MANAGING THE ORGANIZATION’S STRUCTURE

ops a working environment that guarantees the trust and respect for employees by allowing them to make fundamental contribution to organizational goals and objectives (Dammen, 2001). Organizational structure also influences how organizational members perform, communicate, decide, and coordinate their affairs. An effective organizational structure enables the employees to show the management how they can utilize their creativity and teamwork, which enhances productivity (Dammen, 2001). Organization’s structure affects the well-being of its members and influences the members’ behaviors since it can relieve mental stress and limit increased absenteeism. Indeed, literature confirms that “organizational structure is an extrinsic factor, which influences people’s behaviour from the outside, through formal limitations set by division of labor, authority distribution, grouping of units, and coordination” (Janićijević, 2013, p. 36).
Through successful organizational designs, organizations gain the capacity to compete in the global arena where they define the roles and stipulate the relationships between members of the organization with an aim of guaranteeing effectiveness and efficiency. Organizations achieve this by influencing organizational behaviors as depicted by the managers and employees. Successful organization designs reduce ambiguity for employees leading to certain and effective behaviors. Moreover, organization designs influence the employees’ job satisfaction, performance, job involvement, absenteeism, preferences, and cultural norms. Organizational design defines the division of labor, coordination, grouping, and authority distribution in an organization, which influencing organizational behaviors. For example, functional organizational design subdivides work into specific areas of specialization, which may lead to boredom as members become tired of doing the same thing for long. The matrix structure also influences organizational behaviors