BUS201 Foundations of Business: Phillips Financial Services Structure

This report addresses the organisational structure of Phillips Financial Services, a medium-sized financial services consulting firm experiencing workplace culture issues due to rapid growth and diversity. The report identifies the challenges faced by the company, including low morale, stress, bullying, and multicultural issues, primarily stemming from its current centralised organisational approach. The suggested solution involves implementing a flat organisational structure, dividing the company into departments with designated heads and supervisors, which will promote employee involvement in decision-making, improve communication, foster diversity, and ultimately facilitate business growth at the international level. The proposed structure aims to mitigate risks associated with informal communication and leverage employee ideas for enhanced performance and expansion.

Business workplace

ORGANISATIONAL STRUCTURE 1
Organisational Structure
Phillips Financial Services provides the services of Accounting and tax, business advisory
and Self-Management Super Funds. It has been seen that the company is growing
continuously and it faces the issues by hiring the large number of new employees at the
workplace. The difference between the old age and young age always causes the issue of
conflict. The other differences among the members promote the diversity but due to which
the growth of the company is reduces. Nick Phillips is the only person who organises and
handling the whole activities.
(Source: Point Park, 2018)
It is suggested that the organisation has to adopt the effective organisation structure in order
to promote the diversity and reduces the issues. The company has to implement the flat
organisation structure in which the each and every employee has their own work and
responsibility to do the work. In this type of organisational structure, the organisation is
divided into the divisions to perform their functions (Point Park, 2018). Different departments
have their different head and supervisors and the other position under the head due to which

ORGANISATIONAL STRUCTURE 2
each and every department perform their function well. Nick has to divide its department in
the Marketing Manager, Chief Financial Officer as the main head of the departments. Under
these head, the company has to appoint the supervisors or assistant who works under the
departmental head. This structure reduces the risk due to informal or formal communication
between the employees and managers. This structure also promote the ideas of employees
due to which the chances of growing the business at the international level (Connolly, Lang,
Gathegi, and Tygar, 2016). The people can also take the participation in decision making
process as per the structure due to which the chances of growth is high as everyone has their
own and fresh ideas (Maduenyi, Oke, Fadeyi, and Ajagbe, 2015).

ORGANISATIONAL STRUCTURE 3
References
Connolly, L., Lang, M., Gathegi, J. and Tygar, J.D. (2016) The Effect of Organisational
Culture on Employee Security Behaviour: A Qualitative Study. In HAISA (pp. 33-44).
Maduenyi, S., Oke, A.O., Fadeyi, O. and Ajagbe, A.M. (2015) Impact of Organisational
structure on Organisational performance.
Point Park. (2018) 4 Types of Organizational Structures. [online] Available from:
https://online.pointpark.edu/business/types-of-organizational-structures/ [Accessed
39/05/19].