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ORGANISATION

Our reality shows truly alarming data for aspiring


entrepreneurs or future business owners, where 7 out of 10
companies fail to complete 3 years, according to Ângelo
Costa, Business and Product Development Director at BFA.

Growth
Management Leadership

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Organisation Management

What is organisational management?

Organisational management is nothing more


than the management of a business company, with
the purpose of achieving goals and producing
positive and profitable results.

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Organisation Management

◦ HOW DO WE KNOW IF A COMPANY IS DISORGANIZED ?

Here are some signs that indicate disorganization in a Company:

🔴Activities are not planned;

🔴Customers have a high rate of complaints and dissatisfaction;

🔴High staff turnover;

🔴Expenses grow faster than profitability;

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Organisational management
models(organograms)

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1. Vertical organisational structure

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Definition

The chain of command runs from the top to the bottow.


Those with the greatest decision-making power are in the upper
position while those with less are in lower position.

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Example

Amazon has a vertical structure consisting of 12 levels .


Jeff Bezos is a the top of pyramid at level 12 while couriers
and packers are at level 1.

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Characteristics

Here are some characteristics of vertical organisational


management:

🔴There are well-defined roles and responsibilities;

🔴Employees are generally not involved in decision-making;

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Advantages and Disadvantages

◦ Advantages ◦ Disadvantages

Decision are made by Employees do not have


few people , making the access to the reasons
process go faster. and
consequences of decisio
ns.

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2. Horizontal Organisational structure

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Definition

Horizontal management is a model in which decisions are


taken together, not just by leaders, giving employees more
autonomy.

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Characteristics

Having few managers, with most of the authority given to


employees;

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• Example

Is worth mentioning as it invests in a model that aims to


boost creativity. The work is based on innovation and
autonomy, which is related to the precepts of a flat
Organisational structure.

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Advantages and Disadvantages

o Advantages o Disadvantages

🔴 Leadership is flexible, creating a 🔴 Some collaborators can take


climate of greater freedom, which is advantage of the excess of freedom and
ideal for promoting the creativity of confuse the professional side with the
employees and allowing them to bring personal one;
innovative and advantageous solutions
to the company;

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“ 3. Divisional Organigram

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• Definition

The divisional organigram approach is a method of organizing


large companies where divisions operate as separate entities within
the organization.

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Characteristics

🔴 Divisional structures are particularly suitable for large companies with


independent areas of operation.

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Advantages and Disadvantages

o Advantages o Disadvantages
🔴 Greater autonomy for each unit; 🔴 Increased costs, as each unit is an
operation, it will need its own

🔴 More independent decision-making, resources.;

which allows for a faster response to 🔴 Open doors for excuses. As the
the customer; divisions are self-sufficient, there is a
risk that the blame for the low number
of sales of a product will be attributed
to the region;

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“ 4. Networked Organigram

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• Definition

Network organization chart .The network structure


appears among the most modern, having gained strength
and new forms thanks to situations such as the home office It
is a form of organization in which the company hires
professionals who are anywhere in the world to work
remotely. Thus, communication, interaction and delivery of
results is done through the internet. It is worth mentioning
that the networked organizational structure already existed
before remote work became common.

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• Characteristics

This structure keeps track of everyone inside the


organization and outside it. You can see how functional roles
are distributed amongst freelancers, third-party groups, and
company employees.
It improves communication and collaboration between
employees.
It boosts flexibility and innovation.
For example, the Starbucks coffee chain is structured as a
network of independently owned and operated stores, each
of which licenses the Starbucks brand and sells its products.

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• Example

The Starbucks coffee chain is structured as a


network of independently owned and operated
stores, each of which licenses the Starbucks brand
and sells its products.

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• Advantages and Disadvantages

◦ Advantages ◦ Disadvantages
🔴 Global competitiveness.

🔴 Electronic failures can interfere


🔴 Hiring services only when with the
necessary. progress of the project.

🔴 Low administrative costs. 🔴 Organization does not have


immediate control of all
🔴 Two or three hierarchical levels. operations of the company.

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“ 5. Matrix Organigram

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Definition

A matrix organigram is a chart that shows multifunctional


teams, which have employees in different areas of expertise. Due to
this cross-functionality, team members work with colleagues from

different departments an report to multiple managers.

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Characteristics

A matrix organigram is a more complex structure than a


simple hierarchical organigram, but allows managers to
easily choose people from different teams to work on specific
projects.

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Advantages and Disadvantages

◦ Advantages ◦ Disadvantages
🔴 Enables a more

participatory environment, as 🔴 Difficulty for some

it depends on the employees to adapt.


collaboration of many
different people.

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Company structure

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• Why is the organisational structure is fundamental ?

Organisational structure is fundamental to the Organisa
tion, coordination, and control of a company's activities, 
defining hierarchy, responsibilities, and communication 
flows between sectors. Its definition should be aligned wi
th the Organisation is strategic objectives to ensure the c
ompany is success.

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What are elements that make up company structure?

Some elements are :

🔴 Field of operatation

🔴 Multinationals or locals

🔴 Big companies

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“ 1. Field of operatation

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• Definition

Field of operation refers to the specific industry or sector in


which a company operates its business activities.
For example:

Sonangol is a company involved in the exploration of oil and


related products.

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Advantages and Disadvanges

◦ Disadvantages
◦ Advantages

A flexible structure
Flexible organizational
could create confusion
structure because because the employees
perform varied roles.
Optimizes efficiency;

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“ 2. Multinationals or locals

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Definition

Multinationals are large companies that normally operate in


different countries.
Example :
Coca-Cola operates in over 200 countries.

In contrast locals companies that operate in a single location .


Example :Cuca is an Angola beer that produces and sells in
Angola.

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• Advantages and Disadvanges

◦ Advantages ◦ Disadvantages

Access to global Complexity:


markets: Managing operations in
by expanding their different countries with
operations to different different laws
countries, multinational is quite complex.
companies have access
to markets worldwide.

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“ 3. Big companies

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• Definition

The organizational structures of large companies can be


influenced by their outsourcing strategies. Companies that
engage in outsourcing tend to adopt a leaner organizational
structure that prioritizes strategic activities. On the other hand,
in-house companies often have more complex and
departmentalized structures.

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• Advantages and Disadvanges

◦ Advantages ◦ Disadvantages
Outsourcing allows Large companies can
companies to optimize experience drawbacks
resources, reduce costs, such as bureaucracy and
slow decision-making,
and prioritize strategic
which can impede
activities, boosting creativity and adaptability.
innovation and product Building a collaborative
development. culture becomes crucial to
prevent silos and
inefficiencies.

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Organisation Management

◦ What IS THE IMPORTANCE OF HAVING AN EFFECTIVE


ORAGANIZATIONAL MANAGEMENT ?

The benefits of having an effective organizational management strategy


include:

🔴It gives a sense of security and oneness to the employees;

🔴 It also facilitates the relationship and understanding between the


various sectors of the Company;

🔴 It Will make the environment at the work place peaceful and


positive.

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CONCLUSION

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Thanks!

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