What's it: A formal organizational structure is an organizational structure with clearly defined positions, duties, responsibilities, and authorities. Often, the formal structure is put on paper as an organizational chart. And organizations
Organizational Structure
Informal Organizational Structure: Characteristics, Advantages, Disadvantages
What's it: An informal organizational structure is an organizational structure without written guidelines for operating but is based on norms and systems developed by members. So, there are no formal and written rules, procedures, or chain of
Span of Control: Importance, Types, Advantages, Disadvantages
What's it: The span of control shows how many subordinates a manager is responsible for. When managers or supervisors have many subordinates, we call it a wide span of control. Conversely, if they have fewer subordinates, we call it a narrow span of
Organizational Chart: Importance, Features, and Types
What's it: An organizational chart is a graphical representation of an organizational structure. It describes the units and positions within the company. In the diagram, we can see the roles, responsibilities, and relationships between positions
Chain of Command: Importance, Element, Advantages
What's it: A chain of command is a formal line for defining authority, communication, and responsibility between positions within a company. It is depicted in an organization chart. And, it tells us who is responsible and reports to whom. Thus,
Decentralization: Importance, Advantages, Disadvantages
What's it: Decentralization means delegating more authority and decision-making to lower levels. The term is common to various organizations, from corporations to governments. And in this article, we will focus on its application in
Business Structure: Definition and Three Types
Business structure refers to the legal form of a company as in its charter. When you start a business, you have to decide what kind of business entity you will set up.Three main types of structures are sole proprietorships, partnerships, and