As and when the organization grows and expands its business operations owing to the huge orders and the elevating list of the customers, it needs more hands and minds in the business that will help to attain its short term and long term objectives. And in order to accomplish the same and manage the human resources in an efficient and effective manner, it is quite vital for the firm to realize and follow the Importance of Organizational Structure.
It should be an integral part of its work culture and needs to be followed to the core.
Let us now discuss in detail about the Importance of Organizational Structure and why is it so beneficial:
1) Proper coordination
To have proper work coordination and the flow of the tasks and responsibilities, it is very crucial for the management of the firm to realize the Importance of Organizational Structure. It is also of the vital importance to make this specific facet as an integral part of the entire work culture and environment as it also brings along the various merits and benefits such as an increase in the productivity and efficiency levels of the employees.
All of it has a positive cascading effect on the quick attainment of the long term and short term objectives of the firm. Proper coordination is a vital key to higher and effective work efficiency and goal accomplishment.
2) Higher productivity levels of the employees
Taking forward the point of discussion on the Importance of Organizational Structure, when the human resource department and the top management of firm realize the same there is an increase in the productivity levels of the firm that works as one of the biggest merits. Owing to the proper structure, each and every employee of the firm knows and is well aware of its roles and responsibilities that are listed in his KRA’s there is no rubbing factor at all.
This further results in less of issues such as insecurities, jealousy, and attrition rate that takes a toll on the productivity levels of the firm. It is very necessary for the firm to keep its employees happy and satisfied by giving them a positive working environment, challenging roles, and proper rewards to keep them motivated. And all of it is possible by following the Importance of Organizational Structure.
3) Increased efficiency
With the aspects of motivation, agility, and higher productivity levels of the employees, there is a direct effect on the work efficiency. When the employees are happy and highly motivated they put their heart and soul in accomplishing their duties and responsibilities resulting in the growth and the required success of the firm.
Hence, all the industry experts, veterans, and HR professionals harp on the Importance of Organizational Structure. With the increased efficiency levels, the firm is able to carve a niche for its brand in the market in a short span of time beating the competition.
4) Retain and attract expert and experienced employees
For having a positive and a healthy perception in the market amongst the job aspirants, the firm has to realize and follow the Importance of Organizational Structure to the core, let us discuss the same in detail. Whenever any job aspirant applies for a job in any specific company, he takes a thorough and a detailed low down on the work culture, environment, and the organization structure of the firm.
He gets all the details from his industry peers and various online forums and websites. And only if he is satisfied with the structure and his clear role and responsibilities, he will go for the firm. And if he is happy and satisfied with the structure, role, duties, remuneration, and the overall working atmosphere he will stick with the firm with long term objectives in his mind.
5) Proper flow of communication
Miscommunication can actually hinder the entire workflow of the organization and showcase it in a bad light. Plus the issue of miscommunication not only affects that one specific department from where it has been stemmed but also affects the working of various other interdependent departments and its employees.
One of the major reasons for this issue is the lack of proper organizational structure and the hierarchy levels with each and every employee knowing its role, duties, and responsibilities. There is no rubbing effect at all ensuring the proper flow of communication.
Hence, it can be totally understood and vouched that the firm has to adhere and follow the Importance of Organizational Structure no matter of its size, employee strength, and market share.
6) Job satisfaction
Let us get this fact loud and clear that the job satisfaction of the employees of the firm is just not dependent on their remuneration, rewards, and performance appraisal levels. But one of the major reasons behind the same is the proper and organized structure and the hierarchy levels.
As it results in their elevated motivational levels, healthy competition, challenging tasks and responsibilities, and positive work culture and overall environment making them feel happy and satisfied to the core. And if they are highly satisfied with their job, they tend to stay longer with the firm.
7) No duplication of work:
When the firm follows the Importance of Organizational Structure and applies the same at each and every of its business operation, there is no duplication of work as every employee is crystal clear about his role, duties, and responsibilities. If there is no proper organizational structure and the hierarchy levels, the employees are not very aware and clear about their tasks resulting in the rubbing off the effect with one single work managed and completed by two or more employees.
All of it gives rise to the internal clashes, decreased productivity levels, and less efficiency of work making the entire work atmosphere unhealthy and full of competition. Making a proper organization structure is the main task and onus of the top management of the firm along with the human resource department.
8) Specialization of the tasks and responsibilities
Realizing and following the Importance of Organizational Structure results in the specific jobs assigned to the employees that specialize in the same owing to their professional qualifications, experience, expertise, and knowledge. The firm is able to optimally utilize their knowledge and expertise plus the employees are also highly happy and satisfied as they are given the tasks related to their domain plus it makes them learn and grow in the best possible manner.
Also, they are able to prove their worth in the company that earns them the rewards and acclamations from their immediate managers and top management.
With the proper adherence to the Importance of Organizational Structure, there is a proper Distinctiveness of power and authority. For instance, the marketing department is headed by the CMO followed by Head- Marketing, Marketing Manager, Marketing Executives, and Marketing Management Trainees.
Each of them is aware of their roles, powers, duties, responsibilities, and reporting authority without any sort of confusion and issues.
Many of the firms don’t understand the significance and vitality of the Importance of Organizational Structure along the course of their business operations. But when the things go haywire owing to the various issues cropping up, they realize its importance.