Classification of organizational management structures. Organizational structure of enterprise management Factors in the formation of organizational structures

  • 06.03.2023

Organizational management structure- is an ordered set of interconnected elements that are in stable relationships with each other, ensuring their development and functioning as a single whole.

The organizational structure of management is aimed at establishing clear relationships between individual divisions of the organization and distributing rights and responsibilities between them.

The connections between the elements of the management structure are:

1) vertical when there is interaction between a manager and a subordinate (for example, communication between the director of a company and the manager of a structural unit);

2) horizontal when there is interaction between equal elements (for example, connections between management structural units of the same level)

The types of relationships within an organization are similar to the type of construction of its management structure and are divided into:

1) linear relationships- this is the relationship between the leader and his subordinates;

2) functional relationships- this is the relationship of a specialist who is authorized to perform a particular function within the entire organization with other members of the organization;

3) management relations, this type of relationship occurs in the case of the representation of someone’s rights and powers. Job responsibilities include providing recommendations and advice.

The management structure has a huge impact on all aspects of management, as it is associated with key concepts management - goals, functions, process, mechanism, functioning, powers of people. Therefore, managers at all levels pay great attention to the principles and methods of forming structures, choosing the type or combinations of types of structures, studying trends in their construction, and assessing their compliance with the goals and objectives being solved.

The elements of the management structure are: management employee - a person performing a specific management function; management body - a group of workers connected by certain relationships, consisting of primary groups.

Primary group - a group of management workers who have general manager, but there are no subordinates.

The management structure should reflect the goals and objectives of the company, be subordinate to production and change with it. It should reflect the functional division of labor and the scope of authority of management employees; the latter are determined by policies, procedures, rules and job descriptions and are expanded, as a rule, towards higher levels of management. The powers of managers are limited by environmental factors, the level of culture and value orientations, accepted traditions and norms. The management structure must satisfy a variety of requirements that reflect its importance to management. These principles are taken into account in the design principles of the organizational management structure. Principles for designing an organizational structure:

1) the structure must reflect the goals and objectives of the organization and be subordinate to production and its needs;

2) the structure should provide for an optimal division of labor between management bodies and individual workers, ensuring the creative nature of the work and normal workload, as well as proper specialization;

3) the formation of the structure must be inextricably linked with the definition of the powers and responsibilities of each employee and management body, with the establishment of a system of vertical and horizontal connections between them;

4) the structure must maintain consistency between functions, duties, powers and responsibilities, since its violation leads to an imbalance in the management system as a whole;

5) the management structure must be adequate to the socio-cultural environment of the organization, have a significant impact on decisions regarding the level of centralization and detail, the distribution of powers and responsibilities, the degree of independence and the scope of management control;
telians and managers.

The most important requirements that organizational management structures must satisfy are the following.

1. Optimality. The management structure is considered optimal if rational connections are established between the links and levels of management at all levels with the least number of management levels.

2. Efficiency. The essence of this requirement is that during the time from decision making to its execution, irreversible negative changes do not occur in the managed system that make the implementation of the decisions made unnecessary.

3. Reliability. The structure of the control apparatus must guarantee the reliability of information transmission, prevent distortion of control commands and other transmitted data, and ensure uninterrupted communication in the control system.

4. Economical. The task is to ensure that the desired effect of management is achieved with minimal costs for the management apparatus. The criterion for this can be the ratio between resource costs and useful results.

5. Flexibility. The ability to change in accordance with changes in the external environment.

6. Stability of the management structure. The constancy of its basic properties under various external influences, the integrity of the functioning of the control system and its elements.

Tutorial output:

Fundamentals of management. Chernyshev M. A., Korotkov E. M., Soldatova I. Yu., prof. I. Yu. Soldatova, Chernysheva M. A., Ed. prof. I. Yu. Soldatova., Soldatova I., Chernyshov M.A. - editor-comp., Publisher: ITK "Dashkov and K", SCIENCE/INTERPERIODICS MAIK, Nauka-Press 2006

    Management structure concept

    Main types organizational structures enterprise management

    Comparison of management structures

1. Concept of management structure

The management structure of an organization is understood as an ordered set of interconnected elements that are in stable relationships with each other, ensuring their functioning and development as a single whole.

The management structure ensures the implementation of general and specific management functions, maintains appropriate vertical and horizontal connections and separation of control elements.

Vertical division is determined by the number of levels of management, as well as subordination and directive relationships. Thus, the company is created as a hierarchical structure. Horizontal division is carried out according to industry characteristics.

The organizational structure regulates:

    division of tasks into departments and divisions;

    their competence in solving certain problems;

    the general interaction of these elements.

The vertical deployment of the division of labor forms management levels. The management level is understood as a set of management links (i.e. structural divisions or individual specialists) occupying a certain level in the organization’s management system. The levels of organization management are presented in Fig. 2.3.

Rice. 2.3. Levels of organization management

Regardless of how many levels of management there are, managers are traditionally divided into three categories. Talcott Parsons views these three categories in terms of the function performed by a leader in an organization. According to Parsons' definition, persons on technical level(line managers or operations managers) are primarily concerned with the day-to-day operations and activities necessary to ensure efficient operation without disruption in the production of products or services. Persons on managerial level(middle managers) , Mainly engaged in management and coordination within the organization, they coordinate the various forms of activities and efforts of various units of the organization. Managers at institutional level(senior managers) are mainly engaged in developing long-term (long-term) plans, formulating goals, adapting the organization to various kinds of changes, managing the relationship between the organization and the external environment, as well as the society in which this organization exists and operates.

Rice. 2.4. Time spent by managers by type of activity and management level

It should be noted that at all levels of management, managers perform not only managerial, but also executive functions. As the level of management increases, the share of executive functions decreases.

The following factors influence the organizational structure:

    enterprise size;

    technology used;

    environment.

2. Main types of organizational structures for enterprise management

The organizational structure of the management apparatus is a form of division of labor for production management. Each division and position is created to perform a specific set of management functions or jobs. To perform the functions of the unit, officials are vested with certain rights to manage resources and are responsible for performing the functions assigned to them.

The diagram of the organizational structure of management reflects the static position of divisions and positions and the nature of the connection between them.

There are connections:

    linear (administrative subordination);

    functional (by field of activity, without direct administrative subordination);

    cross-functional, or cooperative (between departments of the same level).

Depending on the nature of the connections, several main types of organizational management structures are distinguished:

    linear;

    functional;

    linear-functional;

    matrix;

    divisional;

    multiple.

