Definition of Organization:



ASSESSMENT

PERSONAL EFFECTIVENESS

Definition of Organization:

Basically, an organization is a group of people intentionally organized to accomplish an overall, common goal or set of goals. Business organizations can range in size from two people to tens of thousands.

There are several important aspects to consider about the goal of the business organization. These features are explicit (deliberate and recognized) or implicit (operating unrecognized, "behind the scenes"). Ideally, these features are carefully considered and established, usually during the strategic planning process. (Later, we'll consider dimensions and concepts that are common to organizations.)

Chester Barnard described an organisation as ’a system of co-operative human activities’. Organisations are social arrangements for the controlled performance of collective goals’.

Types of organization:

There are 5 main types of Organisational structures

1. Small organisation structure

Informal, staff and workers report directly to a small number of managers. In most cases one person is in control. Typical in small family run businesses. Permits fast responses to customers and market opportunities but can lead to confusion of responsibilities and muddled decision making. Growth leads to increasing tension through vague overlapping of jobs and demands the installation of more structural formal systems. The adoption of an efficient bureaucracy is perhaps the most frequent stumbling block encountered by entrepreneurial founders of promising businesses.

2. Functional organisational structure

Often the first structure adopted after the simple small organisational structure. It represents a significant shift from centralisation (one person in charge) to decentralisation. Management is divided into tasks of getting the work (sales & marketing), carrying out the work (operations), getting the staff (personnel) and recording transactions and arranging finance (finance). Tensions created are inter rivalry between functions, overlap and difficulties in co-ordination.

3. Multi-divisional structure (sometimes called M-form structure)

Growth leads to subdivision of activities into divisions or separate business units to:

• Serve different markets

• Provide different product groups

• Focus on different geographic areas

• Utilise different production processes

The organisation is now a collection of separate decentralised units, each of which may then be functionally organised:-

Tensions & problems created are that divisions may compete against each other, there can be expensive duplication of functions, problems over relationships with central services and the difficulties of communication – e.g. knowledge held in one part of the organisation may be required for effective decisions in another.

4. Holding company structure (sometimes called H-form structure)

The original company or head office takes on the role of a central shareholder and banker for the group and gives considerable autonomy to the business units. Control is exercised by regularly monitoring financial performance.

5. Matrix organisation structure

Authority is shared between project co-ordinators and heads of functional departments. Heads of Departments (HoD) are responsible for the organisation of the department; project co-ordinators are responsible for all aspects of the project. Employees in departments receive commands/directions from project co-ordinator as well as from HoD. e.g. a course leader; an hotel duty manager.

In the matrix structure, role duality and interdependence between departments is formally recognised by two lines of authority, which overlap. However, tensions and problems can emerge through confused responsibility, long decision making times and the need for a formal committee structure to iron out conflicts and monitor performancTypes of Business organisations and their features.

Types of business organisations:

The main types of business organisation that exist today are described in the following tabular form.

|Type of business Organisation |Possible sources of finance |Key issues for consideration |

| |Owner savings, banks, suppliers, |. Security for those lending funds|

| |government grants and loans |·        Loss of control by owner |

| | |·        Evidence that business has |

|Sole Trader | |potential to develop |

|Eg: Microsoft | |·        Financial history of |

| | |business/owner |

| | | |

| | | |

| | |. Problems of introducing new |

|Partnership |Partners’ savings, banks, suppliers, |partner |

| |government grants and loans, hire |·        Lack of collateral |

|Eg: Airlingus |purchase and leasing companies |·        Potential expense of raising |

| | |large sums of money |

| | |·        Should they form a limited |

| | |company? |

| |Dependant upon the size of the private |. Disagreement amongst existing |

| |limited company, suppliers, banks, |shareholders |

| |factoring, leasing and hire purchase |·        Difficulty of finding suitable |

| |companies, government grants and loans, |shareholders |

| |venture capital institutions, private |·        Loss of control by existing |

| |share issues |shareholders |

|Private limited company (ltd) | |·        Lack of collateral and security |

|Eg: EMEA-Stream | |for those lending funds |

| | |·        Element of risk in the loan |

| |Suppliers, banks, factoring, leasing and |.State of economy and stock market |

