Sunday, 26 January 2014

Organisation design and structure

                            Organisation design and structure

  
         After we completed the section of introduction to Business and Management, this week we have access to organizational design and structure. I know that only the structure is appropriate for the organization, then the structure is a good one. But what is a organization structure, I agree with Mintzberg, it defined organizational design as the sum total of the ways in which it divides its labour into distinct tasks and then achieve co-ordination among them. What’s more, there are three types of structures, tall structure, flat structure and matrix structure .what impress me a lot is matrix structure
matrix structure is the combination of functional area and project area .After I understand how does matrix organization work, I realize some merits and demerits of matrix organization. One prominent advantage is it reduced silo culture(staff tend not to share information nor to seek advice outside of their units) One obvious disadvantage is conflict between line managers and project managers over the allocation of resources may occur. By the way line managers are vertical ones while project managers are horizontal ones. There is an example

 

of matrix organization, I have done some research about GoldmanSachs which is an international investment bank and security firm. From my research ,I have made a brief diagram about GoldmanSachs ‘ organization structure. From this diagram, we could see that Matrix structure denied many traditional management, also reject principle that an employee can have only one boss.

I am so interested in matrix structure, hope one day I could have my own business and make full use of it.

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