Google is one of the leading technology companies, which was established in 1998. It is best known for its internet-based services such as its search engine, emailing service and client, mobile operating system and many more. Over the years, the company has expanded into various related business ventures through diversification. The success of the company is clearly reflected in its constantly increasing revenue generation. As of 2019, Google has earned USD 160.74 billion in revenue is a significant increase from USD 65.67 billion, just five years ago. In this article we have discussed about the organizational structure of Google, which plays a crucial role behind the success of the company.
The organizational structure of a company refers to the system which is used to define how information and processes flow within the organization. It also highlights the chain of command present in the firm, which determines the hierarchy of management. Different organization has follows different organizational structure, which best fits their nature and practice of business. Organizational practices of successful companies are often studied as a case study to learn about the best practices in the industry which can be replicated into other companies.
As mentioned in the introduction, the organizational structure of a company is largely dependent on the nature of its business. This also holds true for Google. The company follows a team-based approach to management, which encourages the participation of all team members in the decision-making process. This management approach has driven Google to adopt a cross-functional organizational structure.
Google emphasizes on creating teams with members from different functional divisions. It allows employees from different departments to work together seamlessly in different projects. A close look at the organizational structure of Google indicates that the company does not follow any particular traditional structure. In fact, it follows a combination of matrix and flat organizational structure. This allows the company to focus seamlessly on its cross-functional approach. Before we dig deeper into the organizational structure of Google for your professional essay writing, let us look at the various characteristics of its organizational structures.
As mentioned earlier, Google follows a combination of different structures. The key strength of the company comes from the functional structure. In case of a functional structure, employees are categorized based on specialized skills. A functional structure allows a company like Google to enhance organizational predictivity through specific division of labor based on the specialized skills of the employees. It should also be noted that a functional structure involves clearly defined job roles for the employees, their hierarchical position and the chain of command.
In case of a divisional structure, the employees are segregated based on divisions corresponding to different geographic regions or product categories. Each division has its own functional structure. In case of Google, the divisional structure allows the company to create teams for individual projects and for individual market locations. In case of Google cross functional approach allows the company to build teams from employees in different divisions. This as a result allow the company to enhance its idea generation by bring employees together.
It should be noted that the cross-functional structure of Google also has certain degree of ‘flatness’. In a flat organizational structure, the employees are easily able to communicate with others in the division and across the hierarchical ladder. This as a result makes it easier for the company to become more innovative through new idea generation. Since, Google is highly focused on continuous innovation, therefore it needs to yield the best out of its workforce. The cross-functional structure allows the company to utilize its human capital to the fullest. It should also be noted that Google is always encourages, out of the box thinking and free participation into the decision-making process. The presence of seamless communication within the company, it becomes much easier for the employees to communicate their ideas to their supervisor. While writing papers in college, you need to keep in mind that there is a well-defined hierarchy in the organization despite of the flat organizational structure. The employees are clearly aware of the chain of command and their respective reporting authorities, despite of the presence of multiple reporting figures.
The key advantage of the cross-functional structure is that it provides a great deal of flexibility to the organization. Since, the company can form teams with employees from multiple divisions and functions, therefore it leads to massive boost in productivity. Moreover, it also leads to open communication, leading to seamless flow of information. In a large-scale organization like Google communication is the key to achieving better performance. Finally, cross-functional structures allow the company to specialize in various aspects of the operation, due to the presence of flexibility. However, it should be noted that this type of structure suffers from overly complex hierarchies which can sometime be confusing for the employees.
Before you ask for a paper writing helper, let us recap on what we have learnt so far. Google follow a cross-functional structure of organization, which is combination of various other types of structures. The company has designed its structure based on the nature of its business and its core objectives. The organizational structure of Google, allows the company to foster seamless communication, better idea generation, cross divisional collaboration and better productivity. Moreover, it also gives the employees the freedom to implement their own ideas. It should be noted that Google does not follow any conventional structure, rather it has designed its own structure by combining all the best parts from every conventional structure.
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