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Saturday, May 10, 2014

Organizational Design and Structure in Retail | Retail Management Notes

Organization Design and Structure in Retail

Organization structure described as a formal system by which various activities to be performed by employees are identified and determined, indicating the line of authority and responsibility in the firm.

It is the formal system of task and reporting relationships that controls, coordinates and motivate employees so that they cooperate to achieve an organization's goal. A retailer can't survive unless its organization structure satisfies the need of the target market.

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Considerations for Organization Structure
1. It should encourage employees to work and develop cooperation among employees in work
2. Allow people and groups to cooperate and work effectively.
Organization design is a process where in managers select and manage various dimension and components of organizational structure and culture to achieve organization's goals.
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Considerations for Organization Design
1. Should focus of specialization
2. Matching authority and responsibility 
3. Determining the reporting relationship
4. Focus of retail strategy

Read also:
1. Major Types of Retail Stores
2. Introduction of Strategic Retail Planning
3. Planning and Forecasting in Retailing 
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