Organizational Structure: Importance and Benefits for Global Businesses

Running Head: ORGANIZATIONAL STRUCTURE
1
Organizational structure
Name
Institutional
Professor
Course
Date

ORGANIZATIONAL STRUCTURE
2
Part 1
I agree with Sandy that organizational structure is an indispensable strategy that holds
tremendous benefits to any organization. While organizations can adopt different strategies to
achieve its goals, organizational structure can empower the firm to administer strategic planning
easily, consequently, planning becomes more genuine and targeted towards the set goals. Most
organizations are framed in specific ways to enable accomplishment of various objectives; the
structure of an organization can either help or impede its success towards fulfilling the
established objectives. Organizational structure is complemented by various aspects. In a
functional organization, the structure involves department grouping such as the marketing
department, the sales department, and the production department (Schein, 2010). Global
organizations, in addition, must have in place organization structures that have a matrix
organization approach that is structured around the business function, this kind of approach will
enable the global business to monitor and organize its operations hence increasing profitability.
An organization will operate well with effective communication in place. I believe that
coordination is essential for all the operations to work productively. However, significant
drawbacks arise from this kind of structural approach when applied in a multinational co-
operation since communication and coordination between and within the departments can be
restrained by boundaries that exist in organizations for establishing separate working
departments. In my opinion, dynamic organizational structure paradigms require the just and
well-thought development of leadership dimensions, such as self-awareness, problem-solving
skills, and expertise. These skills are essential to organizations hence they enable the leaders in
the organization to align their staffs and juniors development objectives to SMART goals which
will see the organizations to its success (Singh, 2010).