Management structures and Objectives

VERTICAL MANAGEMENT STRUCTURE

HORIZONTAL MANAGEMENT STRUCTURE

This resource covers management structures and objectives. It looks at the corporate culture - and managment roles within that culture - as well as organisational charts and policy development. This unit of work begins by looking at organisational charts.

Organisational charts

There are many different forms that these organisational charts may take. The specific form drawn up by the organisation may be based on one of the following types:

• hierarchical structure - specialisation within the organisation which relies on a vertical or a pyramid style of power, authority and decision-making

• functional, divisional and matrix structures - specialisation within the organisation which relies on a horizontal style of power, authority and decision-making

The functional structure or chart separates out the main areas of responsibility for various functions within the organisation. These areas (as covered and discussed in section Different forms of large-scale organisations and their management functions) may include:

• Human Resources

• Operations

• Marketing and Public Relations

• Banking and Finance

• General Administration.

The functional structure or chart separates out the main areas of responsibility based on the various departments of sections of the organisation. These departments may be based, in turn, on the types of products manufactured or sold by the organisation; the various locations from which the organisation operates; or the types of customers that the organisation services or supplies.

The functional structure or chart separates out the main areas of responsibility based on projects that the organisation is currently working on.