Problems Of Formal Organizations Essay

When group of people wants to start a business, they think about the most effective structure of their organization. The best way to building a strategy is to think of where is the organization is going, what are the resources, how much time, money and the people who are going to work on it.

An organizational structure is a setup used when starting new businesses to define a scale within an organization. it identifies the roles, it 's assignments, where it reports and to whom within the organization. This structure is developed to build the organization operations and how to fulfill the organization targets which will lead for the future growth, success and continues.

There are many problems of structure less organizations that can lead to failure, nonsuccess etc.

Those problems can be because of lack of communication and other issues as follows.

• Poor Communication

A bad organizational structure can lead to miscommunication, people might not know who needs information or where to send important messages. For example, a marketing manager at a mid-size market might create a new discount on a product, getting approval from the CEO of the market and advertise it in the media. If the new offer isn’t shared with the salesmen and the customer service, customers will be walking or calling asking about the

Formal organizations are constructed around the jobs and roles of working employees. Formal structure has a responsibility of assigning the right people for the right jobs with an appropriate role and job responsibilities. For example, not every employee has the ability to solve problems or take decisions and take responsibilities on his own. Especially the juniors want a specific guideline of their job description, roles and responsibilities. Formal structures ensure that there is a systematic structure in an organization that can automatically take care of