Types of Business Organization

Length: 10 Pages 2571 Words

Types of Business Organization There are millions of successful businesses around the world. They range from local fruit stands to huge multi-national businesses worth billions of dollars. One common trait all these businesses share is that they have some sort of organization. Without organization a business is doomed to fail because it will be inefficient and that inefficiency will eventually cause its downfall. Most entities use one of four basic organizational designs to try to ensure smooth sailing. These four basic designs are Functional, Divisional, Conglomerate, and Matrix. Also, some companies use some type of mix of these four; they are said to use Hybrid Design. Anyone of these organizational choices cannot be said to be superior to another because companies are successful using each. Each of these designs of corporate organization has their strengths and their weaknesses when compared to the others, and in the coming pages I plan to explore both the set up of each of designs as well as their strengths and weaknesses. The functional design is based on the concept of functional departmentalization. This means that the entity is broken down into parts by the different functions these parts would perform. This Continue...


More sample essays on Types of Business Organization

    Business Ethics
    .... maintain that pursuit of non-economic goals results in a less effective organization. .... A business can make personnel aware of the types of information .... (2120 8 )

    Management Techniques
    .... These types included business credit cards, leases, accounts receivable finance .... Accounting issues are another big element in the organization of a business. .... (4852 19 )

    Public Relations Specialists
    .... These types of specialist are known to also be .... level positions require a degree in business or communications .... Experience in the organization"tms field is quite .... (1080 4 )

    Organization Structure
    .... These types of organizations are centralized .... a critical factor in the success of the business. .... the degree to which jobs within the organization are standardized .... (1341 5 )

    Service learning and Professional Writing
    .... either outside the scale of the organization's experience or .... The types of writing takes that often need address are many but include, business plans, meeting .... (1913 8 )

These companies are said to use a hybrid design of organization. It also lends to employees learning more than one skill because of the cooperation amongst departments (Griffin 372). Works Cited:Chapter 13 study guide. design is also known as the U-form, or unitary form, because the company is broken down into its separate units. An example of this if there is a high amount of competition the marketing department may need to push a campaign, but they also may need to inform the production department to change the product slightly. 02 December 2003 http:policycenter. Each division had control over its product unless General Motors as a whole was against it. All of these departments would have their own Vice President who is in charge of everything that goes on in his or her department. Making the decision of what design to follow must be done on a case to case basis. For example a project group that is working on employee efficiency may be composed of two members from marketing , two members from production, two members from finance, and two members from engineering.

PROFESSIONAL ESSAYS:

Two Types of Leadership & Business Examples The line between
Two Types of Leadership & Business Examples The Leaders provide the long-term vision for the organization, while managers possess the talent for (1919 8 )

Written Business Communications
WRITTEN COMMUNICATIONS The Business Organization - LETTERS & MEMORANDA There are three standard types of business letter formats that we suggest you adopt in (1881 8 )

Business and Management
and quality control, and the means for accomplishing this are demonstrated with reference to different types of organization and different types of business. (1607 6 )

Small Business Ventures in the US Ref: Babiar (#1501). The client
Organizational Form The form of business organization has a direct impact on the from differences in income tax liabilities for different types of business (6198 25 )

Small Business Activity in a Market Economy
Organizational Form In western economies, the form of business organization has a of differences in income tax liabilities for different types of business forms (9872 39 )

Diversification in the Beverage Industry
being absorbed into that organization (Carroll, 1995, p. 01150257). Types of Diversification There are essentially four types of business strategies related (2142 9 )