ABSTRACT

The organizational structures’ design criteria are all based on the requirements set forth in the Strategic Plan. There are many different types of organizational structures. These include Decentralized Structure, Functional Structure, Geographic Structure, Product-Based Structure, Matrix Structure, Vertical Structure, Customer-Based Structure, Front-Back Hybrid Structure, Bureaucratic Structure, Network Structure, and more. Each of these structures has advantages and disadvantages, which must be carefully analyzed before an alignment design is chosen. Organizational Structure Design is used to change the way an organization conducts its affairs in order to increase productivity, performance, and profit by providing the knowledge and methods to handle the kind of recurring organizational change that all businesses face, especially those which do not involve transforming the entire organization. The process of design must be aligned with objectives. The chapter discusses the things that should be considered and how to go about making a total assessment that results in a redesigned organization structure.