The framework, typically hierarchical, within whichan organization arrangesits lines of authority and communications,and a...
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  1. 1. The framework, typically hierarchical, within whichan organization arrangesits lines of authority and communications,and allocates rights and duties. Organizational structure determines the manner and extent towhich roles, power, and responsibilities aredelegated, controlled, and coordinated, andhow information flowsbetween levels ofmanagement.An structure depends entirely onthe organizations objectives andthe strategy chosen to achieve them. In acentralized structure, the decision making power isconcentrated in the top layer ofthe management and tight control is exercisedover departments and divisions. In a decentralizedstructure, the decision making power is distributedand the departments and divisions havevarying degrees of autonomy. Anorganizational chart illustrates the organizationalstructure.
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