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WELCOME TO

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A BRIEFING ON

ORGANISATIONAL STRUCTURE

ByK K R Patro

13/01/2011

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Why Have a Structure?Why Have a Structure?

All businesses have to organisewhat they do

A clear structure makes it easierto see which part of the businessdoes what

There are many waysto structure a business

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Organizational StructureOrganizational Structure

An organization structure consists of activities such as task allocation, co-ordination & supervision, which are directedtowards the achievement of organizationalGOAL.

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It is considered as the viewingglass or perspective throughwhich individuals can see theirorganization and its environment.

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An organization can bestructured in many different waysdepending on their objectives. Thestructure of an organization will

determine the modes in which itoperates & performs.

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Organization structure allows theallocation of responsibility todifferentgroups/functions/processes etc.

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KEY ROLES OF ORGANISATIONALKEY ROLES OF ORGANISATIONALSTRUCTURESTRUCTURE

Organization structure determines theorganizational action in two big ways asfollows;

1. It provides the foundation on which theStandard Operating Procedures likebusiness processes, different systems likeQMS, EMS, ERP & other routine activities

rest.

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2. It determines which individual toparticipate in which decision

making processes such asproduction, purchasing, sales &service etc and how much it willaffect the shaping of organizational actions so as toachieve the GOAL.

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But Organization Structure mustbe adaptive to processrequirements with an aim tooptimize the organizational

efficiency.

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TYPES OF ORGANISATIONAL TYPES OF ORGANISATIONALSTRUCTURESTRUCTURE

HierarchicalFlat

Organization

Fu n ctio n a l

D iv isio n a l

M a trix

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Some Key TermsSome Key Terms

Flat or tall structureSpan of controlChain of commandHierarchyDelegationEmpowerment

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FUNCTIONAL ORGANISATIONFUNCTIONAL ORGANISATION

M D

( )V P H R M( & )V P R D( )V P FIN A N C E( )V P O P N S

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DIVISIONALDIVISIONALORGANISATIONORGANISATION

M D

( )V P H C V( )V P LC V( )V P T R A N S( )V P E N G IN E S

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MATRIX ORGANISATIONMATRIX ORGANISATIONM D

( )V P H R M( )V P F IN( & )V P R D( )V P O P N S

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HEIRARCHICALHEIRARCHICALORGANISATIONORGANISATION

C H IE F E N G R

S E 5S E 4S E 3

S E 2S E 1

E E 1 E E 2 E E 3

S D E 3S D E 2S D E 1

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FLAT ORGANISATIONFLAT ORGANISATION B O A R D O F D IR E C TO R S

C E O

C O O C T O C FO C A OC M O

O P T G S TA F F O P T G S TA F F O P T G S TA F FO P T G S TA F FO P T G S TA F F

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PREPARE AN ORG.PREPARE AN ORG.STRUCTURE - ISTRUCTURE - IA company consists of the following Strategic BusinessUnits( SBU);

1. Design & Development Division2.

3. Power Plant Division4.5. Aircraft Division6.7. Overhaul Division

8.9. Forge & Foundry Division

Draw an Organization structure for the completeOrganization to satisfy only one customer keeping a focus onPR aspect.

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PREPARE AN ORG. STRUCTURE -PREPARE AN ORG. STRUCTURE -IIIIAn auto Original Equipment Manufacturer

(OEM) has got following line of products;1. Passenger Cars2. Light Commercial Vehicles( LCVs)3. Heavy Commercial Vehicles( HCVs)4. MUVs & SUVs

All these lines will have common

support from central Design &Development, Engg., Finance, HR andHealth & Safety.

All these lines meet the aspiration of multiple customers starting from D&D

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PREPARE AN ORG. STRUCTURE -PREPARE AN ORG. STRUCTURE -IIIIIIA Company is into manufacturing of

sitting system for all kinds of automobile with a man powerstrength of 500. This company isinvolved in Design & Development,Engg, Planning, purchasing,Manufacturing, QA, Plant Maint,

Logistics, Finance & HR/Admin. This company works for multiple

customers. Draw an Org. Structurefor this Business Unit.

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PREPARE AN ORG. STRUCTURE - IVPREPARE AN ORG. STRUCTURE - IV

A recruitment consultancy firm workson recruiting Sr. Executives & MiddleMgmt. Executives for Engg. Cos. likeauto ancillaries and Service orientedCompanies like Banks & InsuranceCos. etc.

This Consultancy firm provides 25-30

candidates per month to all itsclients.

Draw an Org. Structure of this

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PREPARE AN ORG. STRUCTURE -PREPARE AN ORG. STRUCTURE -VV There is a family managed

company engaged intomanufacturing and supply of

components like press parts, smallfabricated assemblies andmachined parts to Tier-I suppliersto Auto OEMs. The man powerstrength of this small company isaround 50.

Draw an Organisation Structure

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THANKS