What is Organizational Structure?

Legal Definition
An organizational structure defines how activities such as task allocation, coordination and supervision are directed toward the achievement of organizational aims. It can also be considered as the viewing glass or perspective through which individuals see their organization and its environment.

Organizations are a variant of clustered entities.

An organization can be structured in many different ways, depending on its objectives. The structure of an organization will determine the modes in which it operates and performs.

Organizational structure allows the expressed allocation of responsibilities for different functions and processes to different entities such as the branch, department, workgroup and individual.

Organizational structure affects organizational action in two big ways:

  • First, it provides the foundation on which standard operating procedures and routines rest.
  • Second, it determines which individuals get to participate in which decision-making processes, and thus to what extent their views shape the organization’s actions.
-- Wikipedia
Legal Definition
A typically hierarchical framework of authority, accountability, communication, and allocation of responsibility. Organizational structures should reflect the goals of the organization if they are to be successful.