What are the four factors that determine the design of an organizational structure and the three main forms of organizational structure (functional structure, divisional structure, and matrix and product team designs). Use the organization that you are working on in previous week (Kellogg’s business environment)

1. What form of organizational structure does your organization have? Elaborate on how the structure works. Conduct further research from the web or yahoo finance or talk to someone in the organization if you are not sure.

2. Analyze the four factors affecting the design of organizational structure; organizational environment, technology, strategy, and human resources. According to these four factors do you think the organizational structure of your organization is an appropriate choice? Why?

Organizing involves organizational design; a process by which managers make specific organizing choices that result in a particular kind of organizational structure. Two important tasks in organizing is organizational design and job design. Four factors affect the design of organizational structure; organizational environment (competitive and fluid à more flexible structure), strategy (differentiation strategy flexible structure), technology (more advanced technology flatter structure), and human resources (more skilled and independent staff à flatter and more flexible structure). Below please find two examples of how these four forces affecting the organizational structure of department store vs. that of big five accountancy firm. A large department store should utilize a formal structure. The retail business is a relatively stable environment. Resources are readily available, and uncertainty is low. Less coordination and communication among people and functions is needed to obtain resources. in a department store, most important decisions can and should be made by top managers within a clearly defined hierarchy of authority. Employees do not need to decide which products to sell, or how the store will market itself. Employee activities should be governed by extensive rules and standard operating procedures. A big five accountancy firm should utilize a more flexible structure. most of these firms are expanding globally, and global expansion is facilitated by a flexible structure that allows for more autonomy at lower levels in the organization. Also primarily, professionals staff an accounting firm. Flexible structures are best suited to the needs of highly skilled people. Most accountants have learned professional honesty and integrity in their training, and would likely resent close supervision, a distinct feature of a formal structure. Another important topic discussed this week is job design. Good job design balance three job characteristics that enhanced job satisfaction and motivation; they are the significance and variety of skills/tasks required to complete the job, job autonomy, and job feedback.