For writing a successful case study, it is essential to understand why certain organizational structure fits for the brand. Take, for instance, Nike has a divisional organizational structure. If you are asked to write a case study on Nike, you will be required to know why that specific organizational structure fits for the Nike brand. So to get started here are a few major organizational structures you must understand:
v Hierarchical org structure
This is a pyramid-shaped organizational chart which also referred to as hierarchical org chart. This is considered to be the most common type of organizational structure. Here the chain of command goes from the top position like CEO or manager to down like entry-level employees. Here each employee will have a supervisor. The structure works well for the brand since each person knows whom to report or talk about specific projects. Each employee has a speciality, and they all have chances of promotion.
v Functional org structure
`This structure also organizes employees as per their skills and functions to the company. However, each department works independently. This organizational structure is easily scalable for any sized company, encourages specialization and also allows employees to focus on their role. But this structure also hampers interdepartmental communication.
v Horizontal organizational structure
Many start-up businesses mostly use horizontal organizational structure. They mostly use this structure before they grow into different departments.
Many of the organization prefer this structure since it encourages less supervision and also includes involvement from all employees. This specific organizational structure not only improves coordination but also fosters more open communication.
v Divisional org structure
Under this organizational structure, the company has control over its resources. Each division in this structure has its own sales team, marketing team, IT team, etc. This structure works best for large companies. It empowers various divisions to make proper decisions. Unlike other organizational structure, instead of reporting everyone, you will require t report to just a few executives. NIKE uses this organizational structure. There are few variations in this organizational structure as per the organization’s focus:
ü Product-based divisional org structure
ü Market-based divisional org structure
ü Geographic divisional org structure
v Matrix org structure
This organizational structure looks like a grid. Under this organizational structure, you will see the formation of a cross-functional team for special projects. This is a specific organizational structure that provides a more dynamic view of the organization. The speciality of this organizational structure is encouraging employees on using their skills in various capacities apart from their original roles.
Here are the top organizational structures that can help you understand the specific functions of each structure.
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