Organisational Structure and Different Types of Structures

Organisational body social system and Different Types of StructuresOrganisational body structure and assorted parts of structuresOrgansational structure is the internal, formal framework of a business that shows the way in which management is linked together and how the authority is transmitted. (Stimpson P. 2011)It is basic exclusivelyy a framework used to describe the hierarchy inan establishment. E very business needs to have their proclaim organisational structure as it helps in identifying the crease at each level of an individual followed by its functions and it too assists in obtaining their own goals for development. There is a need for every type of plaque to have their own structure specially when it comes to humongous enterprises as it becomes difficult activities of the various departments and functions. Following ar the various type of organisation structure a business can haveFunctional StructureFigure 1 FunctionalSource businessmates.org,2014This type of st ructure main(prenominal)ly focuses on the functions assemble up for each department of the organisation. It works well for small enterprises as each department is mostly dependent on the knowledge, skill and talent of the early(a) employees to support themselves. It leads to specialization and efficiency in the performance, however on the other hand it can also lead to conflicts as it restricts the employee of different departments to communicate and get up with each other because of the boundaries of working in their own department separately.Product StructureFigure 2 ProductSource tutorialspoint.com,2014Its focus is on the organisations product lines and this type of structure can mostly be found in retail stores which exist in a number of cities. Mostly large enterprises who have different type of products with their own departments and functions have this structure. Despite this structure being faster when it comes to making decisions, it can also lead to extra constitute d ue to repeated functions for each product.Regional StructureFigure 3 RegionalSource cnx.org,2014Organisations who develop and duplicate department in various running(a) argonas across the region use this structure as they want to focus on the local strategies of the area to keep up with the competition by perusing their preferences and demands.Multi-divisional StructureFigure 4 Multi-divisionSource creately.com,2014This structure is used for large companies which operate in wide geographical areas as the number of functions, employees and activities are very large. The benefit of this structure is that it is more specific and rapid save on the other hand due to the employees being in different divisions the communication is uneasy.Multi-function StructureIt mostly focuses on achieving the business goals as it diverse functional expertise to work together on it. ground substance StructureFigure 5 MatrixSource unc.edu,2014This happens to be a combination of divisional and function al structure as it handles product line and functions together. Though it provides benefit of both structures to be in one enterprise it can create a conflict when it comes to increased costs and internal complexity.Organisational culture and different types of cultures market-gardening is compromised of the assumptions, values, norms and tangible signs of organisation members and their behaviour. Members of the organisation soon come to sense the particular culture of an organization. (Katrin O. ,2010)Organisational culture refers to the values, expectations and behaviour which hold the organisation together. It basically based on customs, beliefs and rules which develop over time. It also refers to an arrangement of the objectives and ideas made by the pile in the organisation and is not only referred to the people employed in the company but also their products, go and the various process involved. There are four main types of culturesPower assimilation This is used by most or ganisations where the power lies at the top level of management as they make the decisions. It is mostly suitable for organisations which have small number of employees. The relationship is adaptive and informal which leads to good personal relations.Role Culture This is mostly found in large hierarchical enterprise where each employee has their own role to perform specifically. Here the employees work more close to their job description and are creative in their own way. The relationship is formal in nature.Task Culture Here teams are made to complete tasks appointed. all(prenominal) team ends up making their own cultures as they have their own authority to make decisions. In this type of culture teams are creative but on the other hand it can also be costly due to the market price being demanded for their service by the experts.Person Culture This is more of an individualistic culture where everyone are allowed to express themselves and make decisions of their own.Compare and con trast two organizational chart of real companiesThe two organisations