How to Design Organizational Structure, and What Factors Influence It?

Determining how a company and its employees are organized is key to achieving your goals. Each specific type of business requires a unique and personal organizational structure. 

In short, the organizational structure is the hierarchical system selected to organize employees within an organizational chart. Thanks to this, the forms of internal and administrative companies are addressed. 

Can branch the distribution of work in departments or areas can branch the distribution of work in departments or rooms in a tree.

What is the Organizational Structure?

The organizational structure refers to the scheme used by the company or project to define in detail its hierarchies of responsibilities, functions, or positions. Said structure makes it possible to identify and describe each specific area, job position, the details of its operations, and where or to whom it reports within the company itself.

Generally, it is considered the infrastructure or the basis for delineating any working system’s authority and communication processes. It is also essentially developed to determine how a business operates.

Factors Influencing Organizational Structure

Currently, there are different factors capable of influencing the organizational structure. These can be of an internal or external nature; among them are:

1. The size or scope of the company.
2. The level of autonomy that can grant can grant.
3. Business priorities.
4. Corporate culture, mission, vision, and values.
5. Career and training plans.
6. Ability to adapt to future changes.

What Can We Use to Plan the Structure of the Company?

A sound-planned organizational structure works to focus efforts toward company goals. Also, all departments and employees walk and grow in the same direction. On the other hand, the workers are baffled by the lack of authority if the structure is not appropriately developed. This also allows coordination failure to exist, and decision-making is slower. In short, all of this could cause the company’s long-term economic performance to be significantly affected.

Also Read: Communication Methods to be Use in Business

The organizational structure is essential for all workers to understand how the organization functions or works. With a well-established chain of command, workers gain security and optimize the orientation of new company employees.

Note that the new and modern tools for human resources make it easy for each worker to identify their role within the company quickly. You can forget about setting permissions for each new worker through specialized organizational structure software. The system can define which employees have access to each specific type of information. 

An example of this is Sesame, a human resources software with many features to optimize a company’s processes.

How to Develop an Organizational Structure of a Company?

Designing and elaborating a company’s organizational structure at the same time that you can represent it graphically is not easy. 

In short, the most challenging thing is to make the presentation simple. To achieve this, we must first distinguish the parts that make up an organization chart:

Structural elements: These are the various units into which the company’s tasks are divided. These are the governing bodies and support services: the departments and the most basic unit, the jobs.

Structural Relationships: It refers to the network intertwined around the structural elements, which determines the relationships between them.

Direction System: A series of graphic elements seek to make the organization chart easier to understand: bars, boxes, arrows, and lines.

Now, the creation of the organizational structure is divided into two steps:

Firstly, the tasks are analyzed, and the company’s objectives are established. Subsequently, an evaluation of these objectives will be carried out. 

At this point, must separate the company’s main tasks and the substacks must be separated from the main functions of the company and the subtasks.

Second, you must carry out the synthesis and distribution of the analyzed tasks analyzed previously. For the organization to function optimally, we must ensure that the maximum use is made of the resources available to us with the distribution of functions. 

Only in this way will we be able to carry out a successful organizational structure of a company.

Also Read: Tips for Increasing the Productivity