Organizational structure development is driven by an organization 's type.
According to Lamar University, 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.” Depending on the type of business or organization, the organizational structure will be developed differently. For example, if you were running a local police department, the organizational structure would be very different from the structure used to run a department store. The type of structure used in a organization has the potential to increase or prohibit productivity.
Differentiation
The differentiation organizational structure is a team-based, functional approach. The structure separates the company into different teams that are specialized to accomplish a specific task. This is commonly seen in departments within a company. The company separates employees into an information technology department, customer service department and marketing department that confines each to specific tasks. The teams to do not interconnect or cross departmental lines to maintain order and control.
Divisional
Divisional organizational structure overlaps teams and skills in order to accomplish a task. This structure allows different departments to interconnect to utilize the different skills in team members on different teams. For example, if a customer is talking with a representative from the information technology (IT) department about a technical issue, a customer service representative may be needed to first listen and gather the information to relay to the IT specialist. The teams work together to increase productivity.
Tall
Tall organizations have many levels from the executives down to the entry-level positions. Tall organizations commonly use an authoritative leadership approach where leadership makes