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Business Economics - Pokropivny SF

3.3. Organizational management structure

General characteristics of the organizational management structure. The theory of management organizational structure is defined as an abstract structure, characterized by the three following parameters: degree of difficulty, the degree of formalization and degree of centralization. The complexity is understood that as many distinguishing features is the organization. The more the division of labor, the more vertical levels in the management hierarchy, the more structural units, the harder it is to coordinate the activities of people in the organization. The volume of established rules and procedures, guided by which an organization directs the behavior of their employees, and represents the formalization. The more rules and controls that determine what you can do and what is forbidden to employees the organization, the more formal structure of the organization is. Centralization determines the place where concentrated decision-making power. If all solutions (or most of them) received top leaders, then the organization is centralized. Decentralization means that the right decision is passed (delegated) to the higher levels of management to the lowest.

In the process of implementing the functions of the organization the task of management is to make all the components of this form of organization and as "dock" them to each other, so that the enterprise is a unified whole and functioning as efficiently as possible. Therefore, in any enterprise there is subordination of its constituent parts, control levels, a clear separation of powers, rights and responsibilities.

For the image of the structural linkages main levels and business units, and their subordination to the practice used by the scheme of the organizational management structure. These schemes are only "skeleton" of the control system, since it does not disclose the composition and content of the functions, rights and responsibilities of departments and officials.

Types of organizational structures of management. In economic practice can be used several types of organizational structures, depending on the level of activity, pro-duction of technological features, strategic and current tasks of the enterprise (firm).

1. Linear organizational structure - it is such a structure between the elements of which there is only a single-channel interaction (Figure 3.3, and..). At an organizational management structure, each slave has only one leader, who performs all administrative and special functions in the respective structural unit. The advantages of linear type of organizational structure of management are: the clarity of the relationship, the uniqueness of teams, the speed of preparation and implementation of management decisions, reliable control. But the head at the same time must be highly versatile, able to solve any strategic and current issues of the activities of subordinate units (units).

Fig. 3.3. a

2. The basis of the functional organizational structure of management is the separation of the control functions between the individual entities control unit (Fig. 3.3.6). This means that each production unit received orders simultaneously from several heads of functional departments. This organizational structure provides the competent leadership of each management function. However, this type of organizational structure has certain disadvantages: violated the principle of possibly conflicting orders, the complexity of coordination of administrative services, reducing the efficiency of governance.

Fig. 3.3., B

3. Line rganizatsionnaya functional management structure is based on the distribution of powers and responsibilities for the failure of the control functions of making the vertical (Fig. 3.3. C). It allows you to organize the management of a linear circuit (Director-foreman-master), and the functional departments of the enterprise management personnel only help line managers to solve management problems. This line managers are not subject to the heads of the functional departments of the administrative apparatus.

Fig. 3.3. In

Such a governance structure because of its hierarchy enables fast implementation of management decisions, encourages specialization and improve the efficiency of functional services, makes it possible to maneuver the necessary resources. It is most suitable for mass production with an established range of products and minor evolutionary changes in the technology of its manufacture. However, in terms of frequent technological changes, product mix upgrade to use this organizational structure slows down the time frame for preparing and management decision-making, does not provide adequate coherence in the work of functional departments (units).

4. Divisional organizational structure (Fig. 3.4) is based on the deepening of the division of administrative work. In its application there are processes of decentralization of operational responsibilities of management undertaken by industrial structural units and centralize enterprise-wide functions (strategic solutions, market research, financial services, and so on. P.), Which are concentrated in the higher echelons of administration of integrated business structures.

Fig. 3.4.

Consequently, when the divisional structure of each production unit Corp. (Group) has its own fairly extensive management structure that provides autonomous operation of it. Only strategic management functions are centralized at the corporate level. At the divisional management structure grouping the activities of a business entity is carried out with the use of the division of labor by objectives. This means that around a certain production autonomous community of organizational forms. Here are three possible ways of grouping of production units:

1) food (production of a certain product);

2) by consumer groups (the needs of a particular group of consumers);

3) at the location (location in a certain geographical area).

The advantages of a divisional organizational structure of management are: a flexible response to changes in the external environment, faster management decisions and improving their quality. At the same time, it requires an increase in the number of the control device and for its maintenance costs.

5. In the matrix organizational structure of management along with line managers of the enterprise functional control unit and form a more temporary specialized units - project groups (Figure 3.5.).

Fig. 3.5.

Project teams are created from specialists of permanent functional departments and temporarily subordinated to the project manager. Upon completion of the project, they are returned to their functional units.

The project manager acts as a line manager in respect of the project team of experts.

The main feature of matrix organizational structures - it is their exceptionally high flexibility and focus on innovation. However, the matrix management structure and have certain drawbacks: increasing the number of managerial staff and the number of information links between workers units, possible conflicts between them.