greater information and offer more proficiency.The work of (Grossi, Royakkers and Dignum, 2007) has presented an analysis of some basic concepts of responsibility in relation with the structure of an organization. All the activities which are connected with each such function are placed in the same unit. In committee form of organisation, committees are formed which help in management process.What are the essential features of office management ? Frequently companies go through some changes in their structures that best fit their needs to address any new directions they may adopt. The functional organizational concept, originated with 4. Thus these findings provide the first evidence of the tradeoff between vertical hierarchy and the degree of specialization in the organizations. The evaluation is divided into the foundation that underlies the development of organizational structure, a combination of the scope of the organizational structure with stress placed on the recognition of major explanatory constructs of structure, then a review of the interrelationships of the planned dimensions of organizational structure, and lastly a discussion of the theoretical relationships between organizational structure and individual attitudes and performance. The credit for the growth of functional organization can be traced back to Taylor who is regarded as the father of scientific management. But you also lack control in the outcome because you rely on contractual workers to complete critical work.Team structures organize each function into an objective-based group. The authority is embedded in the hierarchical structure and it flows in a direct line from the top of the managerial hierarchy down to different levels of managers and subordinates and further down to the operative levels of workers. The structure follows a hierarchical model that includes clearly identified roles, authority and promotional pathways. The following principles are helpful in developing a sound and efficient organization structure (a) The inter-related functions are allotted to each department.The above definitions of organization tells us the following features.All these systems function under the control of nervous system. Providing functional staff that is highly skilled and specialized.Job Design - Meaning, Steps, and its BenefitsThe functional organization features separate hierarchies for each function creating a larger scale version of functional departments. This is the dominant mode of organization among large organizations. They are also responsible for integrating the efforts of all functional managers to accomplish the project and directing and evaluating project activity. The line personnel are directly involved in achieving the objectives of the company.Its main disadvantages are the confusion and conflict that arises between line and staff, the high cost that is associated with hiring specialists and the tendency of staff personnel to build their own image and worth, that is sometimes at the cost of undermining the authority and responsibility of line executives.3. All the articles you read in this site are contributed by users like you, with a single vision to liberate knowledge.In framing the structure of functional organisation, the following points are to be kept in mind.It is established for the attainment of common objective.PreserveArticles.com is a free service that lets you to preserve your original articles for eternity. In the execution of a task, hierarchical organizations usually have different levels of task processes. In functional organization the management is divided into various major functions. Also, there is no provision for specialists and specialization that is essential for growth and optimization and hence for growing companies, pure line type of structure becomes ineffective.A functional manager can make decisions and issue orders to the persons in divisions other than his own, with a right to enforce his advice. In this business case of Google, the corporate structure is designed to support the need for innovation and creativity. For example, a company could have a group working in information technology, another in marketing and another in finance.Each department has a manager or director who answers to an executive a level up in the hierarchy who may … Organization structure refers to the system of staff organization because every staff in the organization must know his status and position in the organization. The functional structure is primarily responsible for:Greiner sees matrix organization, in which cross-functional teams are used, as a response to growing complexity associated with the organizational growth. In comparison, a higher degree of specialization should produce a more unique thinking, reducing herding with other asset managers. Basically the structure can be mechanistic or organic in nature or a combination of thereof. How to Choose the Best Homeschool Curriculum?http://smallbusiness.chron.com/different-types-organizational-structure-723.htmlBecause of the small size of the company, the line structure is simple and the authority and responsibility are clear-cut, easily assignable and traceable. Top-Down Hierarchical Organizational Structures Traditional organizational structures take a top-down approach, and there are a few variations on this kind of structure. Sub units are created at lower levels in each unit and the numbers of people under each manager at various levels get added just as the volume of activity increases. Organization is a management process by which people, functions and physical factors are brought together to form a manageable unit.It consists of a group of individuals which may be large or small.It establishes definite relationship between the divided units.Organization is a process of welding together a frame work of positions which can be used as a management tool for the most effective pursuit of the goals of an enterprise. CliffsNotes: Five Approaches to Organizational DesignThe divisional structure is defined by the grouping of departments and is used by larger companies. ManagementStudyHQ . The usefulness of each model will depend on your company's size, philosophy and function.In a network structure, your organization would rely on other organizations to perform important roles.