Designing a new organisation structure or reorganizing an existing one needs careful consideration of current practices and principles of organisation. There are no such rules the application of which will lead to the best organisation structure in every situation. But the steps mentioned below could be of great help in designing suitable structure:
1. Clear definition of Objectives: The first steps in developing an organisation structure is to have very clear objectives. This will help in determining the type and the basic characteristics of the organisation.
2. Identifying the activities and Grouping them into classes: The next step in developing an organisation is to list the activities necessary to achieve the objectives and grouping them in a systematic manner. These activities can be assigned to personnel.
3. Determine the Structure: With the help of above two steps, actual determination of the organisation structure can be set.
4. Revise the structure on the basis of assessment of Personnel: The last step in developing a suitable organisation structure is to assess the capabilities and abilities of people available for the different positions in the organisation. The ideal organisation should then be adapted to fit the reality of the situation.
The above outlined are the general guidelines for steps in developing the organisation structure. However, each enterprise should be viewed as separate case and developed accordingly.
Article reference: The Business Law, The Company Secretaries of India
Written by Sonia Shekar from Companies Inn
1. Clear definition of Objectives: The first steps in developing an organisation structure is to have very clear objectives. This will help in determining the type and the basic characteristics of the organisation.
2. Identifying the activities and Grouping them into classes: The next step in developing an organisation is to list the activities necessary to achieve the objectives and grouping them in a systematic manner. These activities can be assigned to personnel.
3. Determine the Structure: With the help of above two steps, actual determination of the organisation structure can be set.
4. Revise the structure on the basis of assessment of Personnel: The last step in developing a suitable organisation structure is to assess the capabilities and abilities of people available for the different positions in the organisation. The ideal organisation should then be adapted to fit the reality of the situation.
The above outlined are the general guidelines for steps in developing the organisation structure. However, each enterprise should be viewed as separate case and developed accordingly.
Article reference: The Business Law, The Company Secretaries of India
Written by Sonia Shekar from Companies Inn
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