Premium Essay

Importance Of Organizational Structure

Submitted By
Words 1052
Pages 5
Introduction

This assignment will discuss the definition of organizational structure, the various types as well as importance of organizational structure. This report will outline the organizational structure of one of the leading companies in Oman, Oman Liquefied Natural Gas LLC (Oman LNG) Company, which covers the importance, and role it played in the effective operations of the company.

Oman LNG is a joint company recognized by a royal order in 1994 and works underneath the laws of the sultanate of Oman. The corporation involves in the industry of creating and trading liquefied natural gas (LNG) and its by-product, Natural gas liquids (NGLs) (Oman LNG, 2015).

Organizational structure

Scott (1998) stated that …show more content…
The structure is key for any rising organization to give direction and clarity on particular HR issues, for example, managerial authority. Minor-organizations owners must consider starting think about a formal structure in the start of the development phase of the Organization. A business needs a structure to raise and be beneficial. Outlining an Organization structure benefits tops management identify ability that should be added to the organization. Arranging the structure makes sure there are enough HR inside of the organization to accomplish the objectives put forward in the organization's yearly arrangement. It is similarly vital that duties are clearly characterized. Each individual has a set of work and responsibilities that layouts obligations, and every job owns its own position on the business organization structure.

Types of organizational structure
Functional …show more content…
Al Barwani the manager of Cost accounting in Oman LNG, the organizational structure of Oman LNG As far as responsibility is concerned, cost control monitoring and reporting performance of the company Is a functional structure, which assigns employees to their functional department and enhances their expertise in providing services, if divides departments according to the service provided by each department in the organization.

Ms Al Barwani also added that The importance of organizational structure in the organization is that each department focus on the expertise to deliver the services required by the company and the detailed training and intensive career path gives workers clear career goals and how to reach them.
This maximizes performance by facilitating, group leaders who are experts both in their field and in the resources available, which allows each division to reach its highest potential and avoids over-use of limited resources. The company provides specialized training and involves management to ensure that standout employees are quickly recognized and placed where they will be most effective and managers are always on the lookout for helpful skills and

Similar Documents

Premium Essay

Hcs 325 (Health Care Management) Complete Course

...Effective Communication Paper HCS 325 Week 2 Team Organizational Structure Presentation Audience and Action Plan Part I HCS 325 Week 3 HCS 325 Week 3 Individual Importance of Teams HCS 325 Week 3 Team Organizational Structure Presentation Communication Methods HCS 325 Week 3 Team Organizational Structure Presentation Formal Bibliography HCS 325 Week 4 HCS 325 Week 4 Individual Motivational Methods Paper HCS 325 Week 4 Team Organizational Structure Presentation Action Plan, Part II HCS 325 Week 5 HCS 325 Week 5 Team Organizational Structure Presentation HCS 325 (Health Care Management) Complete Course https://hwguiders.com/downloads/hcs-325-health-care-management-complete-course/ HCS 325 Week 1 HCS 325 Week 1 Individual Roles and Functions Paper HCS 324 Week 2 HCS 325 Week 2 Individual Effective Communication Paper HCS 325 Week 2 Team Organizational Structure Presentation Audience and Action Plan Part I HCS 325 Week 3 HCS 325 Week 3 Individual Importance of Teams HCS 325 Week 3 Team Organizational Structure Presentation Communication Methods HCS 325 Week 3 Team Organizational Structure Presentation Formal Bibliography HCS 325 Week 4 HCS 325 Week 4 Individual Motivational Methods Paper HCS 325 Week 4 Team Organizational Structure Presentation Action Plan, Part II HCS 325 Week 5 HCS 325 Week 5 Team Organizational Structure Presentation HCS 325 (Health Care Management) Complete...

