Organizational structure - Essay Example

? Organizational structure Task Organizational structure Introduction Organizational structure refers to the framework that is hierarchical in nature, which organizations use while arranging their authority lines, allocating duties and in communications. Therefore, organizational structure is beneficial to organizations because it guides the delegation of organizational power, roles and responsibilities. In addition, it monitors and controls the flow of information among different management levels within an organization (Cassia, Paleari & Redondi, 2005). Most organizations base structures on objectives and approaches for attaining them. For example, the top management individuals in an organization make decisions, and there is strict control within dissimilar departments in an organization. Finally, organizations should create appropriate organizational structures, since such models unite and direct employees (Cassia, Paleari & Redondi, 2005). “Describe the organizational structure of your selected organization, compare and contrast that structure with two different organizational structures” In this research, I will discuss the organizational structure of International Monetary Fund (IMF) organization. IMF is an inter-governmental entity that offers policy advices and finances to members facing economic problems. It also collaborates with upcoming nations to assist them attain macroeconomic benefits to lessen poverty levels. IMF activities initiated in 1945 and presently, it associates with 185 countries. The organizational structure of IMF has a governing body that consists of the Board of Governors. Every member state has a Board of Governors that is led by a governor, who most of the time is a country’s finance minister or the central bank. Additionally, the organization has an executive facet that is composed of 24 elected and appointed executive directors. The executive board performs business operations in the organization (Hawkin, 2006). The board of governors performs its duties through two committees, which include the “International Monetary and Financial Committee” together with the “Development Committee”. These committees specialize in advising staffs and reporting different functions to the board of governors (Hawkin, 2006). They also monitor the processes involved in the administration and adaption of international monetary and fiscal systems. The organization entails a collaborative committee with The Board of Governor members’ from World Bank and IMF who controls development processes. These include allotment of resources to upcoming countries. Importantly, the IMF has a managing director who supervises and chairs the executive board (Hawkin, 2006). The IMF Board of Governors has all organizational powers, which are applicable to all constituents in 185 countries. Each representative state has one principle governor and another alternative governor, who controls the organization when the principle governor is absent. The organization has an executive board with 24 directors who supervise general funds within IMF as delegated by the Board of Governors. The regions with leading quotas appoint five directors of the executive board and other regional groups appoint the remaining 19 directors. The chief administrator the IMF is the presiding officer of Executive board. The executive board of IMF elects the managing director whose responsibility is to carry out regular businesses within the organization. Furthermore, she chairs executive director’s meetings for 5 years. The IMF consists of 2,650 personnel in 185 countries (Hawkin, 2006). Initially, I will evaluate and contrast the organizational structure of IMF and Google Company. As such, Google is a search engine organization, which helps people to access the information that they want. The structure of Google is comparable to the IMF organization because both are formal. A distinction that exists between the organizational structure of IMF and Google is that IMF has a board of Governors. This has the uppermost powers to control dissimilar processes within the institute. On the contrary, the Google’s shareholders have powers to control all the company’s activities. IMF has a CEO in every constituent country while Google Company has only two CEOs who structure everything within the organization (Hawkin, 2006). In IMF, managing directors are liable for supervising all activities within the organization and chairing meetings while, in Google, managers are responsible for inspiring and empowering employees to enhance productivity in the corporation. In IMF, it is the managing director’s responsibility to assess the organizations goals on a yearly basis. On the contrary, in Google, employees evaluate all goals spelt by the organization, and the process occurs on a quarterly basis. In IMF, the management team makes suggestions and decisions to its employees. In Google, the management team suggests for employees; however, employees have rights of making decisions on what they prefer. In IMF, the Board of management monitors personnel to guarantee that they address their goals while, in the Google, supervisors have powers to guarantee that all employees within the organization meet their goals. In addition, the Google management allows its employees to transfer from one department to another according to their performance, which is not applicable within IMF (Cassia, Paleari & Radondi, 2005). Secondly, I will evaluate and contrast organizational structure between IMF and Boss Private limited organization. Boss is a private organization that supports leaders in developing good values that will help them in managing their organizations. It enables leaders to expand their production hence increasing local and global competition (Doherty, Champion & Wang, 2010). The organizational structure of Boss is similar to the one that IMF uses since they are both formal. However, there are differences between the organizational structure of Boss and IMF, where by in IMF, the Board of governors has the highest powers; while in Boss, directors have the highest powers. In IMF, the top management group controls all activities in the 185 countries, while in Boss; the top management has the responsibility of developing marketing procedures, sale and monitoring the accounts and financial department (Doherty, Champion & Wang, 2010). “Evaluate how organizational functions influence and determine the organizational structure of your selected organization”. Organization procedures in IMF involve marketing, human resource, finance and other common operations in the organization. These activities are vital to IMF because they define the roles that a job entails, specify every employee with his/her task and skills that they possess. Organizational functions are advantageous to organizational structure of IMF because it propagates better communication among people from different management levels. It also leads to a functioning structure, thus enabling teamwork among employees, which increase IMF’s productivity (Hawkin, 2006). “Explain how organizational design (such as geographic, functional, customer-based, product, service, hybrid, matrix, marketing channels, and departmentalization) helps determine which structure best suits your selected organization’s needs”. Organizational design refers to the relationship that exists at the work place among employees, work, behaviors and formal structures (Cassia, Paleari & Redondi, 2005). Organizational design helps IMF in determining the structure that is suitable in meeting its needs. This is because it helps the administration on deciding who should make organizational decisions and how. It encourages management team hence promoting them from being decision makers to decision shapers. Therefore, organizational design is advantageous to IMF because it equips the corporation with relevant information, which helps it to create functional organization structure (Cassia, Paleari & Redondi, 2005). Conclusion It is important for all organizations to consider creating a positive organizational structure. This is because good organizational structure fosters communication skills, increases an organization’s productivity, offers accommodative working environment. Furthermore, it increases creativity among employees. Therefore, organizations that lack good organizational structure experience confusion among its employees. Finally, organizations should know that they might have creative workforce and great heads but end up performing poorly due to undefined and poor organizational structures. References Cassia, L., Paleari, S., &Redondi, R. (2005).Management accounting systems and organisational structure. Small Business Economics, 25(4), 373-391. Retrieved from: http://search.proquest.com/business/docview/220956669/1372C32FFA43BEB00E0/7?accountid=45049 Doherty, N., Champion, D., & Wang, L. (2010).A holistic approach to understanding the changing nature of organizational structure. Journal of Information Technology & People, 23(2), 116-135. Retrieved from http://search.proquest.com/business/docview/347433746/1372C32FFA43BEB00E0/3?accountid=45049 Hawkins, D. (2006). Delegation and agency in international organizations. Cambridge: Cambridge University Press. Read More