Organisational structure defines how activities such as task allocation, co-ordination and supervision are directed the achievement of organisational aims – shows the organisation hierarchy.
Organisational structure is important as it provides a guideline to employees by laying out the relationships that oversee the workflow of the organisation. This means that it establishes the effective lines of control and communication. (Ingram, 2015)
It is also important because it helps an organisation make decisions. Most businesses have either a tall or flat organisational structure that influences decisions being made. Larger businesses such as Sainsbury’s have a tall organisation structure ...view middle of the document...
Another advantage is there is easier decision making because they have less layers to go through.
The disadvantage of a flat organisational structure is a lack of layers reduces the opportunity for high level management. Another disadvantage is that it may prevent the growth of a business especially if the managers have a wide spans of control. (LEARNMANAGEMENT2, 2015)
They are different types organisational structure such as functional and matrix. Functional organisational structure is the roles, decision making and specialisation such as HR (human resources), finance and marketing staff have to make a business organised. Functional organisation structure works better for small businesses like Huddersfield New College because small business are more likely to be stable where business strategies are less inclined to need changes and updates.
Matrix organisational structure is staff with specific skills join project teams, individuals have responsibility. They work across the board instead of down like functional organisational structures do. Matrix organisational structure works best for large business like Sainsbury’s because it gives businesses more flexibility.
Centralised organisational structure means important decision are made by a member of senior management.
Decentralised organisational structure means important decisions are allowed to be made at ‘branch level’.
Strategic planning is the organisational planning that goes into setting priorities, resources, to reinforce operations and to ensure employees and stakeholders are working towards common objectives.
The CEO is the one responsible for creating a strategic plan. The plan is used to organise goals, the steps need to achieve that goal and all of the other critical elements developed during the planning exercise. Managers are also responsible for strategic planning, this is because they communicating with the workers is essential for making the plan work
Strategic planning is important to ensure the business will be successful. It provide the business with a ‘map’ of where they should be heading in the future by giving the business a sense of direction and plan measureable objectives.
A mission statement is about setting a formal summary of the aims and objectives of a business.
The purpose of company values is to shape the relationship between the members of the organisation and the stakeholders and it’s also gives the business its purpose and identity. The business does this be setting the core values of what it believes in.
Sainsbury's mission statement is: "Our mission is to be the consumer's first choice for food, delivering products of outstanding quality and great service at a competitive cost through working faster, simpler, and together." (specimentemplates, 2002)
Sainsbury’s values are:
* Best for food and health
* Sourcing with integrity
* Respect for our environment