In a linear management structure, each manager provides leadership to lower-level units for all types of activities. Advantages: simplicity, economy, extreme unity of command. The main disadvantage is the high requirements for the qualifications of managers (Fig. 2.5).

D – director; R. - heads of departments; I - performers

Rice. 2.5. Linear management structure

Functional organizational structure - the connection between administrative management and the implementation of functional management (Fig. 2.6).

In Fig. 2.6 administrative connections of functional chiefs with executors (I1–I4) are the same as for executor I5 (they are not shown in order to ensure the clarity of the figure). Functional management is carried out by a certain set of departments specialized in performing specific types of work necessary for decision-making, therefore the main advantage of this structure is the high competence of specialists.

D – director; FN – functional chiefs; I - performers

Rice. 2.6. Functional management structure

However, in this structure the principle of unity of command is violated and coordination is difficult.

Linear-functional structure – step hierarchical. Under it, line managers are the sole commanders, and they are assisted by functional bodies. Line managers at lower levels are not administratively subordinate to functional managers at higher levels of management. It is used most widely (Fig. 2.7).

Rice. 2.7. Linear-functional management structure: D – director; FN – functional chiefs; FP – functional units; OP – main production units

Sometimes such a system is called a headquarters system, because functional managers at the appropriate level make up the headquarters of the line manager (in Fig. 2.7, functional heads make up the director’s staff).

Divisional(branch) structure is shown in Fig. 2.8.

Headquarters

Rice. 2.8. Divisional management structure

Divisions (branches) are distinguished either by area of ​​activity or geographically.

Matrix– functional-time-target structure. This special kind an organization built entirely on a project type, operating for a long time, which is typical for organizations that constantly exist in a project form. This type of structure is characterized by the fact that the contractor may have two or more managers (one is linear, the other is the head of a program or direction). This scheme has long been used in R&D management, and is now widely used in companies working in many areas. It is increasingly displacing linear-functional from application.

Advantages of a matrix organizational structure:

    intensifying the activities of managers through the creation of program units and a sharp increase in contacts with functional units;

    flexible use of the organization's human resources.

The disadvantages of this type of structure lie in the complexity of the structure itself, caused by the imposition of a large number of vertical and horizontal connections, as well as the complexity of managing the organization in a situation where there is no unity of command.

Plural the structure unites various structures at different levels of management. For example, a branch management structure can be used for the entire company, and in branches it can be linear-functional or matrix.

Creating the right management system that would allow employees at all levels to implement their creative potential, is a priority goal of any company. First of all, the correct definition of the company’s development vectors helps to achieve it.

Enterprise management structure includes several elements that are orderly interconnected. Their stable relationship allows the organization to function and develop as a single organism.

This structure implies building clear and competent relationships between divisions, departments and branches of the company. Each structural unit must clearly understand its own level of responsibility, while not forgetting about its rights.

Structural management elements can be linked through:

  • vertical connections through which directors and employees subordinate to them interact (for example, the head of a company and the manager of a branch);
  • horizontal connections, implying the interaction of equal team members (for example, managers of branches of the same size).

Relations within the organization are divided into:

  • linear, connecting directors and employees subordinate to them;
  • functional, connecting the employee who is responsible for a particular task with other employees of the company;
  • managerial (managerial apparatus), which bind the head of the company and the representative of his rights and powers. Job responsibilities in this case include providing advice and recommendations.

The structure of enterprise management affects every management aspect, since it is in close relationship with key management terms - goals and objectives, functionality, methodology, job responsibilities and powers. Therefore, top managers, middle managers and other levels pay close attention to approaches and methods in forming an enterprise management structure, selecting its type, combining types, monitoring trends in their construction, and assessing their compliance with the goals and objectives.

The elements of the enterprise management structure are the managers themselves, that is, employees holding management positions, and management bodies - employees who are in certain labor relationships. These bodies, in turn, are divided into primary groups - teams of managers who have a common boss, but do not have subordinates.

The management structure should be a reflection of the goals and objectives of the organization. It is subject to production needs and changes with them, shows the functional division of labor and the scope of official authority of each employee. These powers are specified in policies and procedures, rules and job descriptions. Most often they expand towards higher management levels. The powers of directors are limited by factors environment, level of culture, values, traditions and norms adopted in the company. The enterprise management structure must meet a large number of requirements that make it significant for managers. These requirements must be taken into account when creating a draft organizational structure.

When designing an organizational structure, you must adhere to the following principles:

  • the organizational structure should serve as a reflection of the company’s goals and objectives and be subject to production needs and requirements;
  • the enterprise management structure should optimally divide responsibilities between management bodies and individual employees, ensure the creative nature of activities and acceptable workload, as well as proper specialization;
  • the enterprise management structure should be formed without interruption from the definition job responsibilities and the areas of responsibility of each employee and all management bodies and with the building of vertical and horizontal relationships between them;
  • the enterprise management structure must correspond to the functions, duties, powers and level of responsibility of each employee, since violations lead to imbalance management system generally;
  • the enterprise management structure should be correlated with the socio-cultural environment in which the company operates, help make decisions regarding centralization or, conversely, the division of management functions, duties and level of responsibility, determining the share of independence and amount of control of directors and top managers.

Basic requirements for the organizational structure of enterprise management

  • Optimality. The system will be recognized as optimal if the number of control stages in it is reduced as much as possible, and the most rational connection is built between them.
  • Efficiency. The speed of the system must be such that during the time that passes from making a decision to its implementation, fatal changes do not occur that would make the implementation of the decision unnecessary.
  • Reliability. The enterprise management structure should facilitate the reliable transmission of reliable information, prevent distortion of management orders and other transmitted information, and ensure uninterrupted communication in the management system.
  • Economical. The main task is to achieve the necessary managerial effect with minimal costs for the support apparatus. The calculation criterion may be the ratio between the resources expended and the result obtained.
  • Flexibility. The ability to change under the influence of the environment.
  • Sustainability. The basic properties and elements of the management system must remain unchanged regardless of external influences.

Main types of enterprise management structures

Although commercial organizations and the types of their activities are very diverse, the number of basic types of organizational structures for enterprise management that are used in practice is very limited. Small and medium-sized enterprises most often use linear functional types of organizational structures in their work. And large and international companies give preference to divisional and product models of building management systems.

