Business Administration Essay Example | Topics and Well Written Essays - 1250 words

Business Administration - Essay workoutThere are three master(prenominal) ways to create organisational social structures which are discussed below Functional structure This technique divides work according to the dish up of an organisation it makes departments on the basis of organisational functions such as marketing, finance, human resource etc. (Torraco & Swanson, 1995) This is a precise successful way to create an organisational structure as it promotes strong communication between departments and allows employees to use their expertise to achieve organisational goals. This structure is used by both small and large firms (Tobey & Benson, 2009). Example Revlon is a transnational cosmetics, skin care, personal care and fragrance firm and it uses functional organisational structure to manage its 6800 employees. It accentes on organisational functions to decorous organisational goals. (Five approaches to Organizational Design) Divisional structure This way of developing stru cture, make divisions according to the types of products and market areas (Ulrich and Brockbank, 2005). This structure is usually used by large firms which have wide variety of products and its operations are geographically expanded. minuscule size firms can also use divisional structure on a small outgo (Vosburgh, 2007). ... It uses divisional structure. (Five approaches to Organizational Design) Matrix Matrix structure is combination of functional and divisional structure it is a hybrid which is normally used by large multinational firms. Though it is a complex and dearly-won structure but firms using this structure enjoy the benefit of both functional and divisional structures (Aguinis, 2009). Example Starbucks coffee company is an international coffee house which operates in many countries. It uses matrix structure which is dear(p) but Starbucks Corporation is enjoying advantages of both functional and divisional structure which is helping them to expand and to maintain its focus on companys goals (Hitt, 2008). How managers can be supported during the process of organisational structure change. Managers play an chief(prenominal) role during the process of organisational structure change. They need to be very systematic to implement the change and has to be very careful about the processes involved (Armstrong, 2009). Change can be a shift to new(prenominal) structure or it may also mean to bring in the change within the selected organisational structure (Beatty & Schneier, 997). There is an eight-step process which can support managers the process of structural change. Following figure shows the steps involves in the process (CliffNotes) Managers first need to analyse the need for change of organisational structure, then they need to develop the goals of change, formerly they decide goals then they need to select the change agent, then they need to do diagnosis, after diagnosis they need to select the intervention method, then they need to do devel op a plan for change, at once the plan is develop than