Organisational Structures
All organisations need some type of structure to work productively. Even the smallest firm needs specific job roles for the staff to make sure they know what they are doing and do not get in each other's way.
Large organisations employ more staff and organise them into different groups. The number of groups and how they are organised often varies, depending upon the size of the business and its main activities.
Large organisations employ more staff and organise them into different groups. The number of groups and how they are organised often varies, depending upon the size of the business and its main activities.
Hierarchical StructuresSome organisations have many levels of staff. There may be a managing director at the top, then various levels of managers and supervisors, down to the staff at the bottom. You might find this structure in large retail or manufacturing business - e.g. a supermarket.
In this type of structure, the jobs are usually more specialised. Staff work in a specific functional or divisional area and carry out tasks related only to this area and their specific job role. |
Flat StructuresAn organisation with only two or three levels of staff has a flat structure. This is the case with many small businesses, such as a local recruitment agency with a branch manager, several interviewers and a few support staff.
It is also the preferred structure for many creative businesses where a greater level of independence allows staff to come up with good ideas. |
Matrix StructuresThis type of structure is popular for companies and consultancies that bid to do 'one-off' projects, such as civil engineering companies like Balfour Beatty which build things like hospitals, roads and power lines.
When a contract is won, a project team is set up, headed by a leader. When the task ends, the team breaks up and the members are assigned to another task. Each project group also needs the support of other staff or departments who provide important functions, such as finance, human resources or marketing. |
Functional AreasMany organisations are structured into functional areas. For example:
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