Global Journal of Management and Business Research, A: Administration and Management, Volume 22 Issue 6

implementation of specific types can lead to different results, in terms of organizational performance. Each administration must create its own organizational structure for the effective management of business activities. The term "organizational structure" has become very important in the business world today, and something that should not be overlooked, is that the word organization primarily refers to a physical structure (organism), which is divided into different functions, and where there is something that unites the various parts. It can be about defining the relationships between them, the existence of a common, underlying vision (which is not always conscious), the existence of responsibilities, etc. Organizational structure can be considered as the rules that govern the relationships between individuals or groups trying to achieve the goals of an organization. In a business / organization of any size or complexity, employees' responsibilities are often determined by what they do, who they are accountable to, and who their supervisors refer to. Thus, according to Kuye, (2004) (in Jones, 1995), structure is the formal system of work and the definition of reference interactions / relationships that determines how employees use resources to achieve the goals of the organization. . The above definition shows that the structure is a necessary element for conducting business activities, as there must be ways of arranging the utilization of organizational resources, to fulfill the desired goals. From this arrangement, different sequences of relationships between individuals or groups of individuals can emerge, depending on the importance attached to each task in relation to achieving the goals. Drege, (2013) added that the concept of organizational structure may not be so relevant when small groups of individuals operate, but it becomes extremely necessary when a large organization operates and different rules need to be defined. The organizational structure must find ways to ensure that information flows from one level to another, in efficient ways. Muo & Muo (2007) in their book referred to Robert Duncan who defined structure as a model of interactions and ways of coordinating the technology, tasks and human elements of organizations, to ensure the fulfillment of its organizational mission. Chegini et al, (2013), found that the dimensions of the concept under study are complexity, formality and centralism. Rajaeepour et al, (2012) divided the concept into two hierarchical levels -the first one, the mechanical structure, consists of the dimensions of complexity, formality, centralization of planned behavior and regulation. The second level, the organic structure, includes the dimensions of decentralization and flexibility. Teixereira et al, (2012) reported the dimensions of centralism, the existence of a flat structure, the tendency for specialization and horizontalization. a) Basic elements of an organizational structure Five key elements can determine the success of an organizational structure (Sweet process, 2022). These items include: • The breadth of control - if for example there are ten employees under the control of a manager, the range of control of this manager is set at 10. Managers with a relatively limited range of control can be more humane with the staff and exercise high levels of "quality" control". The downside is that they can get too involved with the staff, negatively affecting their creativity. The opposite happens in cases of greater control. Staff tend to be more independent, as they may have specialized knowledge, and experience. However, managers may face a greater workload and finer management skills, may be required. The scope of control can be influenced by various factors, such as: the size and nature of the organization, the nature of employee work (complex roles may require stronger supervision), the level of skills of the manager and the employees (managers with high levels of management/ coaching skills, can manage more employees) • Segmentation - the process involves the division of tasks. Each department specializes in different functions. For example, in a law firm there is a marketing department that is responsible for designing strategies in relation to attracting new clients, an IT department etc. The best way to create departments is to evaluate resources in conjunction with needs • Hierarchy - refers to the hierarchical order. CEOs are responsible for overall performance and the decision-making process. The management develops goals and aspirations that support the mission, while the managers execute the plans, structuring them in simpler work activities. • Job specialization - refers to the degree of division of tasks. The main advantage is that it helps employees to develop specific skills, while the disadvantage is that there is a relative limitation and a lack at the level of "eye-opening the horizons". Employees may feel bored and reduced levels of commitment, satisfaction can occur, etc. (as there are no opportunities for self-fulfillment and self- development • Centralization and Decentralization - centralized structures can concentrate power in one person. The CEO, for example, can make the most important decisions. In these structures, employees cannot challenge organizational policies or be actively involved in the decision-making process. On the other hand, employees can make 33 Global Journal of Management and Business Research Volume XXII Issue VI Version I Year 2022 ( ) A © 2022 Global Journals Organizational Structure as a Fundamental Function of Effective Management. The Case of Tesla