Organizational structure in the view of single business concentration and diversification strategies-empirical study results

摘要

Matching structure to strategy requires making strategy -critical activities and organizational units the main building blocks in the organization structure. Internal organization of each company is somewhat idiosyncratic; the result of many organizational decisions and historical circumstances. Moreover, every strategy is grounded in its own set of key success factors and critical tasks inherent in the company strategy. This paper presents the empirical study results on specific features of organizational structures in Polish companies in the context of concentration and diversification strategies. The organizational structures of companies that pursued concentration strategies were mainly of a functional nature. Tasks were mainly divided and grouped according to functions and stages of the technological process, and coordination was based on hierarchy. Furthermore, tasks were highly centralized and formalized, In diversified companies there also prevailed organizational structures of a functional nature. Only a few of the companies studied had flexible modern structures of the divisional or matrix type which would be suited to the strategy of diversification. It seems, though, that even such companies should introduce changes to their organizational solutions so that they could efficiently function in an increasingly complex and volatile environment.