Words: 2625 - Pages: 11

Premium Essay

Organizational Design

...Organizational Design Inescapable Yes or No L. Gina Hunter UMET Miramar Campus ENGLISH 502 Academic Writing for Graduate Student II Prof. Méndez March 24, 2015 The Organizational Design of a Company is necessary for success. Have you ever wondered how some organizations always at the top of the charts, but others don’t survive? Organizational Design Inescapable? A solid organizational design is what makes the difference; it relies on how strong and solid the organizational structure and design are. According to the Center for Organizational Design, organizational design is defined as a step by step methodology that identifies dysfunctional aspects of workflow, procedures, structures and systems. Realigns them to fit current business realities/goals and then develops plans to implement the new changes. The process focuses on improving both the technical and people side of the business (Allen, 2012). As we live in a world of transition, where everything is changing at the speed of light. The organizational design is an inescapable part of any organization; big or small, is the key element for integrating the people, information, and technology. Having a strong organizational design provides a clear vision, and mission, it empower employees in the decision making of the organization. As a result, the reporting process will be transparent; the information will flow smoothly, and it will provide a definite work process. With a well design structure...

Words: 872 - Pages: 4

Premium Essay

Literature Review Business Ethics

...Ethics and Organizational Design- A Literature Review Abstract This literature review observes the views of organizational design and business ethics as they relate to one another in business. The first portion of this paper defines organizational design and business ethics to establish their importance and also examines managerial ethics and corporate social responsibility, sources of ethical principles. The second portion pursues to explain the relationship between business ethics and organizational design and how managers shape ethics through use of value-based leadership and formal structure systems. The third portion pursues to review the importance of ethics to organizational design and the structures that support or enforce ethical behavior in organizations. The fourth portion links literature reviewed and published over the past few years together based on their reference to ethics and organizational design. The literatures are linked together based on commonalities found in the opinions of the authors relating to a spiritual perspective, ethics and corporate structure, organizational and ethical theories, and ethical strategy. Last but not least, the review concludes with a summary of the important role that ethics plays in the organizational design and structure of a business and how it applies to members of management. Keywords: business ethics, organizational design, corporate social responsibility   Outline INTRODUCTION I. Organizational Design/Business...

Words: 5201 - Pages: 21

Premium Essay

Organizational Design and Business Ethics

...Business Ethics Mitzi N. Harvey Liberty University Abstract This literature review examines the concepts of business ethics and how it is related to the organizational design of a corporation. The first section of this review defines the concepts of business ethics and organizational design to establish their meaning and use throughout this paper. The second aspect of understanding the relationship between business ethics and organizational design comes from understanding how and/or why ethics is important to organizational design. This will illustrate any underlying influences ethics has on business structure and design. The third section of this paper reviews and groups the literature found linking ethics and organizational design. Literature is grouped together based on the similarities found in authors’ opinions, research and/or results. The next section discusses the ideas of micro and macro ethics; first defining them, illustrating the differences and then explaining how they come into play when examining the link between ethics and design. The following sections of the review, provides examples of formal organizational structures, ethical programs, and the ethical decisions that impacted them. Finally, in the conclusion of the review it summarizes the relationship between business ethics and organizational design, how this relationship impacts business, and what this means for business managers. Introduction To sustain in a global economy, organizations must...

Words: 3728 - Pages: 15

Premium Essay

Key Concepts of Organizational Design

...Key Concepts of Organizational Design Rosalind Patterson MMPBL550 August 30, 2010 Professor Josey Crisostomo Key Concepts of Organizational Design Given the importance of organizational design, why is it so often the blame for inefficiency and ineffectiveness? The reason is because good organizational design helps communications, productivity, and innovation. Organizational design is the process of aligning an organization’s structure with its mission. This means looking at the relationship between tasks, workflow, responsibility and authority, and making sure all these support the objectives of the business (www.mindtools.com). In this paper we will explore the importance of organizational design choices, the advantages and disadvantages of various organizational structures, assess the relationship between strategy, structure, and process in organizations, and analyze the relationship between organizational design and decision-making processes. Importance of Organizational Design Choices Hiring talented people is not enough to ensure the success of an organization. The best and brightest employees will not be able to do their best work in a poorly designed workplace. Consequently, poor organizational design is one of the leading causes of low employee morale and productivity (www.leadership-and-motivation-training.com). Effective organizational design creates a culture of commitment. The employees fully understand their accountabilities...

