Organizational Structure

In business organizational structure means the relationship between position and people who hold these positions.

The structure of organizations varies greatly according to the nature of the business. There are several factors which influence this structure:

s the number of locations and employees

s the economic sector

s the type of a market in which they operate

s the type of customers

s the degree of management control required

s the complexity of the business activities

The company is run by a Board of Directors; each Director is in charge of a department. However, the Chairman of the Board, someone who wears many hats, is in overall control and may not be the head of any one department. The Board is responsible for policy decisions and strategy. The Managing Director (sometimes called the Chief Executive Officer (CEO), or President in the USA) is the head of the company, who has overall responsibility for the running of the business. In the US, senior managers in charge of particular areas are often called vice-presidents (VPs).

Most companies have Finance, Sales, Marketing, Production, Research and Development (R&D) and Personnel Departments. These are the most common departments, but some companies have others as well.

Most departments have a Manager, who is in charge of its day–to-day running, and who reports to the Director; the Director is responsible for strategic planning and for making decisions. Various personnel in each department report to the Manager.

People at the head of an organization are often called senior executives or senior managers, top executives or top managers.

Exercises in Word Study

Ex.1. Form verbs from the following nouns:

location, employee, decision, organization, operation, management, activity, director, executive, development.

Ex.2. Give the English for:

структура організації, службовець, економічний сектор, клієнт, управлінський контроль, керувати компанією, рада директорів, голова правління, керівник компанії, відділ збуту, виробничий відділ, відділ кадрів, стратегічне планування, приймати рішення, персонал, підпорядковуватися менеджеру, займати посаду.

Ex.3. Match words from list A with words from list B that have a similar meaning:

Ex.4. Match the nouns in the left hand column with the verbs in the right hand column:

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