Organization structure can be considered as the perspective through which individuals see their organization and its environment.
The structure of an organization will dictate how people interact with each other and their relationship of roles in the organization. If a structure is out-dated or not implemented correctly in a business, it will lead to many problems. These include conflict among employees or departments, confusion of employee roles, and lack of communication / coordination among departments.
Yes every company does reach its maturity age after a certain years of its inception, the only way to avoid this is to restructure the organization and create a different brand image. For example,
The Tata group was formed when India was in its early stage of the struggle against the British, since its inception, TATA’s main job has been far more than providing a mere job to it’s employees. Workers and their welfare was of utmost priority to the founder, Jamshedji Tata. Tata group of companies flourished a lot for the next 100 years , but in the 1990’s the company’s profits started declining. The company faced a lot of problems, the HR was dysfunctional, there was friction between different subsidiaries.
Thus we can see that the system was well inculcated in the company and it seemed extremely hard to change it but it was necessary. And hence the group launched a HR revamp which aimed to tackle the issues internally.
Steering committees were set up from the top levels down to the work groups to manage the new HR practices. The group brought in Dr. Wayne Brockband to aid in the transformation process which was to align its HR function to increased financial performance.
Various steps like HR Gurukul, Tata steel’s performance ethic plan, domestic management program, The Taj group’s STARS initiative, the VSNL integration were very had a very different