A diagram that represents the positions and relationships with in an organization is called organization chart. Because the organization chart depicts the relationship between different positions with in an organization it can be better depict how different positions work together and relate to each other.
Because the job of the organization is too large for one person to accomplish, the activities are separated into different tasks and is assigned to different people with in an organization, this is called job specialization. It increases efficiency and makes it easier to hire new workers.
Departmentalization can be done on the following bases
1. By function
2. By product
3. By location
4. By customer
Or it can be a combination of the above.
Following are the steps involved in delegation
1. Responsibility which is the duty to do a job or perform a task
2. Authority which is the power, within an organization, to accomplish an assigned task
3. Accountability which is the obligation to accomplish an assigned job or task
A line and staff structure uses the chain of command from line structure in combination with assistance from staff managers.
Line managers make decisions and give orders while staff anger provide support and advice.
The chain of command goes directly from person to person within an organization.
It is most suitable for small organization with limited activities as compared to medium or large organization.
A matrix structure is one that combines vertical and horizontal lines of authority, usually by superimposing product departmentalization on functional departmentalization.
Authority flows both down and across.
Employees report both to product manager in charge of team and to superiors in their department.