Bloisi, W., (2007). A study involving over 200 senior managers demonstrates that overall firm performance is strongly influenced by how well a firm's business strategy is matched to its organizational structure and the behavioral norms of its employees. Strathmore University Business School. Thus putting greater burden while designing structure which accommodates employees and harnesses an environment where staff takes organizational goals as their own and share believe of being valued through their work, hence good structure should provide right blend of command and control plus employee independence without feeling of resentment that hinders organization pursuit of its mission. The importance of organizational structures in the implementation of a strategy is hard to overemphasize. Set it right. An organization that has been failing to compete effectively will often need to go through an organizational restructuring to change its focus. Atlantic Canada: Issues in Strategy Implementation- Organizational Structure and Strategy; 2007, StatPac Survey Research Library: Organizational Theory and Behavior; David Walonick; 1993. 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For a strategy within an organization to develop and be … As a CEO, you need to take a very close look at your organization structure and evaluate if it supports your strategy. Why Study OB And What Is The Importance Of Studying Organizational Behavior (OB). The strategy formulation and implementation activities are intertwined. Most organizations have certain departments that are particularly effective and certain tasks that it is already adept at doing. Leaders with strong organizations shape a lot of the values and the belief systems in the organization and they help members construct the social reality. Casey Reader started writing freelance in 2010. About your question 5th Edition. Their use depends on what the organization aims to achieve. The Summit converged over 250 Human Resources professionals addressing; the role of culture in organizational performance, building and nurturing thriving cultures, increasing employee engagement, optimizing talent and building high performing teams. Ask a Question. Answer (1 of 2): Every organization has a unique structure. The importance of organizational structures in the implementation of a strategy is hard to overemphasize. Good strategy involves taking account of where a company finds itself in terms of the external market and its internal organizational structure. Dramatic strategies can mean changing the basic ways an organization does business. Strategy Implementation: Organizational Structure. Sign up to receive important news and information from Strathmore University Business School, [ Placeholder content for popup link ] An organizational structure is the reflection of the company’s past history, reporting relationships and internal politics. How Can Organizations Determine If They Are Structured In The Most Effective And Efficient Manner? What is their essence. These strategies involve taking steps such as expanding parts of the organization that are successful and shrinking those that are not. Developing proper organisational structure: Organization structure implies the way in which different parts of the organisation are linked together. Here are some related questions which you might be interested in reading. Different personal interests will often conflict and need to be addressed. 2nd European Edition. Importance of Good Organisational Structure, Employee Engagement Activities, Strategies and Initiatives.