Organizational Structure: It refers to a formal system of tasks and reporting relationships that coordinates and motivates employees to work together to achieve the organizational goals. Formal system of task and reporting relationships showing how workers use resources.It involves the following structures:1) Functional Structure It refers to the organizational structure composed of all the departments that an organization requires to produce its goods or services.2) Divisional Structures It refers to the organizational structure composed of a series of business units to produce a specific kind of product for a specific kind of customer. It is used by most large corporations.
It involves 3 main types:a) Product Structure, where divisions are created according to the type of product and service.b) Geographic Structure, where divisions are based on the area of a country or world served.c) Market Structure, where divisions are based on the types of customers served.3) Matrix Structure It refers to the organizational structure that groups people by function and product teams simultaneously. It results in complex relationships. The structure is very flexible.
Each employee has two bosses (functional manager and product manager)4) Product Team Structure It refers to the organizational structure where members are permanently assigned to a team empowered to bring a product to market. It involves no two-way (dual) reporting. It involves forming cross-functional teams composed of a group of managers from different departments working together to perform organizational tasks.Existing AFC Organizational Structure:It is very clear that Abu Qir Fertilizers Company extremely represents applying the functional very steep highly centralized extensively rigid structure. This was, and still is, based on the belief that having more managers achieves more control.
This highly illustrated lower empowerment is intended to achieve the following: 1) Reflect the extremely computer-controlled operations via decision control systems (DCS), which leaves no space for human intervention, except in some emergency times, and according to a pre-set interference schedule that necessitates no creativity.2) Highlighting and reflecting authority and facilitate personnel leadership through a very obvious crystal – clear chain of command and span of control, within various ladders of clear roles and managers. Employees know whom to report to with problems.3) Specialization and benefiting of the highly-specifically-skilled managers, where a manager might have a basic knowledge of each function, but not an in-depth understanding. Managers knowledgeable in a specialized area train and guide their subordinates to advanced levels. Employees who feel confidence in their managers' competence will want to learn from them, which facilitates building a strong department that can improve the success of the entire organization.
4) Offering a clear promotional career path, where every employee knows where to go when it comes to promotion; they can clearly see the next step up the ladder.5) Increasing departmental loyalty, where departments working to fill a common role form bonds with those contributing toward the same outcome.6) Equitable distribution of work, where placing several departments under one control goes a long way in equitably distributing the workload not only between different departments but between individual workers as well, which in turn brings economy and speed.7) Economy, where the uniformity of activities and specialization of work lead to economic operation and best utilization of the staff services.
This brings efficiency and smoothness as well. All these bring economy.8) No duplication of work, where centralized personal leadership, uniformity of activities and specialization leave no scope for duplication of work in the office. Thus extra labor and extra cost involved in duplication is avoided and economy is ensured.9) Greater flexibility, where in cases of any emergency arising the uniformity of activities help in adjusting the activities, procedure and decisions taken.10) Standardization and training facilities enhanced, where standardizing the work helps in extending the training facilities to everyone and every work in the organization which needs specialization, standardization and attention The new staff member can easily pick up the work and can easily be accommodated and adjusted.11) Effective control, where uniformity in activities, specialization and standardization facilitates greater degree or supervision, effective co-ordination, self and departmental integration and thus ensure effective control.