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ORGANIZATIONAL STRUCTURE
Organizational Structure is the formal division of tasks, responsibilities and authority in an
organization set-up. The framework, typically hierarchical, within which an organization arranges its
lines of authority and communications, and allocates rights and duties. Organizational structure
determines the manner and extent to which roles, power, and responsibilities are delegated, controlled,
and coordinated, and how information flows between levels of management.
An structure depends entirely on the organization's objectives and the strategy chosen to achieve them. In
a centralized structure, the decision making power is concentrated in the top layer of the management and
tight control is exercised over departments and divisions. In a decentralized structure, the decision making
power is distributed and the departments and divisions have varying degrees of autonomy. An
organizational chart illustrates the organizational structure

BASICS OF ORGANIZATION STRUCTURE


† a    refers to the breakdown of a work related tasks where each individual is
responsible for a set of activities. It occurs in 2 directions-vertical and horizontal.
† I  is the process where coordination and control of people and functions is
excercised so that organizational tasks are undertaken and goals are achieved.

ORGANIZTION STRUCTURES IN USE


L  O   S


î This is the oldest as well as the most common type of organization
î sed by many concerns especially small ones
î The characteristic feature of this kind of organisation is that the line of authority flows
vertically from the top most executive to the lowest sub ordinate
î Strict discipline exists in the enterprise
î àlear lines of accountability
î ´ho reports to whom is clear
F
   O  
î In the functional organization, each job becomes the focus point
î The functional areas will have personnel with varied skills, but those skills are grouped on
their similarities. The people who have identical skills can be grouped easily and they can be
placed in separate units and a foresaid organizational structure is formed.

C    O  


î A àommittee is a group of people appointed and entrusted with the task of taking collective
decisions on any matter
î The committee jointly holds authority
î ?o member can exercise his authority outside the committee

M  O   S




î The matrix organization structure is a two directional structure where an individual works
under both vertical and horizontal line of command.
î This structure combines functional and project organizational structure.
î This form is identically suited for companies, such as construction, that are ³project-driven´.
ORGANIZATION STRUCTURE AT HUL ± FUNCTIONAL STRUCTURE

WHY FUNCTIONAL STRUCTURE

Sk a  

One benefit of a functional organization structure is the positive atmosphere it provides for skill
development. Because a functional structure groups people performing similar tasks that require
certain skills, more experienced or talented group members serve as examples and mentors to
individuals with less experience. This leads to continuous growth and development within the
organization from simple day to day interaction, instead of having to rely on specialized
seminars or workshops to improve the quality of work coming out of a department.

C C   C 

A functional structure for organizations establishes a very concrete chain of command. For
example, a photo department and graphic design department may fall under the purview of a
visual arts department under the purview of a marketing department within a larger corporation.
A clear chain of command is important because it creates standard operating procedures,
established consequences and enhanced accountability. In turn, productivity occurs on a more
proficient basis.

E  a   Mk 

Functional structures in organizations can speed up the decision-making process. sually, group
decision-making can slow down progress on projects because of the diverse perspectives
involved. ´hile people will still have differing perspectives under functional structures, similar
professional and educational backgrounds offer more common ground than not, theoretically
making the decision-making process much easier to navigate. Moreover, the streamlined
hierarchy facilitates more authoritative decision-making, which requires far less deliberation
most of the time.

Q
   S
  

Functional structures offer a very specific career ladder for participants. As such, individuals
attaining a supervisory role are more likely to have had experience in the tasks they are
evaluating their employees on. This gives them better insight and credibility when they make
their evaluations, and can allow them to offer more constructive feedback because they have a
firsthand understanding of the jobs the individuals being evaluated are performing.

S   R


Because everyone in a functional structure is operating in an area of expertise with peers of


similar expertise, their contributions to the overall goals of a company or organization will be
more specialized. nlike teams where members serve in drastically different capacities, like a
graphic designer and copywriter working together, group members in a functional structure have
expertise in similar areas, and can push each other to greater heights. As the saying goes, steel
sharpens steel, and coworkers in a functional structure can sharpen each other's skills.
ORGANIZATION CULTURE

Organizational culture is an idea in the field of organizational studies and management which
describes the psychology, attitudes, experiences, beliefs and values (personal and cultural values)
of an organization. It has been defined as "the specific collection of values and norms that are
shared by people and groups in an organization and that control the way they interact with each
other and with stakeholders outside the organization." Organizational culture is a set of shared
mental assumptions that guide interpretation and action in organizations by defining appropriate
behavior for various situations. Although it¶s difficult to get consensus about the definition of
organizational culture, several constructs are commonly agreed upon ± that organizational
culture is holistic, historically determined, related to anthropological concepts, socially
constructed, soft, and difficult to change.

