Online CBSE Class 12 Business Studies – Structure of an Organisation

Structure of organisation

An organization structure is a framework of authority and responsibility relationships between various positions in the organisation and also clarifies who reports to whom. It is a set of planned relationships between groups of related functions and between physical factors and personal required for the achievement of organisational goals.

The organisation structure is generally shown on an organisation chart. It represents authority relationships between various positions in the organisation by showing who reports to whom. Organisation structure is developed to attain the objectives of the enterprises. For instance, if an enterprise is in the production line, the dominant element in its organisation chart would be manufacturing and assembling.

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