1. Linear

The linear structure of enterprise management assumes that the boss supervises his subordinates in all types of their activities. It is based on the principle of unity when issuing instructions, according to which only a higher authority can give orders. Thanks to this principle, unity of management is maintained. This structure appears as a result of building the management apparatus from mutually subordinate departments in the form of a hierarchically organized ladder. Each subordinate receives one leader, and the leader receives several subordinates. The two bosses should not interact with each other directly, they should do so through a single higher authority. This structure is often called single-line.

Advantages include:

  • simplicity of structure;
  • unambiguous delimitation of tasks, competencies, areas of responsibility;
  • rigidity of management of management bodies;
  • efficiency and accuracy of management decisions.

Flaws:

  • difficult relationships between departments;
  • centralization of power at the top management;
  • increased workload on middle management levels.

The linear structure of enterprise management is preferred by small and medium business, which performs simple production processes in the absence of cooperative ties between enterprises.

2. Line-headquarters organizational structure

As soon as an enterprise begins to grow, usually the linear structure is transformed into a line-headquarters structure. It is similar to the previous one, except that control is concentrated in headquarters. They consist of a group of employees who do not directly manage the performers, but advise and prepare management decisions.

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3. Functional

The functional organizational structure implies a close relationship between administrative and functional management. The system is based on the creation of specialized units to perform functions at different management levels. Such functions may include production, sales, advertising, analysis, etc. In this situation, directive leadership can help hierarchically connect the lower levels of the management system with higher ones. Orders and other information are transmitted in ways that depend on the intended purpose.

The functional structure of enterprise management helps to establish repeatable routine processes that do not require quick decisions. Part functional departments usually includes highly qualified specialists who perform specific work depending on the goals set.

The advantages of such a structure are:

  • reducing the number of links for coordinating decisions;
  • reduction of duplicative functions;
  • strengthening vertical connections and strengthening control over the work of lower departments;
  • highly qualified employees performing specific tasks.

Flaws:

  • unclear distribution of responsibilities;
  • difficulty in interaction;
  • duration of decision making;
  • conflicts due to disagreement with directives arising from the fact that each functional boss gives priority to his own issues;
  • violation of the principle of unity of command, difficulty in cooperation.

4. Linear-functional

The linear-functional structure of enterprise management implies a stepped hierarchy, in which line directors manage on a unified basis, and functional management bodies help them in this. Line directors, who are at lower levels, are not administratively subordinate to functional directors at higher management levels.

The linear-functional structure is based on the “mine” principle of alignment, as well as the division management personnel into functional subsystems.

In each subsystem, a “hierarchy” of services (“mine”) is formed that permeates the entire company. The results of the work of any service of the management apparatus are assessed according to indicators that demonstrate the degree of implementation of the set goals and objectives.

The linear-functional structure of enterprise management has been used for many years. The practice of its application has proven that it is most effective in cases where the management apparatus needs to control a large number of routine, repeating procedures and operations, while the functions and tasks of management always remain the same. A rigid communication system helps ensure the coordinated and correct operation of all subsystems and the company as a whole. However, the linear-functional structure has a number of shortcomings. First of all, these include the impossibility of introducing new products of technical progress due to the system’s insensitivity to changes; the ossification of the system built between performers and managers, who are obliged to strictly comply with all rules and requirements; slow information exchange procedure due to a large number of vertical and horizontal approvals; almost complete lack of progress in management decisions.

The linear-functional structure of enterprise management is often also called the headquarters structure, since several managers of the same level are included in the headquarters of the line management.

5. Divisional

Divisions are formed either in a certain field of activity or in a certain territory. With such a management system, the key role is played not by the chiefs of staff (or functional subsystems), but by managers of production departments. Companies are structured by departments based on the following criteria: type of products produced or services provided (product division); the type of customers the divisions are focused on (consumer division); the territory served by the department (territorial or regional division). This method of separation allows for a close relationship between consumers and the market, which significantly speeds up the company’s response to adjustments made by the external environment.

In accordance with world practice, the use of a divisional method in the management structure of an enterprise and its departments makes the system linear-functional, but at the same time more hierarchical, with a strengthened management vertical. This allows you to significantly reduce the burden on management and focus their attention on strategic planning. At the same time, departments that are independent in operational and economic terms become unique “profit centers” thanks to the freedom given to them to increase their work efficiency.

In general, such an enterprise management structure can be called quite complex due to the many intermediate levels of management that are created to coordinate the activities of different departments. Many management functions are duplicated on different levels, which ultimately leads to an increase in the cost of servicing the management apparatus.

6. Matrix

The matrix structure of enterprise management is characterized by the possibility of dual leadership - one and the same executive can have several bosses at once (for example, linear and program, or the head of a department).

Such an organization is sometimes called a “lattice” organization, since it is built on the principle of double subordination of performers. With such a system, performers report not only to the head of the department or line program in which they work, but also to the head of the temporary group, who also has certain powers and his own share of responsibility for timing, quality and resources. Project managers work with two groups of subordinates at once: with members of the project team and with other employees of functional departments who report to them temporarily and on a limited range of issues (at the same time, they continue to report to the immediate heads of departments, that is, departments and services).

Matrix structures are not implemented throughout the entire company, but only in part of it. How successful the implementation will be depends on the degree to which project managers meet the professional standards of managers and their ability to act as leaders project teams. The scale of use of matrix structures in companies is very significant, which indicates their high efficiency. However, the system of dual and sometimes multiple subordination sometimes creates management problems.

This scheme was often used in R&D management and is still used today in companies operating in many areas. It replaces the linear-functional structure of enterprise management.

7. Multidimensional

The multidimensional system combines the characteristics of various structures at different management levels. Thus, a divisional structure can be used throughout the company, and a linear-functional or matrix structure can be used in individual branches. Multidimensional organizational forms imply the introduction of two (matrix) or several (tensor) criteria for task distribution.

A multidimensional organizational structure helps increase the company's flexibility and ability to respond to changes in internal and external conditions. This is achieved by clearly assigning tasks to departments whose viability depends on their ability to produce goods or services in demand at competitive prices. This structure creates a market within a company, regardless of whether it is private or public, commercial or non-profit. The multidimensional structure increases the ability to respond to the needs of both internal and external customers. Since the divisions of the "multidimensional" structure remain independent from each other, they can be expanded, contracted, eliminated, or otherwise adjusted. The performance indicators of each department do not depend on similar indicators of other departments, which makes it easier to control their activities. Even the work of the executive body can be assessed autonomously in all aspects of activity.

The multidimensional structure of enterprise management is characterized by the absence of significant shortcomings. Perhaps the main one is that such structural organization cannot provide meaningful and interesting activities for lower-level employees, but it facilitates the introduction of new ideas and technologies that contribute to its development and improvement.

