Organizational Structure and its Impact on Whitlam Memorial Hospital

Running head: MANAGEMENT
Management
Name of the Student
Name of the University
Author Note

1MANAGEMENT
Organizational structure of an organization has the potential impose a huge impact on the
quality, productivity as well as performance of the company. In this report, the strengths and
weaknesses of the current organizational structure of the Whitlam Memorial Hospital along with
the strengths and weaknesses of the organizational structure that should be implemented in order
to enhance the quality of service and productivity of the mentioned organization will be
discussed. The Whitlam Memorial Hospital is a community hospital that currently possesses
bureaucratic organizational structure. Considering the fact that the population of the area that is
served by the mentioned organization is increasing with time, the organization is facing issues
while handling the workforce. Hence it has become highly crucial for the organization to
implement an effective organizational structure in order to manage the vast workforce (Ashkenas
et al., 2015). The thesis statement of this essay includes, Consumer based organizational
structure should replace the functional organizational structure of the Whitlam Memorial
Hospital to manage its increasing consumers in an effective way. Along with discussion of
both the current strategy and new organisational strategies, discussion of mission, vision, goals
and linkage of the WMH with the mission, vision and goals with both the old and new structure
of the mentioned organization will be performed.
In this paragraph, the definition of the organizational structure along with the reason
behind its importance in an organization has been discussed. An organizational structure is
referred to the process of task allocation, coordination as well as supervision are directed towards
the achievement of aims of the organization (Avgerou & Walsham, 2017). It is crucial for an
organization need to flexible, efficient, innovative as well as caring for achieving a sustainable
competitive advantage. Organizational structure can also be considered as the perspective and
viewing glass through which people view their organization as well as its environment.

2MANAGEMENT
According to a recent survey, organizations with effective organizational structure are
developing in a higher speed in terms of both revenue and consumer base compared to the
organizations that lacks appropriate organizational structure (O'Neill, Beauvais & Scholl, 2016).
When it comes to the importance of organizational structure, one of the chief importance of the
same is to provide effective guidance to both the employees and the management by laying out
an official reporting relationship that governs the workflow of the organization. One of the chief
evidence of the success of an organization due to implementation of appropriate organizational
structure is the Starbucks Coffee shop. Starbuck has been able to achieve a good reputation
along with high revenue due to its efficient organizational structure. Starbucks evolves to ensure
that its organizational structure matches current business needs. Unlike other organizations, it
does not stick to a specific organizational structure but changes the same with time and
requirements. Thus it can be clearly understood that organizational structure is highly crucial in
order to gain success in the highly competitive industry of this era.
In this paragraph, description of the functional organizational structure and
discussion of its strengths and weaknesses in relation to the WMH has been performed. The
functional or bureaucratic organizational structure is most commonly used in businesses. It
involves a top down flowchart with the high rank executive or executives in the top, the
managers like the HR manager, operational and accounting managers in the middle and the
employees in the lower level (Bustinza et al., 2015). The mentioned departments are managed
separately by the department manager and they are the ones who answer to the top level
managers. Two of the major strengths of the functional organizational structure that it is very
easy to understand and as the potential to keep the business neatly compartmentalized. On the
other hand, the mentioned organizational structure also possesses a good number of weaknesses