The result is a more efficient use of resources and greater productivity. Other Structures While most companies use a variation of the functional structure, it's up to you to figure out which structure best fits your company. A challenge with this type of structure presents itself when employees are given direction from two different managers and they need to prioritize their work responsibilities.
The formal and informal organizations need to work together to sustain peak performance over time.
Abiding by this principle will result in more effective decision making and communication at various levels in the organization. Many professions, such as doctors, lawyers, and architects, find that a simple structure meets the needs of their business.
Centralization Very little authority; job activities are not delegated to subordinates.
The Defense Department also named active duty deputies to help supply dual status commanders with active duty troops if needed to deal with the effects of the hurricane.
This may include one or several top executives to oversee the entire organization and managers to direct each business unit within the organizational structure. Zhiang Lin and Kathleen M. However, the weakness is glaring - if a weak, poorly organized executive is at the top, then cases where the right hand fails to talk to the left will occur, causing frustrating problems.