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Importance Of Organizational Structure

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Introduction

This assignment will discuss the definition of organizational structure, the various types as well as importance of organizational structure. This report will outline the organizational structure of one of the leading companies in Oman, Oman Liquefied Natural Gas LLC (Oman LNG) Company, which covers the importance, and role it played in the effective operations of the company.

Oman LNG is a joint company recognized by a royal order in 1994 and works underneath the laws of the sultanate of Oman. The corporation involves in the industry of creating and trading liquefied natural gas (LNG) and its by-product, Natural gas liquids (NGLs) (Oman LNG, 2015).

Organizational structure

Scott (1998) stated that …show more content…
The structure is key for any rising organization to give direction and clarity on particular HR issues, for example, managerial authority. Minor-organizations owners must consider starting think about a formal structure in the start of the development phase of the Organization. A business needs a structure to raise and be beneficial. Outlining an Organization structure benefits tops management identify ability that should be added to the organization. Arranging the structure makes sure there are enough HR inside of the organization to accomplish the objectives put forward in the organization's yearly arrangement. It is similarly vital that duties are clearly characterized. Each individual has a set of work and responsibilities that layouts obligations, and every job owns its own position on the business organization structure.

Types of organizational structure
Functional …show more content…
Al Barwani the manager of Cost accounting in Oman LNG, the organizational structure of Oman LNG As far as responsibility is concerned, cost control monitoring and reporting performance of the company Is a functional structure, which assigns employees to their functional department and enhances their expertise in providing services, if divides departments according to the service provided by each department in the organization.

Ms Al Barwani also added that The importance of organizational structure in the organization is that each department focus on the expertise to deliver the services required by the company and the detailed training and intensive career path gives workers clear career goals and how to reach them.
This maximizes performance by facilitating, group leaders who are experts both in their field and in the resources available, which allows each division to reach its highest potential and avoids over-use of limited resources. The company provides specialized training and involves management to ensure that standout employees are quickly recognized and placed where they will be most effective and managers are always on the lookout for helpful skills and

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