Structures and Frameworks
The formal structure of an organization identifies positions by title and lines of authority
or management. This structure design is how an organization is expected to function and operate
(Schermerhorn and Bachrach, 2015). This design is expected to allow for anyone new or looking
from an outside in point of view to understand the basic layout of the organization and how
people or departments are laid out. This identifies areas that in effect allow a business to function
or operate, the work division, relationships to management, lines of communication, the many
levels of management and how teams or groups are formed under each specific manager.
The informal structure is one that is not easily labeled or identified. This form of
structure exist underneath the formal structure and is a company’s or business’s social network
within an organization. An informal structure has advantages and disadvantages. The advantages
of an informal structure include the cross-organizational learning amongst employees, emotional
support between friends and coworkers and the ability to find and seek advice when required for
common work problems. The disadvantages of an informal structure can be as disastrous, these
problems include the typical rumor mill that may exist in any company, the misinformation that
gets passed among employees without factual verification and the breeding of resistance to
change within an organization (Schermerhorn and Bachrach, 2015).
Traditional organizational structures are broken down into three sub-categories: functional,
divisional, and matrix structures.
A functional structure is defined as the grouping of people together who have similar
skills that perform similar task within an organization. Individuals in these structures share
similar expertise and goals and have many commonalities in the organization. A key advantage
of the functional structure design is that people work well together as problems are predictable