CHARACTERISTICS OF HEALTHY ORGANIZATIONAL CULTURES

Organizations should strive for what is considered a ³healthy´ organizational culture in order to
increase productivity, growth, efficiency and reduce employee turnover and other
counterproductive behavior. A variety of characteristics describe a healthy culture, including:

î Acceptance and appreciation for diversity


î |egard for and fair treatment of each employee as well as respect for each employee¶s
contribution to the company
î ÷mployee pride and enthusiasm for the organization and the work performed
î ÷qual opportunity for each employee to realize their full potential within the company
î Strong communication with all employees regarding policies and company issues
î Strong company leaders with a strong sense of direction and purpose
î Ability to compete in industry innovation and customer service, as well as price
î Êower than average turnover rates (perpetuated by a healthy culture)
î Investment in learning, training, and employee knowledge
ORGANIZATIONAL CULTURE AT HUL

] 



 
 
 
   
 
  
 
 

T     

It varies around the world because, naturally, people have different points of view depending on
where they live. But some things are consistent; important things that determine how we interact
with colleagues and partners, customers and consumers.

Most important are our high standards of corporate behavior, which are enshrined in our code of
business principles. ´e also have high ethical standards, both in terms of people and the
environment.

´hat's more, we are proud of this business and what it does ± bringing trusted products to
millions across the globe. In fact we have a phrase for our philosophy: 'doing well by doing
good'.

´e value colleagues as individuals, we're friendly towards each other and we're informal in
terms of corporate behaviour and, to a large extent, dress code. ´e go out of our way to build
personal networks throughout the company, not just in our area of responsibility.

Finally, we believe in everyone's ability to develop and grow. ´hatever our function, role or
level, we all have an equal right to take advantage of learning opportunities and progress how we
want to in our chosen careers.

B y
 

Our people have a passion for achievement, strive for outstanding results and are determined to
get things done.

To make sure that happens each and every day, we have created a working environment in which
you can be yourself. After all, as a business we need to be as diverse as our millions of
consumers around the world.
HOW WAS ORGANIZATIONAL CULTURE OF HUL FORMEa ANa
CHANGEa
Organizational culture is socially constructed ± it is created and changed through conversations.
÷ach conversation makes meaning of observable actions and reinforces, builds upon, or challenges the
current cultural norms and beliefs. The concept of social construction of organization culture is vital for
leaders and offers them an opportunity and poses two challenges. The opportunity is that if you change
the right conversations, you can change the culture for the better. The challenges you need to think about
are that
î if you don't change the conversations, the culture will not change and
î conversations that do not support the desired changes will make progress doubly hard to achieve.

³Organizational cultures are created by leaders, and one of the most decisive functions of
leadership made well be the creation, the management, and ± if and when that may become
necessary ± the destruction of culture.´
It is through conversations ± talk, observed actions, listening, writing ± that leaders manage,
reinforce and create culture. Êeadership is a social act and a leader¶s greatest tool for shaping culture is
workplace communication.

IMPROVING THE ORGANIZATION¶S CULTURE


A workplace culture can enable or hinder success. Êeaders can impact the alignment of the culture
with the company¶s mission and strategies. How? àulture is socially constructed and leaders need
to initiate great conversations that tie cultural norms to the organization¶s goals. If the current
culture is not in alignment with the new reality, leaders need to be the catalysts, or bridges, who
create a new understanding and help individuals select new behaviors and, eventually, beliefs.
Êeaders must also define, clarify and reinforce understanding of the actions and beliefs that build
the desired culture.
The organizational culture is particularly important when implementing organization-wide change.
Many organizations are struggling to keep up ± they layer new initiatives onto the work processes
before previous initiatives have taken hold. A culture can either enable or be a barrier to nonstop
changes. If the culture is nimble (in the habit of being realigned), change will be more fluid and
effective. Êeaders can play a key role in facilitating change by aligning projects and development efforts
to reinforce the desired culture.

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