Organizational Most of extant studies on organizational

April 18, 2019 Business

Organizational structure is defined as the formal system of authority relationships and tasks that control and coordinate employee actions and behavior to achieve goals in organizations (Jones, 2013). Organizational structure describes the formal arrangement of jobs and tasks in organizations (Robbins and Coulter, 2007); it describes the allocation of authority and responsibility, and how rules and regulation are executed by workers in firms (Nahm et al., 2003). Most of extant studies on organizational structure focus on centralization, formalization, and standardization. Centralization refers to the concentration of decision-making authority at the upper levels of an organization (Jones, 2013). In a centralized organization, decision making is kept at the top level, whilst in a decentralized organization; decisions are delegated to lower levels (Daft, 1995).
Centralization is composed of a hierarchy of authority and participation (Hage & Aiken, 1967). Hierarchy of authority refers to the concentration of decision making authority in performing tasks and duties (Jones, 2013). If the employees are allowed to make their own decisions when performing tasks, there is a low reliance on hierarchy of authority (Hage and Aiken, 1967). Participation in making decisions refers to the employee participating in decisions in an organization (Hage and Aiken, 1967). Decentralization is found to be related to many work-related attitudes and behavior (Subramaniam and Mia, 2001). The issues of centralization and decentralization involve the principle of delegation of authority. When a limited amount of authority is delegated in an organization, it is usually characterized as centralized. When a significant amount of authority is delegated to lower levels in the organization, the business is characterized as decentralized. Centralization and decentralization are opposites, and there are different degrees of each. In a highly centralized organization, employees at lower levels have a limited range of decision-making authority. The scope of authority to make decisions in decentralized organizations, by way of contrast, is very broad for lower level employees (Hauppauge, New York: Barron’s Business Review Series, 1993).
Organizational structure is used by various firms as a control mechanism to affect employee work outcomes, to ensure that the required tasks are performed effectively and efficiently, and to assist the attainment of organizational goals and objectives (Katsikea et al, 2011). This structure is vital to the make-up of my school. Everyone is placed in key position based on the determined structure to ensure the school achieves ultimate success. Organizational commitment will enhance the success of an organization by making employees dedicated to the achievement of its goals (Grawe et al., 2012). This is why employee buy-in is vital to the overall success of an organization. Leaders of an organization must use various strategies to make everyone feel valuable. The Dr. Khailah Campbell-Rhone, Principal of Worthing High School in Houston, Texas identifies her staff members strengths and assigns them task based on those characteristics. This presents a culture of inclusiveness and transparency.
The success of any organization can be predicted by its success in raising and maintaining employees’ commitment. High levels of commitment contribute to positive attitudes and behaviors in organizations (Chughtai and Zafar, 2006; Sinclair et al., 2005; Shore and Martin, 1989; Srivastava, 2013). The mentioned above resonated with me greatly while reading that excerpt from the article. Many structures of organizations have a phenomenal design but are not successful due to a lack of commitment. Many NFL organizations have failed continuously due to a lack of commitment.
Most studies that have been conducted on the relationship between organizational structure and the environment have concluded that the best organizational structure is contingent to some degree on the conditions in the environment. Several studies have also shown a relationship between technology and structure. In fact, these researchers even suggest that technology itself determines structure. These studies and others have led to a contingency approach to organizational structure The contingency approach indicates that the most appropriate organizational structure depends not only on the organizational objectives but also on the situation, which includes the environment, the technology employed, the rate and pace of change, the managerial style, the size of the organization, and other dynamic forces (Hauppauge, New York: Barron’s Business Review Series, 1993). Max Weber’s theory is one that laid the foundation and framework for many organizations to follow. The distribution of power should be distributed at varying levels to insure an effective operating organization. The major strands of this theory contain a formal model that produces a hierarchical role and levels to help govern efficiency and effectiveness. This theory prohibited people from “over stepping their boundaries” by providing them detailed structure.


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