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What is Typology of Organizational Structure
Formal organizational structure can be analyzed and described from various aspects - there are therefore created different typologies of the organizational structure, which varies according to different authors and evaluation criteria. The criteria are the number of managers, degree of vertical or horizontal arrangement and the existence of the support organizational units.

Formal organizational structure can be analyzed and described from various aspects - there are therefore different typologies of the organizational structurecreated, which varies according to different authors and evaluation criteria:

Linear × Functional × Line & Staff × Matrix organizational structure

The criteria are the number of managers, degree of vertical or horizontal arrangement and the existence of the support organizational units. From these aspects are usually delimited the following types of the organizational structures:

Centralized × Decentralized organizational structure

The criterion is the degree of centralization/decentralization of decision making powers and relating responsibilities and the related flexibility of the decision making:

  • The basis of the centralized structure is the concentration of decision making powers in the management center of the organization in the hands of the senior management. The highly centralized structure with a high number of hierarchical levels significantly complicates decision making processes and it complicates the management.
  • The basis of the decentralized structure is the empowerement - an example of decentralized structure are Strategic Business Units - SBUs) - a large organization is, according to certain criteria divided into comprehensive organizational units (business units), which have relative freedom in its operations, especially in management and decision making.

Tall × Flat organizational structure

The criterion is the number of hierarchical levels of the organizational structure (see the picture below):

Steep organizational structure scheme Tall (Steep) organizational structure

Flat organizational structure scheme Flat organizational structure

The specific approach to the description and modeling of the organizational structure was developed by Henry Mintzberg.

Related terms and methods:

Related management field:

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Last update: 25.06.2015

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