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An organizational structure defines how activities such as task allocation, coordination, and supervision are directed toward the achievement of organizational aims. [1] Organizational structure affects organizational action and provides the foundation on which standard operating procedures and routines rest.
A good organization structure is essential for expanding a business activities. Organization structure determines the input resources needed for expansion of a business activity; similarly organization is essential for product diversification such as establishing a new product line. it also stimulates creativity in managers by organizing.
An organizational chart, also called organigram, organogram, or organizational breakdown structure (OBS), is a diagram that shows the structure of an organization and the relationships and relative ranks of its parts and positions/jobs. The term is also used for similar diagrams, for example ones showing the different elements of a field of ...
A vertical structured organization or a "tall" company describes a chain of management, usually with a CEO at the top delegating authority to lower-level managers through mid-level managers. Horizontal or "flat" companies , however, have fewer middle-managers, which implies that high-level managers are more involved in daily tasks and interact ...
When all levels of a hierarchical organization have access to information and communication via digital means, power structures may align more as a wirearchy, enabling the flow of power and authority to be based not on hierarchical levels, but on information, trust, credibility, and a focus on results. [citation needed]
The bigger the number of the subordinates a manager controls, the broader is her/his span of control. In a hierarchical business organization of some time in the past [when?] it was not uncommon to see average spans of 1-to-4 or even less, i.e. one manager supervised four employees on average. In the 1980s corporate leaders flattened many ...
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Organization development (OD) is the study and implementation of practices, systems, and techniques that affect organizational change. The goal of which is to modify a group's/organization's performance and/or culture. The organizational changes are typically initiated by the group's stakeholders.