The introduction of a multidimensional enterprise management structure is not the only way to increase the company's flexibility and its ability to make adjustments under the influence of external circumstances. However, thoughtful exploration of this type of organization allows for “increased flexibility” in ideas about the company’s capabilities. It is this factor that contributes to the emergence of new, better organizational structures.

Factors on which the organizational structure of enterprise management depends

The way an enterprise management structure is built is influenced by a number of factors that differ in their nature and type of impact on the system. When building a management structure, it is important to take into account all parameters.

Such factors can influence the structure directly or indirectly. In addition, they can both independently determine the management structure and be determined by it. They are also divided into those related to the subject or object of management, into “external” and “internal”.

Market demands and management tasks directly impact the organizational structure. In this regard, a targeted approach to the formation of such a system is of great importance. What goals the company pursues will determine which structural management elements will be highlighted in it. Each of them must be responsible for achieving a specific goal. If the goal is to increase the scale of production, scientific and technological progress should be introduced at a high pace, the socio-economic sphere and environmental safety should be developed. Accordingly, in order to achieve these goals, it is necessary to strengthen and organizationally allocate certain structural departments.

In the course of building an enterprise management structure, an important role is played by the correct division of the work of employees horizontally, that is, the definition of the goals and objectives of each structural unit. Another important component is the vertical distribution of activities. The top management of the company must firmly decide which element of the hierarchical structure should be responsible for adopting strategic decisions. This factor will determine the form of the organizational structure and the effectiveness of management decisions.

The introduction of various economic methods and an increase in economic independence entails a reduction in the number of management levels, the elimination of some and the emergence of other structural units (for example, marketing services).

The main factors influencing the organizational structure are management functions, their composition, scale and content. If management functions develop, the organizational structure as a whole grows. It is also influenced by the volume and complexity of production processes, the type of production, the nature of the products manufactured and the technologies used; the nature of scientific and technological progress and methods of its implementation (rate of product and technology renewal, integration of scientific discoveries, etc.); degree of concentration, specialization and cooperation of production; size and territorial location of the enterprise.

In addition to the factors that directly affect the organizational structure, it is worth highlighting others that have an indirect effect on it. These include personnel, equipment, management technologies, and labor organization. Although these factors influence the system, on the whole they are themselves determined by it. So, management personnel clarify, adjust the structure, help distribute functions between departments and employees. But they are only corrective, because basically it is the management structure that determines the staffing and schedule, as well as the requirements for employee qualifications.

New IT technologies have a serious impact on the structure of enterprise management. They lead to the emergence of new departments ( information services), reducing the number of employees in other departments (for example, accountants). However, this factor is not considered decisive, since the introduction of new technologies occurs in the format of existing systems.

The organizational structure is considered the most rational if it optimally combines internal and external factors management. Internal connections must prevail over external ones, otherwise the latter will negatively affect the stability of the company.

The main factor that influences the formation of the organizational structure of enterprise management is the standard of controllability. The number of employees in the department’s staff and the number of departments themselves in the company depend on it.

Expert opinion

Three principles for building an organizational structure

Andrey Soolatte,

CEO BPM Consulting Group, Moscow

The firm's strategic plans must include the implementation of specific tasks with specific goals and within strict time frames. Taking them into account, you can calculate how many resources of which type are needed. In this case, you need to follow one of the three principles of creating or optimizing the organizational structure.

Principle 1. Divisions and positions are formed based on key processes for the company, interconnected. Any department must perform specific processes or participate in cross-cutting projects. To apply this principle, it is necessary to analyze the company’s business model, determine the main production chains, and describe the activities of each division within these processes.

Principle 2. The roles and powers of managers are distributed in such a way that they are responsible for the results of all interrelated processes and projects as a whole, and not in parts. Thus, processes and projects in which various departments are involved must be controlled by a specific boss (or collegial management body), who is given the necessary authority and resources (including financial). This approach usually makes it possible to reduce the implementation time of processes and projects, increase the cost of manufactured products, eliminate possible losses that result from inconsistency in the work of participants, as well as the struggle between them for spheres of influence and resources.

Principle 3. The composition and number of departments must correspond to the company’s goals for a specific time period and take into account the amount of resources. Organizational structure and staffing table firms are practically independent of their strategic goals and objectives. If the market situation changes unexpectedly, the existing organizational structure and staffing become ballast for the company. At the same time, tough management decisions regarding staff reductions reduce the degree of employee loyalty. Therefore, as soon as the goals and objectives for a specific period are determined, the composition and number of departments should be changed, as well as the redistribution of valuable employees in important positions.

What are the stages of developing an enterprise management structure?

The organizational structure of enterprise management, regardless of the types and scale of its work, is built in three stages.

Stage 1. Preliminary

During this period, the size of the organizational structure is determined, and it becomes clear how many employees will take part in the work of the enterprise. To determine the scale of the organizational structure, you need to write a clear business plan and find out the following information:

  • types of products sold or services provided (in accordance with the business plan);
  • projected sales volumes, consumer capacity of the enterprise's sales market (depending on how it is planned to carry out trade: wholesale, retail, individual orders);
  • the amount of investment by the owners of the enterprise in its office and production infrastructure;
  • projected employee salary costs;
  • projected profit.

Stage 2. Formation of responsibility centers

By this stage, a detailed business plan for the enterprise should have already been developed, infrastructure created (purchased or rented), the number of personnel in the organizational structure determined, the limit on salary expenses and estimated production and sales volumes calculated, and a market analysis carried out. This means that it is possible to identify the main groups of business processes and form responsibility centers in the organizational structure. At this stage, the responsibility and number of departments, the optimal level of organizational structure, and the optimal number of management personnel necessary to coordinate and control the work and performance results are determined.

In addition, it is necessary to distribute areas of responsibility. Any enterprise (except for charitable organizations) must have a primary activity that creates wealth and generates profit. This could be the production of goods, provision of services, wholesale, research, rental, etc. The main activities include leading business processes.

Stage 3. Formation of a system of coordination, control and reporting

You should approach this stage with already formed departments, identified managers, identified flows of raw materials, materials, finished products, financial resources, information, etc. When all this works and generates income, the only problem is creating effective system reporting, coordination and control. It cannot be created at once. For the system to give good results, you need to try various types accounting, reporting and control, and then choose the best one.