Words: 1362 - Pages: 6

Premium Essay

Business Ethics and Organizational Design

...Business Ethics Mitzi N. Harvey Liberty University Abstract This literature review examines the concepts of business ethics and how it is related to the organizational design of a corporation. The first section of this review defines the concepts of business ethics and organizational design to establish their meaning and use throughout this paper. The second aspect of understanding the relationship between business ethics and organizational design comes from understanding how and/or why ethics is important to organizational design. This will illustrate any underlying influences ethics has on business structure and design. The third section of this paper reviews and groups the literature found linking ethics and organizational design. Literature is grouped together based on the similarities found in authors’ opinions, research and/or results. The next section discusses the ideas of micro and macro ethics; first defining them, illustrating the differences and then explaining how they come into play when examining the link between ethics and design. The following sections of the review, provides examples of formal organizational structures, ethical programs, and the ethical decisions that impacted them. Finally, in the conclusion of the review it summarizes the relationship between business ethics and organizational design, how this relationship impacts business, and what this means for business managers. Introduction To sustain in a global economy, organizations must...

Words: 3753 - Pages: 16

Premium Essay

Homework

...1. Why is the concept of organizational structure so important to managing organizations? 1. Organizational structure is particularly important for decision making. Most companies either have a tall or flat organizational structure. Organational structure is also important because it enables the distribution of authority. When a person starts a job, he knows from day one to whom he will report. Most companies funnel their communication through department leaders. Organizational structure is important for evaluating employee performance. The linear structure of functional and product organizational structures allow supervisors to better evaluate the work of their subordinates. Supervisors can evaluate the skills employees demonstrate, how they get along with other workers, and the timeliness in which they complete their work. (Suttle, 2013) 2. What is the "structure" of your current (or most recent) organization? Has it been effective during the current economic times? Why? or Why not? The structure of my most current organization is "Total View" on my job at StateFarm, it's a program that has our schedules everyday, this program lets me know when to take my breaks, what time to go to lunch, and the time I am to be on the phone, more importantly it keeps up with how long I've been off the phone. My manager can keep track of whether or not I've been in adherence. In my opinion, this has not been effective during the current economic times. References Suttle...

Words: 264 - Pages: 2

Premium Essay

Human Behaivor

...the same goal?, then how important is understanding the behavior of people in an organization? I am convinced that the study of organizational behavior is a tool that will give us a way of understanding human behavior within an organization in a systematic and scientific way. There is no doubt that organizational behavior (which is abbreviated CO) is a field of study that investigates the impact that individuals, groups and structures have on behavior within organizations, in order to apply this knowledge to the improvement of the effectiveness of such organizations. Furthermore, it is a field of study, this statement means that it is a specialty delimited and with a body of knowledge. What are you studying? Studying three determinants of behavior in organizations: individuals, groups and structures. If studying the individual and behave within an organization will be able to analyze the behavior of groups, with greater clarity because groups are composed by individuals who use structures established by the company already rules, procedures, rules to regulate their behavior. If this is the case I am confident that these three components are the key to success to understand organizational behavior and the importance of it for the company. If we understand these three determinants, we will have a clear view of the impact of these in organizational behavior. The CO applies...

Words: 2995 - Pages: 12

Premium Essay

Key Concepts of Organizational Design

...Key Concepts of Organizational Design Ryan MMPBL/550 December 13, 2010 Key Concepts of Organizational Design [The introduction goes here. It should be one or two paragraphs explaining the findings of your paper. The introduction should prepare the reader for the contents of the paper by previewing the four main topics in your paper. Be sure to end with a transition word or sentence to lead into Section 1 of your paper. Triple click anywhere in this paragraph to begin typing your own introduction.] In this paper, I will provide some key concepts of organizational design and its importance, assessing the relationships between strategy, structure, and process in organizations and the relationship between organization design and decision-making processes are analyzed. In the next section, I will describe the five best design choices and the characteristics, advantages, and disadvantages of various organizational structures. Importance of Organizational Design Choices [This should explain the importance of organizational design choices. Be sure to end with a transition word or sentence to lead into the next section of your paper. Triple click anywhere in this paragraph to begin typing.] One valuable element of developing a strategy for a company is to form an organizational design that fits the company’s purpose, culture, and processes. Organizational design has become a top priority because of increased competitive pressures and the use of information technology...

