Organizational

Structure and
Its Nature
BY. DIVINA GRACE R. LIBREA
What I need to Know
After going through the module, you are expected to:
1. analyze the nature of organizations and types of
organization structures; and
2. apply organization theories for effective business
management.
What is an Organization?
An organization is basically a group of people
who collectively work to achieve common goals.
Division of responsibilities under a ranking
system is the backbone of any organization.
Nature of Organization
According to Bateman and Snell (2008),
organization involves division of labor and
specialization. Because many different work units
have different kinds of tasks, using different skills
and work activities coordinating with one another
for a common end.
What is an Organizing?

Organizing involves assigning tasks,

grouping tasks into departments,
delegating authority, and allocating
resources across the organization.
Organizational
Structure

An organizational
structure is simply
the pattern or
network of division of
these roles and
responsibilities.
Types of Organizational Structure

1.Vertical Structure
2.Horizontal Structure
3.Network Structure
1) Vertical Structure
A vertical structure clears out issues related to
authority rights, responsibilities, and reporting
relationships.
Authority rights refer to the legitimate rights of
individuals, appointed in positions like president, vice
president, manager, and the like, to give orders to their
subordinates, who in turn, report to them what they
have done.
1) Vertical Structure
2) Horizontal Structure
It refers to the departmentalization of an
organization into smaller work units as tasks
become increasingly varied and numerous.
Departments formed are of two types:
1. Line Departments
2. Staff Departments
3) Network Structure

It is a collection of independent, usually

single function organizations/companies that
work together in order to produce a product
or service.
Let’s Do This!!
 RUBRICS
Your answers will be graded using the following rubric. Kindly rate your own work by accomplishing the row for students score.
Developing Accomplished Ex emplary Students score Teacher score
(2 points) (3 points) (5 points) (30%) (70%)
The answer is The answer is
remotely related to The answer is fairly directly related to
Topic the topic. related to the topic. the topic.
The points in the
The points in the answer are The points in the de
answer are not somewhat logically ectswer are logically
Organization logically ordered. ordered. ordered.
Most details do not Some details
support the support the Most details support
Quality of Information discussion. discussion. the discussion.
Answer has more Answer has one or Answer has no
Grammar & Mechanics than two errors. two errors. errors.
TOTAL
Structure Hunt Activity
1. Group the class into two groups.
2. Go around the campus and look for the school’s
organizational structure.
3. Know if what type of Organizational Structure
does the school have. Take a picture of it.
4. Present in the class and tell how did you say so?