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LITERATURE REVIEW
Question # 1: What factors influence an organization structure?

The literature review provides common characteristics of organizational structure types and reveals several definitions of organizational structure. “In essence, structure is the architecture of business competence, leadership, talent, functional relationships and management” (Wolf, 2002, para. 2). Walton (1986) identifies structure as the basis for organizing, to include hierarchical levels and spans of responsibility, roles and positions, and mechanisms for integration and problem solving. (p. 7) Organizational structure is defined in the Dictionary-Organizational Behavior (2003) as: “The established pattern of relationships among the components of parts of a company. The way that a company is set-up. The formally defined framework of an organization’s task and authority relationships” (p.2). Underdown (2003) says organizational structure “is the formal system of task and reporting relationships that controls, coordinates, and motivates employees so that they cooperate to achieve an organization's goals” (para.2). Organizational structure for Andrews (1995) “… consists of job positions, their relationships to each other (e.g., independent, part of a work-group or team, and reporting relationships) and accountabilities for process and sub-process deliverables” (para.3). Sablynski (2003) succinctly defined organizational structure as “How job tasks are formally divided, grouped, and coordinated” (para.1). In “Organizational theory” Borgatti (1996) asserts an organization develops based on its size, its technology and its environmental requirements. (para.2) Borgatti includes degrees and types of horizontal and vertical differentiation, control and coordination mechanisms, formalization and centralization of power as determinants of organizational structure. (para.1) Peguin (2003) supports Borgatti when commenting on horizontal and vertical differentiation by describing the

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