Words: 2065 - Pages: 9

Premium Essay

Organisational Bhaviour

...behaviour] | | Table of Contents 1 Understand how organizational structures and cultures impact in the effectiveness of the organization 3 1.1 Analysis the characteristics of different organizational structures 3 1.1.1 Definition of Organizational culture. 3 1.2 Evaluate the importance of organizational culture theory in developing organizational effectiveness 4 1.3 Analyze the culture and structure of one organization and evaluate how they impact on its effectiveness 5 1.3.1 Tesco Structure 5 1.3.2 Tesco Culture 6 2 Understand how the organization can improve employee effectiveness to respond to business opportunities 6 2.1 Analyse how organization can facilitate innovation and creativity 6 2.2 Assess the importance of learning in organizations 7 2.3 Evaluate the effectiveness of team working 7 2.4 Analyse the effective management of change in organization 7 3 Understand organizational decision making 8 3.1 Analyse the approaches of organizational decision making 8 3.2 Assess approaches to risk and uncertainty in decision making 8 3.3 Evaluate the effectiveness of organizational decision in a specific organization 8 4 References: 10 * Understand how organizational structures and cultures impact in the effectiveness of the organization Analysis the characteristics of different organizational structures Definition of Organizational culture. Organizational culture can b defined in following manner. “The...

Words: 2988 - Pages: 12

Premium Essay

Organizational Behaviour

...Helps Coca-Cola Executives ... www.mhhe.com/business/management/updates/mcshane/.../ch18.mhtml‎ * * ORGANIZATIONAL BEHAVIOR by Steven L. ... One of Douglas Daft's first tasks asCoca-Cola's new CEO was to cut one-fifth of the workforce. The goal wasn't ... 2. Coca Cola Organizational Behaviour Free Essays 1 - 20 www.studymode.com/.../coca-cola-organizational-behaviour-page1.html‎ * 20+ items - Free Essays on Coca Cola Organizational Behaviour for ... Coca Cola Organizational Theory subsequent paper contains a ... Coca- Cola Organizational And General Issue have been overlooked by ... 3. Organizational Behavior Coca Cola Free Essays 1 - 20 www.studymode.com/.../organizational-behavior-coca-cola-page1.html‎ * 20+ items - Free Essays on Organizational Behavior Coca Cola for students ... its part, archrival PepsiCo has a 31.6 percent market share. (Vault 2002) The ... very thankful to you as you Assigned us this report on ROLE OF THE FORCES ... 4. Coca Cola Organizational Theory - Scribd www.scribd.com/doc/20200601/Coca-Cola-Organizational-Theory‎ * * Sep 25, 2009 - Coca Cola Organizational Theory - Free download as PDF File (.pdf), Text ... Is behavior in the organization very standardized, or does mutual ... 5. Organizational Structure of The Coca-Cola Company - Scribd www.scribd.com/.../Organizational-Structure-of-The-Coca-Cola-Compan...‎ * * Sep 15, 2010 - The Coca-Cola Company 2010 This document...

