Brainstorming Question Contrast the tradeoffs involved when an organization deci

Question

                                                                                                                  Brainstorming Question

Contrast the tradeoffs involved when an organization decides it is going to restructure. Be sure that you evaluate the critical organizational design variables that you would want to consider if you were heading up such a project. Next, evaluate the organizational chart for an organization like the Screen actors guild which is a part of the film industry. Provide recommendations for revising the organizational design so it more effectively serves the mission of the firm and its many stakeholders.

Explanation / Answer

The organizational structure has deep impact on the functionality of the firm and overall growth of the organization. Structure impacts the flow of information from top to bottom and vise versa. The flow of information affects the efficiency of working in the organization and also employee grievance redressal system. There are many organizational structure that different organization follows. These selections are due to various reasons like scale of operations, type of management system, type of business, culture of the country of operations, government laws, etc. Companies have to change/ adapt to various different structures when they diverse, grow in scale, go multinational or situation requires.

Following are some of the variables whose impact once needs to consider while evaluating the need for structure change.

1. In typical hierarchical structure, there are various department which are assigned various tasks and the responsibilities. These responsibilities are assigned based on the nature of the business and normal practice across the industry. Organization may decide to change the responsibilities as a part of work rotation or to meet organizational goals. This may help in meeting the immediate needs but can make new hiring difficult as professionals with new kind of blend of experience is difficult to get.

2. Some business have long hierarchy of positions ranging from the bottom level worker to the head of the entity or the owner. These causes dilution of some of the information. Whereas as per the new management practice, organizations have more of a flat structure. There are less levels of management in the system. This helps in more accurate information flow, more efficiency in work, but at the same time, top management needs to go into day to day operations and will have less time for critical decision making.

3. There are some organizations where there are two heads, once is functional and other is mentor. Functional head is one who assigns tasks to the subordinates and is responsible for getting the work done. On the other hand mentor is one who understands the expertise of the employees and draws the succession chart of the employee. These dual structure helps in rating the employee based on the its abilities and not on immediate daily deeds. But sometimes biased by one of the senior and do not lead to fair rating.

Thus there is not a perfect structure for all the organizations, it needs to be reviewed over a period of time. Timely changed in the structure over a period of time helps organization floating in the market and achieve the goals timely.

Related Questions

Navigate

• Browse (All)
• Browse B
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.