Leadership

Broken Organizational Structure

Anthony Bodnar

Grand Canyon University: MGT-605 Leadership and Organizations

September 17, 2012

Broken Organizational Structure

Organizational structure is defined as, “the framework, typically hierarchical, within which an organization arranges its lines of authority and communications, and allocates rights and duties”. (Organizational Structure, 2012) This is the way formal communication is organized. Organizational structure includes the control of managers and other administrative hierarchy. Organizational structure is like the base of the organization. Organizational structure has two parts, mechanical and organic. Mechanical is where the manager must conform to the policies set by the organization and organic is less formal and dependent upon skills of the person and knowledge as well as interaction with the environment. (Rajaeepour, Azizollah, Mahmoud, & Solmaz, 2012) Multiple factors can alter the structure of an organization causing it to become inadequate two of which will be discussed.

Not having a strategy or having an inadequate strategy can be detrimental to the organizational structure. (Hax & Majluf, 1981) The environment will change such as resources, employees, income, etc. Having proper planning and strategy to combat such factors is necessary. (Reeves, Love, & Tillmanns, 2012) With upper level managers and directors working to organize and staff a specific division, no time is left for planning. When an organization tries to do more with less they also tend to misalign the structure of the organization. If the organizational structure is misaligned then it cannot aid the business model. (Soltis, 2011) Here is where decentralization can play a key role. Allowing the release of control and allocation of resources to others will allow time to be placed in planning and strategy based organization. (Balaguer-Coll, Prior, & Tortosa-Ausina, 2010)

The other symptom of an inadequate organizational structure...