taken for this key out are clutch and McDonalds.I. come nearFigure 6 Nestle LogoSource consumerbrands.com, 2014Nestle is a multinational company headquartered in Switzerland. Its main focus is to provide health oriented food for its customers for a healthier lifestyle following with different varieties of products including beverages. They have products which are specially for people who are very conscious about weight gain, cornflakes that contain iron and proteins for the development of young children. It believes in satisfying its customers at any point of the day and all around the world as their products can be found worldwide. They want to provide reliable quality food products which will contribute towards the nutritional agent of consumers till the brands existence. (nestle.co.za, 2014)Organisational Chart of NestleFigure 7 Nestle Organisational ChartSource nestle.com,2014It can clearly be call forn f rom their organizational structure that Peter Brabeck-Letmathe is the main chairman of this multinational organizational. According to their website there are 14 members of the Board of Directors. Here the shareholder are the owners of the company followed by them having their own separately legal identity from the main owner.II. McDonaldsFigure 7 McDonaldsSource logos.wikia.com,2014Mcdonalds has been operating since the year 1948 which is more than 100 years ago, they have a well- conventional market through out the different countries in the world. McDonalds is the leading global foodservice retailer with more than 34,000 local restaurants serving nearly 69 million people in 119 countries each day.Organisational Chart of McDonaldsFigure 8 Organisation Chart McDonaldsSource (Webcache.googleusercontent.com, 2014)Over 70% of McDonalds are run through franchise. It is form of organisation where a business who doesnt want to sell directly come in contact with a franchisee to sell their product to consumers based on accredited rules and regulations. McDonalds has a functional structure design. Big companies normally have this structure where the departments carry out most of the work. According to the chart above you can see how everything is structured along the lines. Their hierarchy starts from their Chief Executive Officer who is at the top followed by operating officer and so on.When it comes to comparing these two organisations they are both multinational companies with a reputed image among their customers. Both of their purpose of existence is to engage into getting maximum customers satisfaction as their Research and Development department is very efficient.On the contrary, Nestle happens to have a decentralized form of structure where the authority makes the decision through all levels of the organisation which means that their strategies and rules are flexible.Whereas McDonalds has a centralized structure where the top management makes the strategies a nd decisions that make the procedures and rules become rigid.Nestle has a structure in their hierarchy chart which is tall with a long chain of command. On the other hand, McDonalds has a flat structure with a controlling group at each level of their hierarchy.Followed by Nestle having a decentralized structure, it makes their rules and regulation flexible where the management have the opportunity to make changes in decision according to the situation. But in McDonalds due to wish of flexibility in their organisation structure their effectiveness and efficiency lack behind in decision making.The major difference between these two companies is that Nestle has a regional structure which is based on the different geographical areas. Whereas McDonalds has a functional structure in which different functions are performed by different departments.Bibliography ListBooksStimpson P.(2008). Business Studies. Cambridge University Press UKKatrin O.(2010). Organisation Culture An Insight in Or ganisation. Grin Verlag GermanyOnlineAvailable at http//books.google.ae/books?id=FzUllf8R7ekCpg=PA5dq=organisation+culturehl=ensa=Xei=bwIkVMLgLM_laI_lgfAHved=0CC8Q6AEwAgv=onepageq=organisation culturef=falseAccessed on 25th Sep 2014Websiteshttp//smallbusiness.chron.com/different-types-organizational-structure-723.htmlhttp//smallbusiness.chron.com/models-organizational-structure-3821.htmlhttp//businesscasestudies.co.uk/business-theory/strategy/corporate-and-organisational-culture.htmlaxzz3EKTLQhK5http//www.nestle.co.za/aboutus/missionvisionhttp//www.nestle.com/aboutus/management nestle organizational charthttp//www.nestle.com/asset-library/documents/library/documents/corporate_governance/corp_governance_report_2013_en.pdfhttp//www.ukessays.com/essays/business/mcdonalds-corporate-organizational-structure-business-essay.phphttp//www.mcdonalds.com/us/en/home.htmlhttp//businesscasestudies.co.uk/mcdonalds-restaurants/the-route-to-fast-food-franchising/introduction.htmlaxzz2Cvd9clpfhttp//w ebcache.googleusercontent.com/search?q=cache04Rm2jifw7wJsfs.scnu.edu.cn/tblogs/chenxy/attachments/month_1112/p2011121145421.ppt+cd=10hl=enct=clnkgl=ae organizational chart of mcdonalds