Many entrepreneurs start a business without any knowledge of the organizational structure of a healthy business! This is one of the major reasons almost 80% of businesses fail within the first four years.
No matter how big or small a business, a basic organizational structure has to be in place to give the business direction. The founder of an organization or the person in charge has to structure his or her business in a way so that it can function smoothly and flawlessly. The first step to ensuring this state is creating a basic organizing board that clearly states the functions of each section, department, and the people who run it. This means that there has to be a comprehensive command channel for each executive, manager and employee to follow, thus ensuring sanity and smooth operational flow between each terminal. By terminal is meant any post or posts a person is holding.
The best way to accomplish this task is to have a visible and easy to follow flow chart in between sections, departments and terminals that are paid to fulfill their responsibilities. It is important that the name and post of each staff member is clearly and appropriately indicated on this chart.
Terminals are not to cross over one another in a nonsensical manner! Another words the communication between each terminal has to be conducted in an orderly manner, usually from top to bottom or bottom to top without crossing over to different departments or posts if those departments or posts are not within the command channel. The best way for different departments to communicate to each other is by department heads or if communication has to take place between departments on a lower level in the chain of command it has to be with the consent of the managers or department heads so there is no unintentional miscommunication and disruption in the flow of the operation. This is not to create a dictatorship, but to create a sane environment where particles and communications can flow flawlessly without any confusion.
To further accomplish this ideal scene, it would be best to divide the business into two major divisions, the division of communication and the division of organization. The division of communication would consist of executives, communications and dissemination and the division of organization would consist of income and disbursement, production and quality control and department of image and public information.
Obviously, the functions of each department within each division has to be broken down properly and hatting for each post has to be provided through thorough training and gained experience. This system brings about stability for the business and good morale for the staff as long as they are recognized.
Remember, even if you do not know all the details and proper functionality of each section of your business correctly, by preparing a basic organizing board in the above format you will provide a road map to gradually fill in the details and assign posts correctly and train each employee accordingly to perform his or her responsibility in an orderly fashion. Learn how to organize your business by seeking consultation from me at 425-299-5819 . To ensure you sustain a successful business and maintain good morale among your employees, organize!
