Types of Business Organization

  • Jul 26, 2021
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Among the most important things for a company to walk in the correct way within the market in the that you have entered to operate, are your marketing strategies and more importantly, your organization internal; depending on how the company is organized in terms of its movements in the market and in terms of its directions internal, it will be the way they enter with power and give correct results in the environments in which they decide to move.

It is something so simple and similar to any living body in nature, in the case the human is the most thoughtful to use as an example; if the head of the human being, that is, his brain itself, is not correctly communicated with the rest of the body, actions do not have good results, as when someone is intoxicated by example; Otherwise, when someone is in his right mind, he can give the best use and functionality to each of its parts.

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Seeing each part of the body as a member of the organization that performs a specific function, we must organize the company so that everything works perfectly by recognizing each of its labors; let's see a little more about it.

types of business strategy

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Hierarchical organization

This is the oldest and somewhat older organization, it has its advantages of course, but in general the new ones have pushed it aside a bit. As this organization consists of they all obey who is above them and that chain of command is generally of a superior person for several sections of the pyramid and only in the last there are people equal to each other, the lines of communication are perfectly marked and this supposes a advantage.

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When everyone has a superior, they know exactly who to turn to in each case and that helps a lot; usually these hierarchy lines too tend to make the environment feel heavy when all the responsibility falls on a single supervisor of all personnel or the like, that is your disadvantage.

Functional organization

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This is the organization that has been conceived as the most common currently, it contains within itself a chain of command quite similar to the hierarchical one but the difference is that there are people with equal power in certain commands, that is, just as the production employees are all the same, there are several supervisors who are over them, but in turn they are the same each other and there is no such thing as a supervisor in charge of others, but all supervisors are directly accountable to the administrator.

If in any case, if there is a person in charge of receiving the accounts of the supervisors and making the respective reports with data, this has another function in the company and not only the one before mentioned.

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Staff organization

It is a bit more complicated, but when a company manages to carry it out successfully, the movements internal functions of the same come to have great levels of functionality, efficiency and effectiveness at the same time. This system consists of mix the previous two, that is to say, that in some tasks of the company, the organization is merely hierarchical and the managers are more specific, while in others, there are many people with responsibilities and powers equal; generally this second type is dedicated to consulting and nickname for the hierarchical part of the organization.

As you can see, organizing the company internally is not such a simple job, but neither is it something that you should discard due to its complexity; the best thing is that you dedicate time to make the respective changes and thus you will see that the improvement will be economically translated.

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