4 criteria by which the analysis of the enterprise management structure is carried out

The organizational structure of enterprise management is considered optimal if it helps to achieve set goals and solve necessary problems (production of goods, provision of services, sales of products, etc.) with the desired effects (on schedule, in the required quantity, etc.). It is obvious that any enterprise has unique characteristics, therefore an individual approach is required to production and business processes, as well as to building an organizational structure. At the same time, there are universal criteria that allow you to analyze the organizational structure and achieve the most positive results.

Criterion 1. Optimal quantity subordinate employees

Human capabilities are not limitless, therefore the number of subordinate workers that one boss can manage must be strictly limited. This number varies depending on what the company does, what the experience of the boss is, how optimized the work is, and what the specifics of the goods produced are. Most often, there are from five to nine subordinates per boss - this ratio is considered optimal.

Criterion 2. Homogeneity of the organizational structure

The ideal organizational structure of a company should resemble a pyramid, with subordinate employees at the base and the director of the company at the top. The more workers there are at the base, the more intermediate links are formed between the director and the performers. Moreover, in a well-functioning organizational structure of enterprise management, the number of intermediate links corresponds to each other in all departments of the company.

A certain degree of heterogeneity is quite possible, but the structures of departments should not be allowed to differ radically from each other. This organizational structure does not correspond to the ideal management model in terms of transparency.

Criterion 3. Transfer of job responsibilities

There are often situations in which there are positions in the organizational structure that duplicate each other. For example, often lower-level employees duplicate the functions of control and management of higher-level managers, without having any additional responsibilities. If there are such positions in the structure of your company, it is recommended to urgently reduce them or assign them an additional area of ​​responsibility.

Criterion 4. Redundancy of management personnel

The main task of subordinate employees is to carry out production processes that bring profit to the company. But the main function of managers is to analyze, control and manage these employees. Thus, any company should strive to maintain exactly the number of managers that allows it to effectively manage production processes. In a well-functioning organizational structure, the number of managers should not exceed 30% of the total staff of the company.

How is the effectiveness of an enterprise management structure assessed?

One of the most important stages in creating projects and plans is assessing their effectiveness. It allows you to find out how effective the existing organizational structure is, whether the projects or planned activities being developed will be successful. The assessment is carried out in order to select the most rational options organizational structure, as well as methods for its improvement. The effectiveness of the organizational structure of enterprise management must be assessed at the stage of design, analysis of management systems of existing organizations, planning and implementation of measures to improve the structure.

The effectiveness of various organizational structures is assessed through the possibility of the most complete and sustainable achievement of specified goals at reduced costs for the functioning of the organizational structure. The criterion for the effectiveness of measures to improve the organizational structure is the possibility of more complete and stable achievement of set goals or reduction of management costs. The effect from the implementation of measures must exceed production costs within the standard period.

The indicators that are used to assess the effectiveness of the management apparatus and its organizational structure can be divided into three interrelated groups.

  1. Indicators characterizing the effectiveness of the management system, expressed in the final results of the company's work and management costs. When assessing efficiency based on indicators characterizing the final results of the organization’s activities, an increase in the volume of output and profits, a reduction in costs, savings on capital investments, product quality, and implementation timelines can be considered as an effect caused by the functioning or development of the management system new technology etc.
  2. Indicators characterizing the content and organization of management processes, including the immediate results and costs of management work. Management costs take into account the current costs of maintaining the device, operating technical means, maintenance of buildings and premises, training and retraining of personnel, as well as one-time expenses for research and design work in the field of creating and improving control systems, for the purchase of computer equipment and other technical means used in management, construction costs.

When assessing the effectiveness of the management process, indicators are used that can be assessed both quantitatively and qualitatively. They acquire a normative nature and can be used as a criterion for efficiency and limitations when the organizational structure is changed in the direction of improving one or a group of performance indicators without changing the rest. The normative characteristics of the management apparatus include productivity, efficiency, adaptability, flexibility, efficiency, and reliability.

  1. Indicators characterizing the rationality of the organizational structure and its technical and organizational level, which can be used as normative ones when analyzing the effectiveness of the designed options for organizational structures. These include the level of management system, the level of centralization of management functions, accepted standards of controllability, the balance of distribution of rights and responsibilities, the level of specialization and functional isolation of subsystems, etc.

To assess the effectiveness of management decisions, it is necessary to determine the extent to which the management system and its organizational structure correspond to the management object. We are talking about the balance of management functions and goals, the substantive completeness and integrity of management processes, the compliance of staff with the volume and complexity of work, the completeness of providing production and technological processes with the necessary information, the provision of management processes with technological means, taking into account their range, capacity and speed. Important conditions that must be observed when forming a system of indicators for assessing the effectiveness of the organizational structure are ensuring the structural-hierarchical correspondence of indicators to the system of organizational goals, the ability to adequately reflect the dynamism of managed processes, balance and consistency of indicators.

How is it possible to improve the enterprise management structure

The most significant factors in improving the organizational structure of enterprise management are the volume of activity, the degree of its diversity, the location of production, the technologies used, the attitude of managers and employees towards the enterprise, changes in the external environment, and the strategies implemented at the enterprise. Every type of organizational structure manifests itself depending on the conditions in which an economic entity operates.

The organizational structure of enterprise management is improved using the following stages.

  1. Diagnostics– at this stage, the existing management structure is examined, its bottlenecks and problems are identified, the organizational structure, staffing table, regulations on departments, job descriptions and other regulatory documents are analyzed. Also during this period, personnel are assessed and the suitability of employees for their positions is determined.
  2. The condition is being studied management organizational structure based on a comparison of actual indicators with standard and planned values. Such an analysis helps to identify shortcomings in the management system. At this stage apply expert method and a method for structuring goals. Grouping management activities into given categories allows you to focus the activities of departments on solving specific production problems.
  3. Development of a new organizational structure– creating a plan for making adjustments and a list of documents regulating the work. At this stage, a comparative method should be applied, which involves the use of such elements of the management mechanism that have already proven themselves in practice in similar companies with similar volumes and type of production, etc. The comparative method involves the development and application of standard management models, controllability standards, and a list of management functions , various calculation formulas that allow you to calculate the standards for the staff of managers. Given the significant diversity of organizational structures and methods of counting staff, as well as the lack of qualified specialists, this approach is progressive. At the same time, it focuses on the average composition of management functions and places serious restrictions on the choice of organizational structures.
  4. Carrying out organizational changes – eliminating misunderstandings on the part of employees, training them to act in changed conditions, writing updated job descriptions, analyzing the effectiveness of adjustments (how well the costs correspond to the task). At this stage, the method of creating models is quite applicable. It is based on the use of clear formalized models of the object and management system. This method involves identifying certain points in production processes - places that require management intervention. Then the nature and frequency of such intervention, the composition and volume of information, technical equipment and other components of the management process are clarified. By the way, these processes are developed based on regulatory requirements. Based on the developed characteristics, the number of employees, their subordination in the process of management activities, and the composition of the departments of the management apparatus are established.

