The Capability to Design and Implement an Organizational Structure
An “organizational structure” is a system that outlines how certain elements are directed in order to achieve an organization’s goals. These elements can include rules, roles and responsibilities. If your business has even just a few employees, it probably already has some kind of organizational structure. It might be small and “flat” with three or four employees reporting directly to you, or it might be large, with numerous departments and staff members who report to the department heads, who themselves report to their managers, and so on. Here, it is important to note that this capability does not place any judgement on which organizational structure your business adopts. The aim is simply to judge whether or not your business is able to take the appropriate decisions and actions required to adopt the organizational structure that is right for you.