MGT 230: Definition Of Organizational Structure
Organizational Structure
MGT 230
June 18, 2012
Organizational Structure
According to businessdictionary.com the definition of organizational structure is the framework in which aligns the line of authority, communications, and allocates the rights and duties of a company. They determine the roles, power, and responsibility; how they are delegated, controlled and coordinated. The structure also shows how the information flows between levels of management.
Organizational Structure
The organizational structure of the company that I work for leans more toward a hierarchical culture in a functional and decentralized structure. Our organization groups their departments by the functions that they are performing. For example, the departments …show more content…
within our company are nursing, administration, therapy, activities, dietary, social services, maintenance, and housekeeping and laundry. Our organization uses the hierarchical culture because it places great emphasis on the policies and procedures that are put into place to insure that all tasks are performed to meet our organizations goals and meet state and federal requirements. A hierarchy management team can organize, coordinate, and monitor people and processes. (Tharp, 2009)
Each department within the organization has a director and the larger departments have a leader as well. They are responsible for making decisions that will work for the department but still fall within the framework of the organization and its goals. Each director of the departments has to answer to the Administrator and/or her assistant with the daily activities and progress of their department.
While comparing our organizational structure to other types of structures I have seen that it actually depends a lot on the goals of the company and the desired effects that they are looking for that helps to decide the type of structure that is needed. An organic structure emphasizes decentralized structure with an informal management style. They are dependent on the judgments and expertise of people with broad responsibilities. (Bateman & Snell, 2011)
A matrix organizational structure allows for both vertical and horizontal reporting levels. This type of structure may have a member that is in one department but also works in another department to help develop a new product for example. (thrivingsmallbusiness.com)
Organizational Functions
The business functions of an organization are the things that it does such as marketing, billing, human resources, and direct patient care. A business’s structure can be built around the business’s functions. Function and structure influence each other by different functions going into different departments who report to a manager who then reports to someone that is at a higher level of management. (Fraser, 2012)
In our organization the marketing department creates enthusiasm within the company and also externally by promoting and attracting customers.
They identify the needs of the customer and report back to upper level management the needs that are out in the community. The billing department monitors the credit of the customers and how it affects finances of the organization. They report to upper management fully so they can get maximum support from financial institutions when funds are needed.
The human resources department usually has a great deal of authority in the staffing department. They support the line department and are usually the first interaction that a possible employee has with the company. The direct patient care departments are the ones that the patients and families are usually most familiar with. It is this department that has the greatest effect on the company’s reputation. Good patient care is vital in the skilled nursing field and can also be a determining factor as to where a facility will be successful in the field.
We have two units within our organization, the long term care unit and the transitional care unit, which is for short term rehabilitation. These are two different departments but have similar staffing with tailored services in the short term unit that is more adapt to meet the needs of the …show more content…
patient.
Organizational Design
According to mindtools.com organizational design is the process of aligning an organizational structure with its mission. The management team has to look at the relationship between the tasks, workflow, responsibilities, and authority. In turn they have to make sure that all support the objective of the business.
As the organization grows the structure of the business may also need to change according to the needs of its customer base, services, and functional design.
The organization that I currently work for started with one home and now we have ventured out geographically and purchased two more homes in surrounding counties. This decision came after our marketing department realized that there was a need for more facilities that offered our type of care to the elderly. While there are other nursing homes in our surrounding area, there was specialized needs that the customer base had that none of the homes in our area offered. In order to make our facilities more appealing to the public they decided to make each of the homes have a specialized unit within them that is normally not offered in other homes. In addition to the long term care units in each home they each have a specialized unit as well. For example the home that I work in has the transitional care unit for short term rehab stays; one has a geriatric unit for severely obese patients; and the other has a unit that specializes in patients that has vents, tracheostomy, and other respiratory
needs.
The addition of the new homes changed the functional design of our organization. In addition to adding new divisions or departments to our structure it also added more specialized management and line staff to operate the departments effectively. The staff that makes up the new departments is trained in the specific areas of the specialty of that facility. The corporate structure also changed as more divisional management was added to oversee the operations at all the homes.
Conclusion
The organizational structure of our facility gives us clear guidelines for how to proceed with any given task and binds the employees and management to help identify our roles within the company. There are three essential elements in organizational structure regardless of the type of structure a company has; governance, rules, and distribution of work. (Nagy, 2009) These elements help to ensure that a company is successful with its structure and that the goal of the company is reached.
References Bateman, T. S., & Snell, S. A. (2011). Management: Leading & Collaborating in a Competitive World. (9th ed.). New York, NY: McGraw-Hill Irwin Nagy, Jenette, (2009). Organizational Structure: An Overview. Retrieved from the website: http://ctb.ku.edu Sherman, Fraser (2012). What is the Relationship Between Organizational Functions and Organizational Structures. Hearst Communications, Inc. Hearst Newspaper Tharp, Bruce M., (2009). Four Organizational Cultures Types. Retrieved from the website: http://www.haworth-europe.com/en/content/download/30883/1230768/file/white- paper_Four-Organizational-Culture-Types.pdf
Definition of matrix structure retrieved from the website: http://thethrivingsmallbusiness.com/articles/types-of-business-org-structures/
Definition of organizational structure retrieved from the website: http://www.businessdictionary.com/definition/organizational-structure.html
Definition of organizational design retrieved from the website: http://www.mindtools.com/pages/article/newPPM_95.htm
MGT 230
June 18, 2012
Organizational Structure
According to businessdictionary.com the definition of organizational structure is the framework in which aligns the line of authority, communications, and allocates the rights and duties of a company. They determine the roles, power, and responsibility; how they are delegated, controlled and coordinated. The structure also shows how the information flows between levels of management.