Information about the expert

Andrey Soolatte, General Director of BPM Consulting Group, Moscow. Andrey Soolatte held various positions at MMC Norilsk Nickel, Unicon/MC Consulting Group, Parus Corporation, participated in the development and implementation of more than 70 organizational change projects, including for the United Aircraft Corporation (UAC), companies " Rosneft, Techsnabexport, TNK-BP. "BPM Consulting Group". Field of activity: analysis and optimization of business processes, design and optimization of organizational structure.

The category “structure” reflects the structure, internal form of the system, composition and interconnection of its elements. Structure is an indicator of the organization of the system. The way a system is organized affects its ability to adapt to changes in the external environment.

The structure of an organization combines the constituent elements of its internal environment through communications, information flows and document flow.

The following elements are distinguished in the organizational structure: units (divisions, departments, bureaus, etc.), levels of management and connections between its elements. The main types of connections are vertical (connections between management and subordination; their necessity arises when there are several levels of management) and horizontal (connections of cooperation, coordination of equal elements).

Vertical connections are divided into linear, functional and mixed - linear-functional. The following definitions of structure can be given.

The management structure is an ordered set of steadily interconnected elements that ensure the functioning and development of the organization as a whole.

The structure of an organization is the fixed relationships that exist between the departments and employees of the organization.

The organizational structure is a unity of structural units that perform certain management functions and are interconnected and subordinate to each other.

2. Building a vertical structure: division of labor, chain of command, delegation of authority, standard of control, centralization and decentralization, coordination

The management structure acts as the form of the management process, and the functions – as its content. This dependence presupposes the primacy of management functions and the secondary nature of structure. Therefore, you first need to determine which functions and to what extent will be necessary for management in given production conditions, and then create the necessary controls. To determine the scope and content of management functions, it is necessary to know the external environment and goals of the managed object, the production process, its type, scale and technology, the nature of the product, the number of employees, the level of specialization, production cooperation, and the level of automation. management work, qualifications of workers, efficiency of their work.

Let us name the main factors influencing the design of the organizational structure:

1) external environment, its dynamism, complexity, level of uncertainty;

2) management and production technology;

3) strategy, which determines the types of consumers, markets, and the territorial location of production;

4) ways of interacting with the environment to achieve the goals of the organization;

5) the behavior of workers, which is determined by the needs of people, the degree of their satisfaction, qualifications and motivation of workers.

Organization design elements include:

1) division of labor and specialization (excessive high level specialization leads to the isolation of workers in the labor process, reducing incentives to perform a limited number of simple monotonous operations);

2) departmentalization and cooperation (departmentalization is the process of dividing an organization into blocks, which are called divisions, departments, sectors, departments. Depending on the criteria for dividing the organization into blocks, functional, territorial, product, project and mixed departmentalization are distinguished);

3) hierarchy and span of control (hierarchy reflects the vertical subordination of management levels, shows who reports to whom, where and how decision-making powers are distributed. The problem of determining hierarchy levels is directly related to determining the norm of control. The norm of control or span of control is the maximum number of direct subordinates who can be effectively managed by the manager. A narrow span of control means that the manager has a minimum number of subordinates under him, resulting in an increase in the number of levels of management in the organization. A wide span of control implies that the maximum possible number of subordinates are subordinate to the manager, which reduces the number of levels of hierarchy in the organization );

4) centralization and decentralization (centralization means the concentration of decision-making rights at the highest level of management, decentralization means the transfer of decision-making rights to lower levels of the hierarchy. Decentralization provides greater flexibility to the organization, as it allows you to quickly respond to changing conditions. A tool of decentralization is delegation) ;

5) differentiation and integration (differentiation means such specialization of units in which each of them performs a certain complete work. The need for differentiation is caused by changes occurring in external environment. The higher the degree of differentiation of the various parts of the organization, the greater the need for integration, i.e., the coordination of their actions and cooperation).

3. Departmentalization. Functional, divisional and matrix structures. Team structure and network structure

Types of organizational structures. Linear structure. The concept of a linear structure is associated with the division of the organization vertically from top to bottom and the direct subordination of the lower level of management to the highest. The essence of linear management is that at the head of each division there is a manager (body) who carries out all management functions. Each member of the team is directly subordinate only to this leader (body). In turn, the latter is accountable to a superior manager (authority). A superior manager does not have the right to give orders to employees without going through their immediate superior.

Advantages of linear control:

1) receipt by subordinates of consistent, interconnected orders and tasks;

2) full responsibility of each manager for the results of the work of his subordinate units;

3) ensuring unity of leadership from top to bottom.

But in such a structure, each manager must be a highly qualified specialist and have diverse knowledge. In addition, linear structures do not have flexibility and adaptability, which does not allow them to solve complex problems of survival in a market environment. Nevertheless, the development of domestic small businesses, as a rule, begins with simple linear structures. Only then does the continued development of the organization, accumulation or consolidation of share capital force organizations to restructure into other types of organizational structures.

Functional structure. With functional management, subordination is carried out within the framework of the implementation of a specific management function. This structure increases management efficiency through the participation of qualified specialists in specific areas of the organization's activities. The functions of one line manager are performed by several functional managers. Employees, including lower-level managers, are subordinate to several functional managers. This structure allows line managers to be relieved of the need for detailed knowledge of all aspects of organizational management, but violates the principle of unity of command and reduces responsibility for work, since the performer receives tasks from several functional managers.

Functional management does not completely exclude linear management, but narrows its role. Along with the linear hierarchy, a functional hierarchy is formed. This usually results in double submission. Often, functional managers tend to overestimate the importance of their area of ​​work. This leads to the emergence of the “disease” of functionalism, in which the goals of functional units are placed above the overall goal of the organization, contradictions appear between units, and their isolation is created. The disadvantages of the functional structure grow as management becomes more complex and the number of functional units increases.

IN pure form the functional structure is practically not used. It is used in organic combination with linear structure, forming a linear-functional structure. This structure is free from the disadvantages inherent in linear and functional structures. In such a structure, the line manager has a headquarters consisting of functional management bodies (departments, bureaus, groups, individual specialists).

