ACCA Applied Knowledge · Business and Technology · The formal and informal business organisation
A small, newly founded design studio is run by its owner, who makes nearly all decisions personally and supervises staff directly. There are few formal procedures. Which Mintzberg configuration does this best describe?
This is a simple structure. Mintzberg's simple structure is typically small and young, with power concentrated in the owner or top manager who coordinates by direct supervision and uses few formal rules. Machine bureaucracy would instead depend on standardised processes and analysts.
- AMachine bureaucracy
- BProfessional bureaucracy
- CSimple structureCorrect
- DDivisionalised form
Explanation
Simple structure is dominated by the strategic apex, with direct supervision as the coordinating mechanism and little formalisation. Machine bureaucracy relies on standardised work processes and a large technostructure, so it does not fit a small owner-led studio.
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