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The structures in a business

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The structures in business In the world of money, economy and business, you come across many types of infrastructures. This keeps the business organised, running smoothly as well as profitably. To become a successful business, you must be one which expands when needs to, and create a structure which suits you and your businesses needs. If a business didn't have a structure then that would mean that they wouldn't have a manager or any discipline and this would eventually lead the business into the ground. They also wouldn't know who is who and what person does what jobs. In today's day and age, you get many businesses using sophisticated and unique structures. A structure in terms of business is a type of hierarchy which has the director at the top and as you go down, you see the decrease in the status of the workers. This could mean you have the directors at the top and the floor cleaners' right at the bottom. ...read more.


Following on you then have a structure which is divided by geography. This is when businesses are divided into countries or cities but this depends on where it operates. This maybe how a Ferry company may work. If a company had a building in Switzerland, Germany and the U.K and you want4ed to catch a ferry from the U.K to Switzerland, you can talk to the U.K branch and not have to ring abroad to get a cheaper option. You can also get this occurring when you have a product that you want to sell in a different country. If the product is being sold well, then the company may stop shipping the product but consider expanding the business there so it becomes more publicised. By Geography Head Office Office 1 Office 2 Office 3 Office 4 Country 1 Country 2 Country 3 Country 4 When a structure is used through geography, it tends to be a large company but it is also hard for communication and for people to know where they stand. ...read more.


You often come across flatter hierarchy structures when the company is smaller and there is more team work. Communications on this level tend to be quick and easy. You often come across periods of time when you have a silos. This is when a company finds itself with managers or people on a horizontal section of the hierarchy but they are not communicating. On the contrary you have a matrix system because it contradicts a silos and this means there is more communication horizontally rather than vertically. If you had a flatter system, it would be more flexible than a convenience hierarchy. People are more suited to a flatter environment if they are flexible workers and they can work with people with higher and lower statuses. This is why people find it difficult to understand where they are in the company community. Tall structures were more common traditionally and can still be found in the bigger and more public companies, but the newer business chain are using the more flatter system. ...read more.

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