Organizational Structure of Different Types of Companies Essay

Organizational Structure of Different Types of Companies - Essay Example It is evidently clear from the discussion that organizational structure has to be appropriately aligned with organization strategies and also has to be implemented together in strategy formulation as well as implementation by focusing on five core areas. These five core areas are strategy implementation; strategic change; human resources and strategy implementation; strategy and structure; and incentives and controls. Strategy implementation model assists in adapting to change through improving one particular model of objectives, controls, structures, mechanism, integration and also incentives for implementing company’s strategy. On the other hand, strategic change helps to understand the implementation stages. This will help the hierarchy in understanding who in the organization supports the change or who are against it and which way to conquer the change resistance, these all are understandable in strategic change. Human Resources and Strategy Implementation consists of HR g uidelines with strategy completion needs. Strategy and Structure is a vital tool for knowing how strategy concerns structure as well as how the decision of structure includes efficiency as well as effectiveness. Lastly, Incentives and Controls are creating some pathways to motivate and also control the performance of achieving a successful coordination. Global companies structure their activities keeping in mind a need for venturing into a foreign land. Therefore, they have to be flexible in their organizational structure as doing business in the different country has with different requirements so they have to be prepared accordingly. Although working in different countries of the world gives them advantages from the economic point of view as they can go for economies of scale in their production system and also save on actions like R&D, marketing, finance, and operations are accomplished which might not be obtainable to the domestic companies.