Organizational Structure Case Study

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Q1. What are the major types of organization structures? Give example of leading organization in GCC for same. A) The Major types of Organizational Structures are: i) Functional Structure: In this structure, people are grouped together as functions according to their field of expertise, i.e. under the General Manager, managers will be appointed for each department to cater to a specific field (e.g. human resource, marketing, accounts, etc.). Functional structures are usually found in corporations where there are less number of products/services and are high in production volume (e.g. service sectors). Some of the advantages are enhanced performance since people are grouped according to their areas of specialization,…show more content…
iii) Matrix Structure: A matrix structure is a combination of both, a divisional and functional structure. They would have a functional head as well as a divisional head which indicates dual reporting for the employees. This structure is generally adopted by MNCs Some of the advantages are that resources can be used efficiently, since experts and equipment(resources) can be shared across projects. Flow of information is faster as it is collaborative, speeding up the decision making process The main disadvantage of this is the dual reporting. It may arise a conflict regarding work priorities and power as there would be two bosses. Since this involves team meetings, it is time consuming. Most of the construction companies follow this structure, one such being Shapoorji & Pallonji wherein there’s a common HR and accounts department catering to all the fields, i.e Electrical, Mechanical and Civil for different…show more content…
Its combines network and team structures with the key point of ‘impermanence’. Any team can be formed at anytime to achieve a task. The atmosphere is more creative, friendly, free flowing giving rise to quality work and impeccable ideas. They work according to their will with the absence of hierarchy. Knowledge sharing is one of the key strengths that makes this structure a successful one. Virtual organizations i.e. use of Information Technology and related services is another type of a boundary-less organization which depends on the use of technology for all the work. This type of structures can be found in most of the Ad Agencies, one such company in Dubai being that of Leo Burnett, wherein employees have the joy of playing PS3, billiards and doing the work when they want and as they want with no formal dress codes. This is mainly done as to get more creative ideas into play which is possible only when the mind is relaxed. This is also a divisional
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