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Nội dung chính Show- Functional Structure
- Divisional Structure
- Matrix Structure
- What is combination organization?
- Which organisation is combination of two or more organizational structure?
- What are the 4 types of organizational structures?
- What is a hybrid organizational structure?
During our study of the different types of organization structure we covered all the three of them viz – Functional, Matrix (which includes Weak Matrix, Balanced Matrix and Strong Matrix) as well as Projectized Organization Structures, however there is a fourth type as well known as Composite Organization Structure which can be found in some of the PMP books.
Composite organization structure, simply put, is basically a combination of all three organization structures. But how is that possible you may ask.
But come to think of it, this is quite simple. Within an organization there could be certain projects that are being managed following the Balanced Matrix Organization Structure while others could be following the Projectized Organization Structure. A new project may popup where it is beneficial for the team to follow the Functional Organization Structure. So within the same organization we can see all structures being used and this is by definition a Composite organization.
It should be noted here that in a functional organization all projects follow the functional organization structure. Almost all modern organizations follow the composite organization structure.
And while we are it, make sure you do not confuse this with Tight Matrix
Check more articles on Project Management Basics
The structure of an organization refers to the different hierarchies and levels that can help the company operate effectively and accomplish different goals. It is the specific way of managing people; the routes of delegating tasks and reporting. A company would choose its appropriate structure based on the industry in which it functions, the number of employees and how much control the owner might desire to have. Structures range from simple to complex systems but basically there are three types of organizational structure: functional, divisional and matrix structure.
Functional Structure
Under a functional structure, an organization is divided into defined activities, such as production, marketing or sales. Each functional group is managed individually. The functional structure is the most commonly used and works best for small businesses and for large organizations that produce high volumes of products low costs. Functional organizations have the advantage of being simple to understand with clear lines of command, specified tasks and responsibilities. Staff can specialize in a particular business area. In addition to such advantages, there can be disadvantage if the communication between the functional groups is not effective.
Divisional Structure
The divisional structure divides the functional areas of the organization. Each one of them is quipped with its own resources to function independently. Typically, divisions can be based on the geographical basis, a products and services basis, or any other measurement. This organizational structure is typical for large companies that operate in different geographic areas or have separate smaller organizations to cover different types of products or market areas. The main advantage of this structure is that needs can be met specifically and quickly. However, it can be costly because of its size and scope. This style also risks duplicating activities and can be subject to miscommunication.
Matrix Structure
The matrix structure is a combination of the divisional and functional structure. Employees can be part of a functional group and also serve on a team that supports new product development. Individuals are responsible both to their line manager and the project manager involved. As it combines the benefits of the functional and divisional structures, this type of organizational structure is typically used in large multinational companies. The main disadvantage of this type is that it can create power struggles because most areas of the company will have a dual management. The modern type of the matrix organization is the network structure that contracts out any business activities that can be done better and cheaper by another company.
Summary
Small businesses might follow a combination of the three basic organizational structures. These organizational structures can be applied to any organization if the exact structure can fit into the nature and maturity of the organization. Typically, organizations evolve and develop through different structures starting with a functional structure and moving to a more advanced and complex one, such as the divisional or matrix structure.
References
Writer Bio
Judit Kozenkow is a visiting fellow Johns Hopkins University, School of Advanced International Studies (SAIS). She has experience in business and economic research, as well as program and project management in the United States and Europe. She holds a master's degree in international economics and a Ph.D. in economics.
Image Credit
Ryan McVay/Photodisc/Getty Images
What is combination organization?
A combination or matrix organizational structure is the combination of two or more types of structures. For example, a company may use both a product- and customer-oriented structure, striving to use the advantages of both types. Combination structures are sometimes used temporarily for ad hoc or special projects.Which organisation is combination of two or more organizational structure?
The matrix organisation structure is a combination of two or more types of organizational structures. The matrix organization is the structure uniting these other organizational structures to give them balance. Usually, there are two chains of command, where project team members have two bosses or managers.What are the 4 types of organizational structures?
The four types of organizational structures are functional, multi-divisional, flat, and matrix structures. Others include circular, team-based, and network structures.What is a hybrid organizational structure?
A hybrid or matrix organizational structure is one that combines elements of the functional and divisional structures into one. It is often called a hybrid model because it combines these two structures together. It is often also called a matrix structure because it forms a matrix, or a grid-like appearance. Tải thêm tài liệu liên quan đến nội dung bài viết Which organization structure is a combination of all structures? Organizational structure Company structure Team structure Corporate structure Horizontal organizational structure Flatarchy structure
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