To improve team communication and creativity, the company uses different organizational structures. Traditional institutions favour hierarchical organization structures, which foster bureaucracies. The rules that govern interpersonal relationships in hierarchical organisations reduce autonomy and make it less effective for decision-making. For team efficiency and long-term success, modern companies use a more flattened structure (Anderson 2019). For creativity and teamwork to be encouraged, institutions should use a divisional approach.
The institution may consider a structure that has fewer levels of organizational hierarchy to promote team responsibility and better communication. An organogram that divides people according to their roles and responsibilities is called the divisional organogram. People with similar skill sets and responsibilities get assigned to the same department and given their mandates. The incorporation of a divisional structure in the company would decrease job ambiguities, as previously noted. Because each director has the technical skills to guide their personnel, this structure removes any job uncertainty (Lamb and al. 2020). For instance, HR directors are more familiar with employee issues, while procurement directors can handle logistical and supply chain problems. By assigning individuals to the highest-ranking division, they encourage specialization. Each department is responsible for its own duties, so there would be no instances of duplication or overlap.
Divisional organizations foster independence and interdependence which in turn encourages productivity and creativity. Vertical, horizontal and diagonal contact is possible through the organogram of the division. First, communication is encouraged between the members of each division. As an example, Finance division staff collaborate in achieving the division’s financial goals. The director provides guidance and empowers workers to perform their tasks efficiently, which increases intra-divisional cooperation (Anderson 2019, 2019). High levels of autonomy encourage innovation because leaders don’t rely heavily on regulations and rules but instead create an environment that enhances the skills of people.
This structure allows employees to communicate with supervisors and division leaders. Divisional structures reduce the bureaucracy and delays in problem solving and decision making. It is much easier for employees to ask questions and get approvals from directors and managers in a divisional organization than it is in a hierarchical one. Managers may be able to give feedback and not have to follow a series of processes that can skew the information. The divisional structure facilitates communication and information flow and allows for interactions and meetings between divisions (Anderson 2019,). An institution could assign specific days to divisional meetings so staff can review their performances and establish short-term goals.
This team promotes diagonal communication to enable employees to achieve the corporate’s overall objectives. Diagonal communication involves contact between different organizational hierarchy managers.