Organizations and behavior Essay Example | Topics and Well Written Essays - 1250 words

Organizations and behavior - Essay Example Formal organisation has clearly organised structures that have departmental divisions, authority levels, line of communication and responsibility. The other kind of organisations are the informal organisations, they don’t have any specified structure or divisions of responsibilities properly laid out (Ferrell et al, 2009, p.192) this organisation type can be observed in the formal organisations. The Geographic structure is the structure where single head office is in power to control operations of all departments, even the territorial and regional departments where they also have running of their production or the service. An example can be certain airline company, they would have a head office based in one country where as the departments will be in different places over the globe. These departments, regardless of the fact that which country they are established in will have same structure, like human resource, marketing, sales and finance. Thus, their workings will be identical, in this case of airline company; sale of flight tickets. Advantages of this structure are that each of the department has autonomy to make decisions that would meet local demand (Daft and Daft,  2010, p.113). For instance, a burger which is spicy maybe launched by fast food chain in Thailand and because their main courses usually are spicy it may be successful, in Italy on the other hand this spicy burger would not have chances of becoming too popular. Another advantage of using this structure is that the organization may get cost benefits due to low labor costs in for example Africa compared to those in Europe. There are also disadvantages associated with this approach. Original standard that was set for a certain product may not be identical among the regional departments. A fizzy drink for example may taste different when produced in one country than from the other, even when they use same ingredients. This could be