Management concepts Essay Example | Topics and Well Written Essays - 1000 words

Management concepts - Essay Example Traditionally organisations were designed keeping bureaucratic structure in mind. Bureaucratic structure can be defined as a kind of organisation structure which is based on judgment, order and reasonable use of proper authority. This type of organisational structure is destined to be organised, reasonable and highly efficient. The bureaucratic structure consists of clear allotment of job, ‘strict hierarchy of authority’, strict rules and actions and capability based promotions (Cliffnotes, n.d.). Bureaucratic organisational structure is based on official structure of authority which is formed cautiously and followed strictly. The features of bureaucratic organisation structure are: Clear job specialisation Departmentalisation by job Formal model of allocation High extent of centralisation ‘Narrow span of management’ Clearly described line and staff manager position Strict relationship between manager and subordinates Source: (Pride & Et. Al., 2009) Bureaucr atic Structure In Contrast To Matrix Organizational Structure In contrast to bureaucratic structure, matrix structure is based on vertical and horizontal form of authority. The delegation of authority in this type of organisation can flow in both ways down and across, however in bureaucratic structure the authority flows only from upward to downward. In each department there are cross functional groups. The groups consist of individual employees with varying specialty, proficiency and capability which are brought together to accomplish a mutual objective. For example, in the Matrix Structure, the less recognizable team is known as Project A, B, C team. The managers of these teams are known as project managers. The projects might be temporary; when the project is completed the teams will be separated. These teams have the authority to make major decisions. Any individual employee who is performing in the team can directly communicate with project manager as well as individual superio r manager (Fontaine, 2007). Contrary to matrix organizational structure, the bureaucratic organisational structure has strict control over their employees. The organisation is tall in nature. Max Weber, a German sociologist had introduced the bureaucratic theory. He had highlighted the requirement for hierarchical structure in organisations. The theory acknowledged the significance of allotment of labour and specialisation. A formal set of regulation is bound into the structure which ensures managerial constancy and regularity. Unlike matrix structure, the information in this organisation must pass through each layer of the structures which result in deliberate decision making. There is no authority of team with respect to decision making in this type of structure (Advameg, 2011) & (Walonick, 1993). Fig 1: Contrast of Bureaucratic and Matrix Organisational Structure Bureaucratic Organisational Structure Matrix Organisational Structure High Degree of standardisation Regular working m ethod are pursued in bureaucratic structure Low level of discrimination The organisation structure is mainly tall in