Impact of Organizational Structure on Interpersonal Relationship

Impact of Organizational Structure on Interpersonal Relationship

Abstract

The study provides an evaluation of the effect of organisational structure on interpersonal relationships in big organisations. It examines the structure of the organisation, as well as its roles and importance. The study proposes organisation structure as a unifying element improving human relationships in big organisations in order to achieve the organization's goals and objectives.

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Introduction

Organizational structure specifies how people and groups are structured, as well as how their duties are allocated and coordinated (Mintzberg, 1983). Companies have had to learn how to develop and execute their strategies via projects and organisational structures in order to effectively confront challenges and opportunities in this changing environment. However, owing to the complexities involved, managing numerous projects is difficult.


Organizational structure theories began with the recognition of organizing as a separate management function. They acquired formal forms as a consequence of findings from research on organisational structures that spanned a broad range of sectors. They included Lawrence and Lorsch (1967) research on the manufacturing sector, Balu and Schoenherr (1980) studies on administrative organisation, Eccles and Crane (1988) studies on investment banks, and multi-national organisations (Ghoshal and Nohoria, 1989). The significance of organisational structure as a key component of a formal organisation has finally acquired a place in study with the development of systems and contingency theories.

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The Research Objective

1. To ascertain the nature of the organisational structure

2. To evaluate the various kinds of functions

3. To ascertain the influence of organisational structure on interpersonal relationships in big organisations.


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