What is Organizational Structure of Organization?

There are different structures which can be given to an organization, They include line, functional and so on. An organization deals with a number of elements which defines the relationships between the members of a group The term organization can be studied as a structure and also as a process. In a static sense, organization is a structure.

A group of people functions within this structure and try to accomplish certain objectives. Organization is a structure for the conduct of business activities efficiently. There are four important elements of organizational structure:

  • In order to attain specific goals, organization structure is deliberately created which converts resources into a productive enterprise.
  • Organization structure usually takes the shape of a pyramid. Once established, it acts as a framework that can either constrain or facilitate managerial actions.
  • In an organization, the structural relationships are normally shown through organization charts. These charts indicate the intended final relationships at a given time.
  • Organization structure may be horizontal or vertical. The horizontal aspects display basic departmentalization and vertical aspects display creation of hierarchy of superiors and subordinates.

Organizational Chart:

An organizational chart is a diagram that shows the structure of an organization as well as the relationships and relative ranks of its positions. The term “chart” refers to a map that helps managers navigate through patterns in their employees.

Charts help organize the workplace while outlining the direction of management control of subordinates. Increasingly a necessary management tool, organizational charts are particularly useful when companies reorganize, embark on a merger or acquisition, or need an easy way to visualize a large number of employees.

What is Organizational Structure of Organization?

Formal and Informal Structures: Organizational structures are based on:

  • Formalization
  • Centralization
  • Standardization
  • Specialization

In the tourism sector, there are number of small and big organizations working together. In small organizations the functions and responsibilities can be dealt informally. But in the bigger organizations the functions and responsibilities have to be dealt formally.

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