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The case:

Sorbet pvt Ltd is an integrated engineering services and manufacturing company operating in Pakistan and Middle East. Company’s unique strengths enabled them to provide integrated package of services encompassing engineering, procurement, manufacturing, construction, and commissioning & maintenance projects. The organizational chart shows a typical structure in a commercial organization. Sorbet functional areas include accounts, projects, marketing, human resources (HR), information systems (IS) and operations. Like other functional areas, the accounts department has three layers of management e.g. a director, a manager and three assistants. The accounts manager, therefore, has a span of control of three as he directly supervises three assistants.


Sorbet is currently facing the communication problem in its employees as it takes a long time for information to pass up and down the chain of command. Structure of organization enables top management to have a tight control over its subordinates. Those at the top of the management layer have more authority than those at lower end. Everybody in the organization knows their place in the organization and has clear roles and responsibilities.


Point to ponder:

Is the existing organization's structure appropriate? If not, suggest appropriate organizational structure that management can design. Give logical reasoning to support your answer.


Views: 4214

Replies to This Discussion

Matrix Structure because  the organization is having the communication and the Hierarchy. so the matrix structure gives good solution.

Yes princess, I agree with you in totality, other the management system introduced by MATRIX, that is sharing of information and ideas horizontly as well as vertically, the other important aspect is that it also caters for the dual line of budget authority as against centralized control of Sorbet Pvt Ltd. So, better option would indeed be MATRIX. Let us base our solution accordingly. 

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solution :
Current structure of the sorbet pvt Ltd = functional structure , which is not appropriate.
appropriate organizational structure for sorbet pvt Ltd = MATRIX structure 
Explain the above points a little and your answer is final..

organizational structure

The typically hierarchical arrangement of lines of authority, communications, rights and duties of an organization. Organizational structure determines how the roles, power and responsibilities are assigned, controlled, and coordinated, and how information flows between the different levels of management.
A structure depends on the organization's objectives and strategy. In a centralized structure, the top layer of management has most of the decision making power and has tight control over departments and divisions. In a decentralized structure, the decision making power is distributed and the departments and divisions may have different degrees of independence. A company such as Proctor & Gamble that sells multiple products may organize their structure so that groups are divided according to each product and depending on geographical area as well.
An organizational chart illustrates the organizational structure.

The Significance of an Appropriate Organizational Structure

Utilizing the proper organizational structure is an important step to having an effective business. The structure serves as the foundation for how a company communicates and divides power. It is also a mechanism that will either promote change or make it more difficult to prosper, according to authors Steve L. McShane and Mary Ann Von Glinow in "Organizational Behavior: Emerging Realities for the Workplace Revolution."

Organizational structures are developed to create an environment that complements the goals and values of an organization. They are usually used to create change that will allow the company to be innovative and competitive in their respective market.

When choosing a specific structure, an organization should review certain information. Some of these topics could include the size, location and culture. The number of departments and upper-level managers is also another factor to consider, because the purpose of an organizational structure is to increase the effectiveness of communication among the levels of power within a company to maximize productivity.

There are many types of organizational structures that have their own advantages and disadvantages. Some of the most recognized structures are the simple, functional, divisional and matrix. A company should carefully choose a structure that complements its standards. For example, a smaller business with only a few departments should consider a line structure, which follows a traditional formula that makes decisions from top to bottom.

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dear if koi logic wala answer hay to wo batao baki is tara ka data ko hum bi net say lay saktay hay ...




serf aik baat bata dain es Question main yeh kis ka pouch rehe hain.

Network structure ka,  Team structure ka, Matrix structure ka, Divisional structure ka, yah pher Functional structure


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