Organizational Structure
Organizational Structure Analysis
MGT/230
Date
Professor name School Name
Structure Analysis
An important trait to any organization in the business world of today is the functions within the organization. Overall, an organizing function of management outlines the practice in which individuals within the organization interact and work with each other. In this paper, I will be discussing the pros and cons of the three major horizontal structure types; Functional, Divisional, Matrix.
The Pros
Commonly found in organizations are the pros of the horizontal structures. Functional Structure has its advantages because it saves the bottom line, and that is cost. Employee performance is better maintained, and the lines of communication are more precise and clearly elaborated. One of the advantages of divisional organizations is that less information is required, and employees receive broader training. All task responsibilities tend to be clearer with the Divisional Organization. The advantages of the Matrix Organization is that an extensive communication helps others process larger amounts of information. Decision making is given to others, and when its processes accordingly, it is then applied through trainings.
The Disadvantages
The disadvantages of the Functional Structure is people caring more about the numbers than about the customer or the product. Managers learn through trial and error but do not inherit the skills required to operate the organization. The disadvantages of the divisional structure the opposite of functional structure managers develop certain skills that would not be operational in a function structure, they would become generalists. Functions do not have a headquarters they are done through divisions, and the cost becomes expensive. The matrix structure faces its own disadvantages because it is faced with democracy, and it leads to debates and not
MGT/230
Date
Professor name School Name
Structure Analysis
An important trait to any organization in the business world of today is the functions within the organization. Overall, an organizing function of management outlines the practice in which individuals within the organization interact and work with each other. In this paper, I will be discussing the pros and cons of the three major horizontal structure types; Functional, Divisional, Matrix.
The Pros
Commonly found in organizations are the pros of the horizontal structures. Functional Structure has its advantages because it saves the bottom line, and that is cost. Employee performance is better maintained, and the lines of communication are more precise and clearly elaborated. One of the advantages of divisional organizations is that less information is required, and employees receive broader training. All task responsibilities tend to be clearer with the Divisional Organization. The advantages of the Matrix Organization is that an extensive communication helps others process larger amounts of information. Decision making is given to others, and when its processes accordingly, it is then applied through trainings.
The Disadvantages
The disadvantages of the Functional Structure is people caring more about the numbers than about the customer or the product. Managers learn through trial and error but do not inherit the skills required to operate the organization. The disadvantages of the divisional structure the opposite of functional structure managers develop certain skills that would not be operational in a function structure, they would become generalists. Functions do not have a headquarters they are done through divisions, and the cost becomes expensive. The matrix structure faces its own disadvantages because it is faced with democracy, and it leads to debates and not
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