organizational structure - Running Head EFFECTIVE...

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Running Head: EFFECTIVE ORGANIZATIONS 1 Effective Organizations Student’s Name Institution affiliation
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EFFECTIVE ORGANIZATIONS 2 Effective Organizations Effective organizations can only be achieved through the integration of the most effective organizational approaches. The components of organizational structure need to be effective in spearheading organizational success. In addition, all the components should work in an interdependent way in order to facilitate effective communication, and effective decision- making[Dan131]. Moreover, they avoid disagreements and ensure good leadership, thus an organization can maintains its competitive advantage. In a global economy, much more is needed due to the great competitive environment on a global scope[Lua16]. Therefore, organizations can remain relevant and successful if they implement international strategies of excellent leadership, effective communication, problem solving, and decision making. This paper looks at the components of effective organizational structure that contribute to a successful business environment. Components Necessary of an Effective Organizational Structure Organizational structure determines the managerial and executive hierarchy as well as corporate communication. In addition, it helps in creating an effective growth plan for the future. There are six main components of organizational structure which come together to create a blueprint of a company layout and determines the role of the managerial staff in effecting organizational changes[Geo16]. Geography is an important component of an organizational structure. The way an organization is structured depends on the number of corporate locations included in the planning. The more an
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EFFECTIVE ORGANIZATIONS 3 organization is spread out, the more autonomy will be needed for each location for efficient running of the company. In creating an organization in a wide geographical area, the hierarchy of communication may present a challenge in the organizational structure[Geo16]. Therefore, the managers who answer to the executive in a different geographical location are required to create a clear communication channel for the reception of guidance and instructions. If this is not done, there may occur a conflict of interest particularly when the managers act based on their own intuition. In addition, the executive body of the organization will have difficulties in managing organizational outlets that are located in different geographical areas. In the global economy, an organization with outlets in different countries has to create a central communication channel where all the managers can access and report on the progress and business environment in their specific areas of jurisdiction.
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