Words: 408 - Pages: 2

Premium Essay

Human Resource Management

...1924-1933 * Human relations movement * Incorporated human factors into work * 1960s * Integration to organizational behavior HRM according to Peter Drucker * Partly a file clerk’s job * Partly a housekeeping job * Partly a social worker’s job * Partly firefighting, heading off union trouble Strategic Importance of HRM Strategic Importance of HRM (application of key concepts) * Analyzing and solving problems from a profit oriented, not just a service oriented point of view; * Assessing and interpreting costs or benefits of such HRM issues as: * Productivity _ Absenteeism * Salaries and benefits _ Overseas relocation * Recruitment - Layoffs * Training - Meeting and attitude surveys * Using planning models that include realistic, challenging, specific, and meaningful goals; * Preparing reports on HRM solutions to problems encountered by the firm; and * Training the human resource staff and emphasizing the importance of HRM and the importance contributing to the firm’s profits HRM and Organizational Effectiveness Three crucial elements are needed for firms to be effective. * Mission and strategy * Organizational structure * Human Resource Management * Goals in Organizations * Organizational Mission * Mission * The organization’s reason for existence. * Mission Statement * A broadly stated...

Words: 858 - Pages: 4

Premium Essay

Know and How Reflections

...first lectures of the course show an empirical and theoretical view of the major principles of the organizational design as well as the alternative design forms. The stakeholders, both insiders and outsiders, and their behavior or relations of cooperation and competition suppose an analysis need that provides them of a huge importance. I also realize about the importance of the agency theory and the problems and remedies caused, improving the importance of efficient corporate governance. This need of a good organization is solved by the systems theory, ”Organizations are systems of interdependent activities linking shifting coalitions of participants; the systems are embedded in – dependent on continuing exchange with and constituted by – the environments in which they operate”. (Scott, 1998:28). The systems which formed the organization have a common target and are classified in three levels based on their relevance. Both, stakeholders and systems, needs an analysis in order to get success in our procedures and adapt the venture structure to the different organizational designs provided in the lectures. After understanding these concepts, the lectures focused on the relation between the main management factors (Vision and mission) and the drivers analyzed, providing goals and strategies to the organization. As important as the creative process is the analysis to know the organizational boundaries, which let the organization look for available goals based on the efficiency and effectiveness...

Words: 824 - Pages: 4

Premium Essay

Importance of Organisation Design and Structure

...The Importance of Organizational Design and Structure One of the wonderful things about being a coach is that I meet hundreds of executives who freely share their business and leadership challenges with me. As well as helping me understand how hard it is to run an organization, they show me how they are managing to adapt — or not — to changing organizational structures. A constant theme during meetings over the last three years has been how globalisation and the economic crisis have forced organizations to rethink their strategies and change they way they operate. From what I can gather, much of this has been "on the hoof," with companies switching their focus from markets to products or competitors, rather than looking at the big picture. This can result in lots of piecemeal change initiatives rather than looking at the overall organizational design. I rarely come across leaders who advocate wholesale organizational redesign or use it as a way to support their people and business. When organizational strategy changes, structures, roles, and functions should be realigned with the new objectives. This doesn't always happen, with the result that responsibilities can be overlooked, staffing can be inappropriate, and people — and even functions — can work against each other. Often, I see little more than a traditional hierarchy flattening out, perhaps broadening into a matrix structure in parts of the organization. More often than not, though, the hierarchy remains embedded in the...

Words: 806 - Pages: 4

Premium Essay

Kayworth and Whitten 2010 Misqe

...Executive Summary 2 Industry experts have called for organizations to be more strategic in their approach to information security, yet it has not been clear what such an approach looks like in practice or how firms actually achieve this. To address this issue, we interviewed 21 information security executives from 11 organizations. Our results suggest that a strategically focused information security strategy encompasses not only IT products and solutions but also organizational integration and social alignment mechanisms. Together, these form a framework for a socio-technical approach to information security that achieves three objectives: balancing the need to secure information assets against the need to enable the business, maintaining compliance, and ensuring cultural fit. The article describes these objectives and the security alignment mechanisms needed to achieve them and concludes with guidelines that can be applied to ensure effective information security management in different organizational settings. INFORMATION SECURITY HAS BECOME A STRATEGIC ISSUE Information security continues to be a major concern among corporate executives. The threat of terrorism, a growing dependence on the Internet, globalization, and new government regulations requiring companies to protect data have heightened awareness of the need for effective corporate governance of information security. Further, the staggering financial and reputational loss associated with large-scale ...

Words: 7959 - Pages: 32