BUSINESS ENVIRONMENT

Business Environment

Business Environment

Task 1

Task 1.1 Identify the purposes of different types of organisation. Define Anglo American in terms of organisational purpose. (A.C 1.1)

According Idalberto Chiavenato, organizations are extremely heterogeneous and diverse in size, features, structures and objectives are different. This situation leads to a wide variety of types of organizations that managers and entrepreneurs must learn to have a broad view when structuring or restructuring an organization. (Fred, 1988, pp. 32).

Organizations to their ends

These are divided into:

For-profit organizations: Calling businesses have as one of its main purposes (if not the only) generate a certain profit or for profit (s) owner (s) and / or shareholders.

Nonprofit Organizations: They are characterized by the purposes of satisfying a particular role or function in society without seeking profit or gain by it.

The army, the Church, public services, philanthropic institutions, non-governmental organizations (NGOs), etc. are examples of such organizations.

Organizations by Formality

In other words, depending on whether or not formal structures and systems and defined for decision-making, communication and control. These are divided into:

Formal Organizations

These organizations are characterized by structures and systems for officers and defined decision making, communication and control. The use of such devices makes it possible to explicitly define where and how to separate people and activities and how they meet again.

According Idalberto Chiavenato, formal organization includes organizational structure, guidelines, rules and regulations of the organization, routines and procedures, in short, all aspects that express how the organization intends to be the relationship between bodies, offices and occupants, with the order that its objectives are achieved and its internal balance is maintained. Such organizations (formal) can in turn, have one or more of the following types of organizations:

Linear Organization: It is the simplest structural form and old, it is rooted in the organization of the ancient armies and ecclesiastical organization of medieval times. The linear organization name means there are hotlines and unique authority and responsibility between superior and subordinate..

Organization Functional: The type of organizational structure that applies the principle or principle of functional specialization of functions. Many organizations of antiquity used the functional principle for differentiation of activities or functions. The functional principle separates and distinguishes specializes: The germ of staff (Morrow, 2005, pp. 13).

Informal Organizations

This type of media organizations is unofficial but that influence communication, decision-making and control are part of the normal way of doing things in an organization. According to Hitt, Black and Porter, although almost all organizations have some level of formalization, also all organizations, even the most formal, have a degree of informality.

Organizations according to their degree of centralization

They are divided into:

Centralized organizations

In a centralized organization, authority is concentrated at the top and there is little authority in decision-making, which is delegated to lower levels. Many government agencies are centralized, as hosts, the postal service and the mystery of Finance (Edwards, 1993, pp. 51).

Decentralized Organizations

In a decentralized organization, the decision-making authority is delegated to the chain of command as far as ...