| |hire purchase companies, government |·        Ability to move to area |

| |grants and loans, venture capital |receiving government aid |

| |institutions, public share  issues via |·        Recent financial performance |

| |the stock exchange |·        Reputation of company and senior|

| | |managers |

|Public limited company (plc) | | |

|Eg: Military | | |

| |Charitable donations, lottery money, |Public profile |

|Non-profit making organisation |government and EU grants |·        Relationship with government |

|Eg: An Post | | |

Hierarchy of the Technical Support Centre

Like in all large companies there is dedicated chain of command that allows the company to function in an effective manner. As a technical support person I have been placed under Derek Walsh, Team Leader, within IP Residential Support Centre.

Organisation Chart of Support Centre

|Christof Abrahamse |

|CEO, Stream EMEA |

|Julie Brunker |Harry Lammersen |Arthur Slijkhuis |

|Human Resources Director, EMEA |VP, Quality and Training|Finance Director EMEA |

| |EMEA | |

|Diane Hanson |

|Human Resource Manager |

|Dublin, Ireland |

|Sean Canning |

|Manager |

|Eoin Quinn |

|Security Delivery Manager |

|Phil Suffield |

|Head of Support |

|Alan |Dubhaltach |Edel |Maria |Derek |Eithne |

|Farrar |DeBuiltear |Gargan |McCarthy |Walsh |Woods |

|Technicians |

|Residential Support Group |

[pic]

STREAM’S MISSION STATEMENT:

EXCEPTIONAL CUSTOMER EXPERIENCE

Why Stream?

At Stream, we provide something more than just global support and offshore capabilities.  We provide a Smart ShoreSM solution that gets to the heart of your support and cost savings needs.  From our worldwide locations—in North America, Europe, and Asia/Pacific—your customers can receive 24-hour access to support in local languages. And your company can count on business continuity and proven operations regardless of location.

Structures of Organisations:

The structure of an organisation depend upon various factors like Unity of command and unity of purpose, Span of Control, Amount of delegation, size of the organisation and Number and type of employees.

Tall Structure Flat Structure

[pic]

There are five functional areas/departments of an organisation.

1. Technical/ Production department: Including production, manufacture and adaptation of materials.

2. Commercial/ Purchases and Sales Department: Including buying, selling and exchange.

3. Financial Department: Activities designed to obtain capital and to make the best use of it.

4. Accounting Department: Payroll, tax returns, stock-taking and the preparation of balance and the preparation of balance sheets, cost statements and business statistics.

5. Managerial activities/ Personal Department: Dealing with staff incentives and documentation, manpower planning and selection and general administration regarding staff.

The following are the examples in an organisation under various departments.

Customer service: Commercial/ marketing

Security: Technical department.

Training: Human Resource/ Personal department.

Sales: Commercial Department

Financial Control: Financial Department.

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Characteristics: Smaller business with a small no. of employees where work passes through fewer hands—few levels of authority.

ADVANTAGES:

• Information and decisions pass from top to bottom quickly via fewer levels.

• Top management are closer to the ground ensuring efficiency – close and orderly planning and control of work.

• Greater personal consumer attention and resulting consumer loyalty.

DISADVANTAGES:

• Less specialization or division of labour—usually lower wages for lower level workers.

• Smaller economies of scale.

• Lower turnover – restricted ability to invest in expensive modern technology as it may not be cost effective.

Characteristics: Larger business with greater departmental divisions, specialization and delegation, greater no. and variation of type of employee, work involves more analysis research and development

ADVANTAGES:

• Greater economies of scale i.e. benefits due to larger size, e.g. opportunities for improved productivity.

• Greater efficiency in organizational methods.

• Greater turnover—can afford to incorporate the most modern technology.

DISADVANTAGES:

• Greater difficulty with maintaining unity of purpose due to communication problems- too many levels of authority.

• Less consumer friendly—more informal due to size.

• Decision making may be slower due to time it takes to et from top to bottom and vital decisions might be made too late.

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