Business organization structure

In business organization structure means the relationship between positions and people who hold the positions. It provides an efficient work system as well as a system of communication. The three forms of the organization structure are 1) line organization structure, 2) line-and-staff organization structure, 3) matrix organization structure.

A line organization structure is the one in which there is a direct two-way line of responsibility, authority and communication running from the top to the bottom of the organization. The main idea of such organization structure is to provide direct vertical relationship between the position and tasks of each level, and the positions and tasks above and below each level. A line structure clearly defines responsibilities and authority at each level; it is easy to understand as it provides one supervisor for each person. However, a line organization structure may have some disadvantages like certain inflexibility, too long chain of command and communication, few specialists or experts to advise people along the line.

To minimize the disadvantages of simple line organization structure most businesses today have both line and staff personnel and apply a line-and-staff organization structure. Line personnel perform functions that directly fulfill the main goals of the organization, which are making the product, distributing it, and selling it. Staff personnel perform functions that advise and assist line personnel in performing their tasks. Staff employees conduct marketing research, provide legal advising, hire personnel, and arrange for credit or advertising. Staff people usually serve advisory function, they usually cannot tell line managers or their workers what to do. Different organizations handle line-staff relations in different ways, designing systems that enable line and staff managers to co-operate and respond more quickly to market changes.

Today’s economy is dominated by new kinds of organizations in high-tech industries such as biotechnology, robotics and aerospace. Such businesses focus on developing new products, creativity, special projects, rapid communication and interdepartmental teamwork. All these factors caused the appearance of a new type of organization structure- a matrix organization structure. A matrix structure is the one in which specialists from different parts of the organization are brought together to work on specific projects but still remain part of the line-and-staff structure. In other words, a project manager can borrow people from different departments to help to design and market new product ideas. This organization structure is now widely used in high-tech industries as well as in banking, management consulting firms, accounting firms, advertising agencies.

Exercise 3. Answer the following questions.

1. What does organization structure mean in business?

2. What does organization structure provide?

3. What forms of organization structure do you know?

4. Can you explain the main idea of a line organization structure?

5. What are the advantages and disadvantages of a line organization structure?

6. What are the functions of line/staff personnel in a line-and staff organization structure?

7. How do different organizations handle line-staff relations?

8. What organization structure is typical for high-tech industries?

9. Why was a matrix organization structure designed?

10. What is the main idea of a matrix organization structure?

11. In what businesses is a matrix organization structure applied?

Exercise 4. Translate into English.

Забезпечувати ефективну систему зв’язку; посада та завдання кожного рівня організації; двостороння лінія зв’язку; чітко визначені права та обов’язки; певна негнучкість; щоб мінімізувати недоліки; реклама; робота командою із залученням співробітників різних підрозділів; збирати разом; створювати та впроваджувати на ринок.

Exercise 5. Translate into Ukrainian.

An efficient system of work; direct vertical relationship; from the top to the bottom of an organization; however; too long chain of command; to fulfill the main goals; marketing research; legal advising; to serve an advisory function; to handle relations, creativity; to cause the appearance; as well as.

Exercise 6. Match and learn the synonyms.

A: perform, personnel, help, order, responsibility;

B: command, duty, fulfill, staff, assist.

Exercise 7. Match and learn the opposites.

A: above, flexible, specific, rapid, borrow, similar:

B: lend, slow, below, different, inflexible, general.

Exercise 8. The prefix inter- means ‘between, from one to another’. Add the prefix inter - to the following words, explain their meaning and translate them.

National, continental, planetary, dependent, departmental, relation, view.

Exercise 9. Insert words formed in ex.8 to complete the sentences.

1. If the team is created from the staff of different departments it is called …. 2. … trade provides world stability. 3. Many economic problems arise form … between supply and demand. 4. I was asked a lot of questions at the job …. 5. This equipment was designed for … space flights.

Exercise 10. Complete the sentences with the proper words from the list below:

rapid communication, responsibilities and authority, the marketing department, advice and assistance, report, orders

1.Staff people usually give … to line personnel. 2. If you want to distribute this product efficiently you must consult with…. 3. A matrix organization structure provides … between the members of the team. 4. Are your … clearly defined? 5. In a line structure you … to a person above your level and give … to employees below your level.

Exercise 11. Translate into English.

1. Ваш прямий обов’язок – встановити двосторонній зв’язок між керівництвом та всіма відділами. 2. Його доповідь була зосереджена на недоліках нового проекту. 3. Основний персонал фірми створює новий продукт, в той час як допоміжний персонал надає різні послуги. 4. Ця посада має широкі повноваження. 5. Нова система була спланована, щоб швидше реагувати на зміни ринку.

Grammar point: * Infinitive of purpose.

The Past Continuous Tense: Active and Passive forms (p.139)

The Future Continuous Tense (p.140)

* We often use infinitive to talk about the purpose of doing something (why someone is doing something).

E.g. I study English to communicate with people from different countries. – Я вивчаю англійську (для того), щоб спілкуватись з людьми з різних країн.

Exercise 12. Use the prompts in brackets to answer the following questions.

1. Why do most organizations today have both line and staff personnel? (to minimize the disadvantages of simple line organization).

2. Why do organizations employ staff personnel? (to advise and assist line personnel).

3. Why must top managers design efficient systems of line-staff relationships? (to enable line and staff managers to co-operate).

4. Why are interdepartmental teams organized? (to work on specific projects).

5. Why did a project manager borrow people from different departments? (to help design and market a new product).

Exercise 13. Here is a list of things that Mike Bright, a manager of the personnel department, did yesterday and the times when he did them.

9-10 – looked through the application forms and documents;

10-13 – interviewed applicants for a vacant position;

13-14 – had lunch in a nearby restaurant;

14-16 – prepared a report on the results of the interview;

16-18 – presented his report to the head of the personnel department.

Write sentences about what Mike Bright was doing at these times:

At 9.30 Mike was looking through …

At 12 Mike…; at 13.30…; at 15…; at 17.30 …

Exercise 14. Put the verbs in brackets into the correct form: past continuous or past indefinite.

1. He (to make) a report when I (to enter) the room. 2. She (to explain) our responsibilities while the secretary (to take) the notes. 3. He (to read) the newspaper when the telephone (to ring). 4. We (to conduct) marketing research while they (to organize) an advertising campaign. 5. They (to discuss) the characteristics of the new model while the engineers (to demonstrate) it. 6. When I (to join) the project she (to work) on the product design.

Exercise 15. Make these sentences passive.

1. They were building a new factory on the outskirts of the city. 2. He was improving the project all day long. 3. The technician was repairing the car while he was waiting. 4. She was designing a new product symbol for nearly a month. 5. The waiter was serving dinner at around 5 o’clock. 6. They were modernizing the plant for nearly a year.

Exercise 16. Make up questions beginning with the words in brackets.

1. All employees were reporting at the meeting. (Who?)

2. He was always borrowing people from our department. (Whom?)

3. The road was being repaired for two weeks. (How long?)

4. All the documents were being checked from 12 to 17. (When?)

5. This system was being used for many years. (What?)

Exercise 17. Write what you will be doing at a given moment in future as in the model. Use the prompts.

Model: This time in August I will be visiting my friends in Odessa.

At 7 o’clock tonight; tomorrow in the morning; this time on Monday; at around 12 o’clock today; this time next month.

To be presenting my report on the business organization structure; to be having my English lesson; to be watching an interesting talk show on TV; to be having my lunch; to be flying home on holidays.

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