What are the different types of international organizational structure?

different types of international organizational structures generally fall into five categories. Multinational companies can be organized in divisions or geographical placement of operations. Manufacturers working around the world often use the international organizational structure focused on product lines. Other global organizations decide to monitor the functional structure. An internal approach for cooperation can also be used, and this is often referred to as matrix structures.

The international organizational structure is sometimes based on the division structure. Companies can choose this option because the expansion is relatively simple. A new division is created and nested in the existing management structure. This is comparable to the addition of a room to an existing building, because other aspects of the operation are mostly unaffected.

The structuring of geographical areas is another form of divided international organizational structure. In this case, he manages the regional directors, each havingResponsibility for an operating decision in a geographical area. This strategy is often used when the company first jumps from home to international operations. Another quoted advantage is that the geographical area may be introduced by the indigenous leadership and thus taps the cultural accumen manager.

Operations around the product lines can be another choice for manufacturing companies that have facilities in multiple international locations. As with the geographical structure of the company management, this form allows easier expansion. Automotive companies are one example of the industry that often uses this form of international organizational structure. One automobile line that produces cars that attract North Americans, can be placed in the US and focused on this market, while another product line can consist of subcompacts focused on the European market. Although there are such operations below oneThe company managers can work in a highly autonomous way, allowing a rapid response to changing market conditions.

Sorting operations by functionality is another type of international organizational structure and is very common. It is also known as the organization of the department. In this case, an international company or marketing department, an accounting department, etc. may have, sometimes if used on a large scale and spans more countries, bureaucratic behavior may eventually prevent productivity.

International organization using matrix structure is usually combined to combine the strengths of product and functional structures. This system more supports cross functionality and offers more cooperation to large international organizations. In the structure of the matrix, the leadership tries to discourage the silo, while still retaining the structure of the separation. This form of organizational structure is often used to stop the growth of internal bureaucracy while still allowing separation.