Organizational Structure
The organizational structure of the company that I work for leans more toward a hierarchical culture in a functional and decentralized structure. Our organization groups their departments by the functions that they are performing. For example, the departments …show more content…
within our company are nursing, administration, therapy, activities, dietary, social services, maintenance, and housekeeping and laundry. Our organization uses the hierarchical culture because it places great emphasis on the policies and procedures that are put into place to insure that all tasks are performed to meet our organizations goals and meet state and federal requirements. A hierarchy management team can organize, coordinate, and monitor people and processes. (Tharp, 2009)
Each department within the organization has a director and the larger departments have a leader as well. They are responsible for making decisions that will work for the department but still fall within the framework of the organization and its goals. Each director of the departments has to answer to the Administrator and/or her assistant with the daily activities and progress of their department.
While comparing our organizational structure to other types of structures I have seen that it actually depends a lot on the goals of the company and the desired effects that they are looking for that helps to decide the type of structure that is needed. An organic structure emphasizes decentralized structure with an informal management style. They are dependent on the judgments and expertise of people with broad responsibilities. (Bateman & Snell, 2011)
A matrix organizational structure allows for both vertical and horizontal reporting levels. This type of structure may have a member that is in one department but also works in another department to help develop a new product for example. (thrivingsmallbusiness.com)
Organizational Functions
The business functions of an organization are the things that it does such as marketing, billing, human resources, and direct patient care. A business’s structure can be built around the business’s functions. Function and structure influence each other by different functions going into different departments who report to a manager who then reports to someone that is at a higher level of management. (Fraser, 2012)
In our organization the marketing department creates enthusiasm within the company and also externally by promoting and attracting customers.
They identify the needs of the customer and report back to upper level management the needs that are out in the community. The billing department monitors the credit of the customers and how it affects finances of the organization. They report to upper management fully so they can get maximum support from financial institutions when funds are needed.
The human resources department usually has a great deal of authority in the staffing department. They support the line department and are usually the first interaction that a possible employee has with the company. The direct patient care departments are the ones that the patients and families are usually most familiar with. It is this department that has the greatest effect on the company’s reputation. Good patient care is vital in the skilled nursing field and can also be a determining factor as to where a facility will be successful in the field.
We have two units within our organization, the long term care unit and the transitional care unit, which is for short term rehabilitation. These are two different departments but have similar staffing with tailored services in the short term unit that is more adapt to meet the needs of the …show more content…
patient.
Organizational Design
According to mindtools.com organizational design is the process of aligning an organizational structure with its mission. The management team has to look at the relationship between the tasks, workflow, responsibilities, and authority. In turn they have to make sure that all support the objective of the business.
As the organization grows the structure of the business may also need to change according to the needs of its customer base, services, and functional design.
The organization that I currently work for started with one home and now we have ventured out geographically and purchased two more homes in surrounding counties. This decision came after our marketing department realized that there was a need for more facilities that offered our type of care to the elderly. While there are other nursing homes in our surrounding area, there was specialized needs that the customer base had that none of the homes in our area offered. In order to make our facilities more appealing to the public they decided to make each of the homes have a specialized unit within them that is normally not offered in other homes. In addition to the long term care units in each home they each have a specialized unit as well. For example the home that I work in has the transitional care unit for short term rehab stays; one has a geriatric unit for severely obese patients; and the other has a unit that specializes in patients that has vents, tracheostomy, and other respiratory
needs.
The addition of the new homes changed the functional design of our organization. In addition to adding new divisions or departments to our structure it also added more specialized management and line staff to operate the departments effectively. The staff that makes up the new departments is trained in the specific areas of the specialty of that facility. The corporate structure also changed as more divisional management was added to oversee the operations at all the homes.
Conclusion
The organizational structure of our facility gives us clear guidelines for how to proceed with any given task and binds the employees and management to help identify our roles within the company. There are three essential elements in organizational structure regardless of the type of structure a company has; governance, rules, and distribution of work. (Nagy, 2009) These elements help to ensure that a company is successful with its structure and that the goal of the company is reached.
References Bateman, T. S., & Snell, S. A. (2011). Management: Leading & Collaborating in a Competitive World. (9th ed.). New York, NY: McGraw-Hill Irwin Nagy, Jenette, (2009). Organizational Structure: An Overview. Retrieved from the website: http://ctb.ku.edu Sherman, Fraser (2012). What is the Relationship Between Organizational Functions and Organizational Structures. Hearst Communications, Inc. Hearst Newspaper Tharp, Bruce M., (2009). Four Organizational Cultures Types. Retrieved from the website: http://www.haworth-europe.com/en/content/download/30883/1230768/file/white- paper_Four-Organizational-Culture-Types.pdf
Definition of matrix structure retrieved from the website: http://thethrivingsmallbusiness.com/articles/types-of-business-org-structures/
Definition of organizational structure retrieved from the website: http://www.businessdictionary.com/definition/organizational-structure.html
Definition of organizational design retrieved from the website: http://www.mindtools.com/pages/article/newPPM_95.htm