The Structure of Organisations
Organisation Internal, formal framework How authority is transmitted Often evolves
Organisation Chart
Overall responisibility for decision making Formal relationships Accountability and authority Span of control – who report to whom Formal channels of communication
Heirarchy Layers with fewer and fewer people Often called a pyramid Vertical in nature – Tall or Flat
Easy to create Decision clearly from top Identifiable chaing of command ”role” culture – importance of roll determines position in heirarchy Archaic Rarely the most efficitient Horizontal links don’t exist Tunnel vision ”Safe” organisations can lead to inflexibility ProsCons
Limited Company Organisation Most companies have no majority shareholder Board of Directors Elected/appointed shareholders Broad policies and objectives Accountability to stakeholders Appoint a CEO
Company Officers CEO also called Managing Director Chief Executive Officer CFO – Financial CTO – Technical CMO – Marketing CIO – Information CCO - Creative
Some Company’s Boards Ericsson Vattenfall Hewlett Packard
Matrix Structure Cross cooperation between units Task/project oriented Gathers a team of specialists to complete a project Emphasis on contribution to team
Communication across traditional boundries Less tunnel vision Crossover of ideas Easy to create new groups/constellations Less direct control from top Unclear leadership ProsCons
Next time Key principles Reponsibilities Authority Accountability