The linear-functional structure requires the creation of special councils and boards in which line managers, together with functional managers and experts, can coordinate their actions and decisions. But this structure also has its drawbacks: sometimes there is an artificial expansion of the management apparatus, its separation from production, and an increase in management costs.

This structure is most appropriate in those organizations that produce products of mass demand with a limited range, operate in stable external conditions and, in order to ensure their functioning, require the solution of standard, frequently recurring management tasks (companies in the metallurgical industries, industries producing raw materials). The general trend is to expand functional management as one rises to higher levels of management.

Currently, in order to cope with new problems caused by the size of the company, diversification, technology, and changes in the external environment, management is developing divisional structures. In such structures, the organization is divided into blocks by types of goods or services, customer groups or geographic regions. Product and regional structures and consumer-oriented structures are emerging. New elements such as product, consumer, and market management, built into linear functional structures, make it possible to group work around the result. The development of product structures was associated with the emergence of multi-product diversified industries. The transition to a product structure begins with the realization of the impossibility of combining the growth of an organization, the strategic problems of its development with the current problems of product production.

At the production level, there are autonomous areas associated with the production of different products. Managers are appointed to these areas with full responsibility for producing the product and making a profit. The plots are provided with appropriate functional services.

A customer-focused structure groups work around the end user of the product. For example, goods for children, youth, pensioners or household goods, etc. If the organization's activities cover large geographical areas, especially on an international scale, then a structure based on the territorial principle, i.e., according to the location of its divisions, may be appropriate. The regional structure makes it easier to solve problems related to local legislation, customs, and consumer needs. This approach makes it easier to communicate with clients. An example is the sales organizations of large companies.

Grouping work around a result (product, market, consumer, project) resolved a number of problems that arose in the functional approach, where work is grouped around a resource or function. It was possible to eliminate turnover from the work of the organization's management by separating the operational level of management from the strategic level. This was also facilitated by the transfer of responsibility for profit to the branch level, which freed up the time of senior management to solve strategic problems. Increasing the responsibility of the head of the department contributes to the development of decentralization, initiative, and autonomy.

Advantages of divisional structures:

1) the organization’s quick response to changes in the external environment, as its flexibility increases, because each division works directly for its market and its consumer;

2) separation of current problems of managing the production of any product from the strategic problems of survival of the organization as a whole, as a result of which the company’s top management concentrates on strategic planning and management;

3) transfer of responsibility for profit to the level of divisions, which develops the breadth of thinking and entrepreneurship of their leaders;

4) improving communications;

5) the organization’s orientation towards the final result;

6) a high level of coordination of the functional departments of each division, since employees are grouped “under one roof” and must ensure the efficient functioning of one product line;

7) reduction of management levels, which makes the decision-making process more decentralized.

Disadvantages of the product divisional structure:

1) the emergence of a new “disease” - productivism - the opposition of product goals to the general goals of the organization, the emergence of competition for its resources;

2) low coordination of the activities of departments, disunity of headquarters services, weakened horizontal connections;

3) increase in the number of personnel, duplication of work;

4) increase in maintenance costs additional services, which reduces overall efficiency;

5) difficulty in exercising control from top to bottom;

6) preservation of linear functional structures and all their shortcomings within the divisions.

If the problem of adaptation to the external environment is not solved within the framework of grouping work around a result or function, then the way out is to simultaneously group work around both the result and the function. A matrix structure appears. This structure maximizes the strengths and minimizes the weaknesses of the functional and product approaches.

In a matrix structure, employees are recruited from various functional units on a temporary basis to work on a specific project. Team members report not only to the project manager, but also to the heads of the functional departments in which they constantly work. Project managers are responsible for the overall integration of all activities and resources related to a given project. For this purpose, all material and financial resources for this project are transferred to their disposal. Project managers are also responsible for project planning and progress in terms of all quantitative, qualitative and time-related indicators.

Heads of functional departments decide how and where this or that work should be performed and approve the proposals of their specialists. Thus, the main principle of the formation of a matrix structure is a developed network of horizontal connections, numerous intersections of which with the vertical hierarchy are formed through the interaction of project managers with heads of functional and linear departments.

The effectiveness of the matrix structure is based on the fact that functional knowledge permeates every job. Personnel are used more flexibly, and management decisions are made more effectively.

Advantages of matrix structures:

1) high flexibility, adaptability to changes in the external environment;

2) integration various types the company’s activities within the framework of ongoing projects and programs;

3) cooperation between different functional departments;

4) more efficient use of resources, including human resources;

5) enriching the content of work tasks for employees;

6) strengthening the personal responsibility of a particular manager both for the project as a whole and for its elements;

7) strengthening staff motivation. Disadvantages of matrix structures:

1) high complexity, hence the confusion caused by the double command chain;

2) increasing time for meetings and discussions to solve problems;

3) the struggle for power, since within its framework the powers of power are not clearly defined;

4) the need to train employees in the art of human relationships;

5) large overhead costs due to the fact that more funds are required to maintain a larger number of managers, as well as sometimes to resolve conflict situations. It should be noted that the transition to matrix structures, as a rule, does not cover the entire company, but only some part of it. The scale of application of matrix structures or individual elements of the matrix approach in companies is quite significant.

Introduction

Chapter 1. Organizational management structure

1.1.Classification of organizational management structures

1.2.Requirements for the organizational management structure

1.3.Principles of building an organizational management structure 1.4.Designing an organizational management structure

Chapter 2. Economic analysis and calculation of the economic efficiency of the project.

2.1. Calculation of capital investments.

2.2. Calculation of time funds.

2.3. Cost of fixed production assets.

2.4. Calculation of costs.

2.5.1. Payroll Fund.

2.6. Assessment of the economic efficiency of the developed site.

2.7. Technical and economic indicators.

Conclusion.

Bibliography.

Introduction

To determine opportunities for human participation in economic processes The concepts of “labor force” and “human capital” are commonly used.

Under labor force It is customary to understand a person’s ability to work, i.e., the totality of his physical and intellectual data that can be used in production. In practice, the labor force is characterized, as a rule, by indicators of health, education and professionalism.

Human capital is considered as a set of qualities that determine productivity and can become sources of income for an individual, family, enterprise and society. Such qualities are usually considered health, natural abilities, education, professionalism, and mobility.

A general indicator of the process of formation and development of a person in labor activity is the labor potential of society. The word “potential” usually refers to means, reserves, sources that can be used, as well as the capabilities of an individual, a group of individuals, or society in a specific setting.

