Organizational Structures Essay Example for Free

Organizational Structures EssayOrganizations function in varied ways. Each scheme is unique in its own accord and its overall design depends on two main criteria coordination and communication. No matter what structure an organization chooses, the ultimate precede is to achieve coordination between units and exit effectively for graceful decision making and implementation. The current buzz word being the networked economy and organizations, many firms atomic number 18 comely more sophisticated and evolving into more interconnected entities than ever before.It is important however to note that not adept single structure is the most successful one. A firms arrival at a decision to put on a certain structure entails careful analysis of the requirements of the industry it cultivates in. Then scarcely can it steady down which structure suits it best. Dell, based in the US, is a truly global organization. With lead times of regressy ranging in days across the globe, Dell h ad no choice but to adapt a structure which complimented its speedy and lean supply chain.This resulted in them adopting a networked structure as opposed to more traditional in operation(p) setup. The main criterion is not coordination here, but the proper channels of communication which are necessary to deliver information is the cheapest, fastest and most reliable way. Moreover, product life cycles of Dell are shorter than most early(a) products and this again meant a quick supply chain backed by the most efficient communications strategy. Dell has been able to adopt this structure quicker and has grown to an extent which many never expect it to achieve (Sviokla, 2004).Dell does have departments and functions like any other organizations its the method by which they operate which is different. Each function is coordinated and communicates to achieve one primary goal deliver the honorable to the guest in the shortest time possible. By having a networked organization, informati on travels at nearly the speed of light and decisions are thus made in a shorter time. This is what Dell required to stay on top of its contestation in the PC industry and thus, it adopted the best possible structure within the industry. Toyota, based in Japan, is a name of reliability.Their political machines are well known for cost effectiveness and long life. All this was only achieved by the top notch structure that Toyota eventually evolved into over its long history. The work at Toyota is through by divisions teams of individuals in each function operating on assembly lines to produce cars. This along with a just in time inventory approach has enabled Toyota to become a truly global automobile maker and trendsetter in the industry. Till Toyota adopted it, JIT was something that many, especially in the automobile industry, wouldnt dare to emulate.Toyota realise how its inventory, being huge and with long lead times would clog up work space and result in huge costs due to ren tal, obsolescence etc. Thus Toyota did what Dell did but in a different manner, let the supplier remain the owner of the materials until they are needed. This called for not just a good communications setup but an exceptional coordinated effort by the firms various functions as well. A delay in one function meant a halt in the whole firm as each is dependent on the other.Thus Toyota needed a structure which was stable, coordinated and yet, able to communicate well with its suppliers as well as dealers. This came in the form of an organization which was capable of dissipating knowledge throughout its firm effectively and acts upon decisions made quickly (Choo, 2002). This means that Toyota is a matrix organization rather than a functional one which one might think it is at first glance. Secondly, it various factories internationally could be seen as SBUs (Strategic Business Units) working autonomously yet liked to a central point.Referencehttp//www.analytictech.com/mb021/orgtheory.ht m