ORGANIZATIONAL

STRUCTURE AND
LEADERSHIP STYLE
GROUP NAME: CONSTANT
What is Organizational
Structure?
Organizational structure is the formal
arrangement of jobs within an organization.
Six key elements in designing an
organizational structure are:
◦ Work Specialization
◦ Departmentalization
◦ Chain of Command
◦ Span of Control
◦ Centralization and Decentralization
◦ Formalization

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Mechanistic organization -
an organizational design that’s
rigid and tightly controlled.

Organic organization - an
organizational design that’s
highly adaptive and flexible.

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 Mechanistic Organic

• High specialization • Cross functional

• Rigid teams
Comparison departmentalization • Cross hierarchical
between the • Clear chain of teams
command • Free flow of
two information
• Narrow span of
structures control • Wide span of control
• Centralization • Decentralization
• High formalization • Low formalization

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 Mechanistic Structure
Advantages Disadvantages

• Work overload on
• Benefit of
manager
specialization
• Autocratic
• Proper discipline
leadership
• Minimize
• Static and Rigid
supervision cost
• One way
• Quick decision and
communication
implementation

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 Organic Structure
Disadvantage
Advantages
s
• Decentralization
of authority • Lack of
• Free flow of coordination
information • High
• More teamwork administration
• Wide span of cost
control • Unpredictable
• High working process
adaptability • Difficult to
• Increased control
efficiency
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 Leadership
Leadership is the ability of a
company’s management to set
and achieve challenging goals,
take swift and decisive action,
outperform the competition
and inspire others to perform
well.

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 Contemporary
Leadership Styles
• Transactional Leadership
• Transformational
Leadership
• Charismatic Leadership
• Visionary Leadership

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Elements of Effective Leadership

• Visionary
• Foresighted
• Encouraging
• Trustworthy
• Dynamic
• Positive
• Proactive

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vs

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Robi Axiata Limited is the second largest
mobile network operator in Bangladesh with
46.88Mn subscribers as of end of December
2018.
It is a mechanistic organization as it has:
• Centralized management
• Clear chain of command
• Narrow span of control
• High formalization

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 Robi Axiata Limited follows a Visionary
Leadership Style. Visionary leadership
style is where a leader creates and articulates
a realistic, credible, and attractive vision of the
Leadership future that improves upon the present
situation. Visionary leaders have the ability to:
style of
◦ Explain the vision to others.
Robi Axiata
◦ Express the vision not just verbally but
Limited through behavior.
◦ Extend or apply the vision to different
leadership contexts.

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Adcomm Limited is the oldest and currently
one of the largest full service advertising
agencies in Bangladesh.
It is an organic organization as it has:
• Decentralized management
• Short chain of command
• Wide span of control
• Low specialization
• Low departmentalization

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 Adcomm Limited follows Transformational
Leadership. At Adcomm, the leader inspires
employees to achieve remarkable results.
Leadership Employees have autonomy over specific
jobs, as well as the authority to make
style of decisions once they have been trained. Also,
Adcomm Adcomm pays attention to the concerns and
Limited development of individuals. This leadership
style produces high level of employee effort,
performance and lower turnover rates.

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 Conclusion
Organic and mechanistic organizational structures are
very different yet they both serve the same purpose;
to coordinate and manage activities that will enable an
organization to achieve its goals. The size and work
type of Robi does not allow it to be an organic
organization. On the other hand, to adjust with the
emerging market demands Adcomm decided it’s better
to be organic than mechanistic. Firms should choose a
structure that is the most consistent with their
strategic goals and company vision.

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 THANKS!
Any questions?

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