All over the world they have come to recognize that the main productive force is man. Each employee, individual groups and society as a whole have the capabilities and abilities to implement and improve labor activity, significantly increase its efficiency.



Purpose course work is: calculation of technical and economic indicators of the designed site, economic analysis and calculation of the payback period of the project.

Chapter 1. Organizational management structure

The organizational structure of management is a set of specialized functional units interconnected in the process of justification, development, adoption and implementation of management decisions. Graphically most often depicted in the form of a hierarchical diagram showing composition, subordination and connections structural units organizations.

An organizational model is the principles of forming departments, delegating authority and assigning responsibility. Essentially, an organizational model shows how to form a unit.

In practice, the following principles for forming divisions are used:

§ functional model: “one division = one function”;

§ process model: “one unit = one process”;

§ matrix model: “one process or one project = a group of employees from different functional departments”;

§ counterparty-oriented model: “one division = one counterparty (client or client group, supplier, contractor, etc.);

The latter model is used if the counterparty's market is limited. For example, if the number of consumers is very limited, it is advisable to apply a model focused on a client or client group: “one division = one client.”

In most cases, functional and process models, as well as their various modifications, have become widespread.

The organizational structure of enterprise management in many modern companies was built in accordance with management principles formulated at the beginning of the twentieth century. The most complete formulation of these principles was given by the German sociologist Max Weber (the concept of rational bureaucracy):

§ the principle of hierarchy of management levels, in which each lower level is controlled by a higher one and is subordinate to it;

§ the principle of compliance of the powers and responsibilities of management employees with their place in the hierarchy;

§ the principle of division of labor into separate functions and specialization of workers according to the functions performed;

§ the principle of formalization and standardization of activities, ensuring the uniformity of employees’ performance of their duties and the coordination of various tasks;

§ the principle of impersonality in the performance of their functions by employees;

§ the principle of qualification selection, according to which hiring and dismissal from work is carried out in strict accordance with qualification requirements.

Classification of organizational management structures

Functional structure Management is characterized by the creation of divisions, each of which has its own specific task and responsibilities. Each control is focused on execution individual species management activities; In each of them, a staff of specialists is created who are responsible only for a certain area of ​​work. This management structure is based on the principle of complete management, which consists in the fact that implementation of the instructions of the functional body within the limits of its competence is mandatory.

Linear-functional structure management is a transformation of the functional and at the same time combines the qualities of a linear structure. In it, the main share of authority is vested in the line manager, who makes decisions regarding any actions of his subordinates. At the same time, there are also functional managers who advise and help him accept right decisions, developing them into options; management of performers, although part of their powers, is still of an exclusively formal nature, i.e. functional services do not have the right to independently give orders to production units. Consequently, functional services carry out all technical training production; prepare options for resolving issues related to the management of the production process; relieve line managers from planning, financial calculations, logistics of production, etc. In fact, the line manager acts as a coordinator between various functional departments.

The larger the organization and the more complex its management system, the more ramified the apparatus.

Line-staff structure management involves the formation to assist line managers of specialized functional units - headquarters for solving certain tasks (analytical, coordination, network planning and management, etc.). Headquarters are not vested with a management function, but prepare recommendations, proposals and projects for line managers. The headquarters units can be: planning and economic department, legal department, analysis, coordination department, marketing department, accounting, etc.

Top management deals with issues of strategic planning and control, increasing the efficiency of the organization and divisions, developing the enterprise's capabilities, etc., for which it has at its disposal the headquarters of the head of the organization with the corresponding functional services to solve these problems. Heads of departments have their own headquarters (administrative apparatus), which solve the tasks facing them. Department heads are responsible for their work within the limits of responsibility and authority granted to them by senior management.

Divisional (branch) structure management refers to practice corporate governance when the managed organization is classified as large and largest in terms of production scale, number of employees, and is also characterized by a variety of products and a large capacity of sales markets. The basis for the formation of a structure of this type is the identification within the organization of practically independent production departments, complexes - “divisions” and providing them with operational and economic independence in earning profits with centralized control on general corporate issues of strategy, scientific research, investment, personnel policy and other centralized functions. The structuring of a company into departments is usually carried out according to one of three principles:

1. Taking into account the characteristics of the products manufactured or services provided (product principle).

2. Depending on the orientation towards a specific consumer (by sales markets).

3. Depending on the territories served (regional principle).

With a divisional product structure, authority for the production and marketing of a product or service is transferred to the manager responsible for this type of product. Heads of functional functions (for example, production, procurement, accounting, technical, marketing) must report to the manager for this product.

When creating consumer-oriented structures, divisions are grouped around certain groups of consumers: the army and civilian industries, products for organizational, technical and cultural purposes, etc. The goal of such an organizational structure is to satisfy the needs of various customers as well as a company serving only one group of customers.

If the company's activities extend to several regions where the use of different strategies is required, then it is advisable to form a divisional-regional structure. At large quantities Independent departments of various profiles of activity in the company use organizational structures based on strategic units. In this case, to coordinate their work, special intermediate management bodies are created, located between the departments and senior management. Such bodies are headed by deputies of the organization's senior management and are given the status of strategic business units, which are organizational elements of the company responsible for developing its strategic positions in one or more areas of activity. They are responsible for choosing areas of activity, developing competitive products and marketing strategies. Once the product range is developed, responsibility for implementing the program falls to the day-to-day business units.

Project management structure is considered as a set of ongoing projects, each of which has a fixed beginning and end. For each project, labor, financial and other resources are allocated, which are managed by the project manager. Each project has its own structure, and project management includes defining goals, forming a structure, planning and organizing work, and coordinating the actions of performers. The project manager bears full responsibility for its timely and high-quality development and implementation. He is vested with all rights to manage the units subordinate to him and does not have subordinate units that are not directly related to the preparation of the project. After the project is completed, the project structure disintegrates and its components, including employees, move to a new project or are fired.

Matrix management structure combines vertical linear and functional management connections with horizontal ones. The personnel of functional units, while remaining in their composition and subordination, are also obliged to follow the instructions of project managers or special headquarters, councils, etc., formed to manage individual projects and work. Project managers establish the composition and order of work, and heads of functional departments are responsible for their proper and timely implementation.

There are two main differences between a matrix management structure and a project management structure:

1. The matrix structure is a permanent formation;

2. In a matrix structure, employees report to two managers at once who are at the same level of the management hierarchy (managers with equal rights).

Each of the management structures considered has both its advantages and disadvantages, presented in table.

Depending on the amount of authority delegated to various elements of the organization, organizational structures are also divided into centralized and decentralized.