Organisational structure is the way in which a large company or organisation is organised, for example, the types of relationships that exist between managers and employees (Cambridge Business Dictionary, 2013). Organisation structure can be seen as different levels of power within an organisation. Structure is the layout of responsibilities clearly distinguished within a business setting.
The design of a business structure can be affected by influences such as size, age, culture and management styles and communication. Chain of command is how responsibilities about the business are relayed within the organisation The size of the business, as it grows larger would likely have to increase in levels of hierarchy; hence affecting the business’s chain of command. The age of a business can affect its structure, generally older business’s who do not update or refresh since the initial implementation, and the structure would probably fail as it would lose relevance in this constantly changing digitalized world.
Communication can affect a business. Miscommunication within departments of an organisation, this could cause underlining issues for the companies. (Appendix 1)
Although there are different types of structures (Appendix 2), it seems that Google and Apple are quite ‘new’ companies and their structure does not resemble the traditional type of structure, this will have positive implications for both companies as their structure will be relevant to today’s times and the business needs. A downside of not having a traditional type of structure within these companies is less chance of promotion as there are not many levels within the organisations as there would be with a hierarchy formed structure.
Apple has a wheel like structure with Steve Jobs (CEO) at the heart of the structure, there are staff who report directly to him in regards to marketing, creative director, manufacturing etc. these members