Organizational administration entails establishing the guidelines and procedures that govern company business operations. It also involves coordinating the activities, people and resources for success. The ultimate objective is to maximize your productivity, encourage growth, and be flexible to the changing business climate. Effective management strategies for organizational change can make or break any company, large or small, public or private.
There are many different types of organizational structures. Whole fields of study are dedicated to determining the best and most efficient ways to structure a business to meet specific goals. These goals are growth, profitability satisfaction of customers, employee engagement and innovation and social responsibility.
The type of structure used depends on the size of the company organizational administration and its industry, as well as the culture of the company. Traditional, formalized structures have clearly defined chains of command with clearly defined roles for employees. Other types of structures are less formalized which allows almost every employee an incredibly high degree of autonomy.
The most effective structures offer the greatest amount of flexibility and agility while maintaining an orderly process. A modular structure is one example. It allows divisions to concentrate on production and sales of specialized products while sharing their knowledge with other departments and customers. This structure is well-suited to highly project-driven companies. It can also be challenging because the tasks and responsibilities can change quickly. This requires a flexible and savvy management system which can communicate effectively, and adapt to changing. This kind of structure also poses the risk that different divisions will compete for the same customers, which can increase costs.
