Let's look at an example of an organizational structure. For clarity, let's assume that this is a multi-profile holding company called "GC "Electrotech"", which is engaged in its main activity - the supply of electrical equipment. Over time, new areas appeared in it, and it became multi-profile.
The structure of the "GC "Electrotech" includes 6 legal entities:
OOO TD Elektrotekh is engaged in wholesale trade of electrical products.
OOO Elektroservis has stores.
OOO Elektrogamma manages retail outlets (pavilions).
OOO Infra is engaged in leasing out premises.
OOO "Elektroshchit" specializes teacher data package in the installation of electrical panel equipment.
OOO Metallokon is engaged in the production of metal structures.
All enterprises that are part of the Electrotech Group of Companies are, organizationally and legally, limited liability companies with one founder, who also holds the position of General Director of Electrotech Trading House LLC.
Although each company in the holding is formally considered an independent business entity, in fact the founder of "GC "Electrotech"" has full control over all processes within each company. All significant management decisions are made after agreement with the CEO. But officials at the holding's enterprises play the role of executors and are limited in authority.
Such an integrated structure allows the CEO to effectively control all organizational and economic processes within the group. To ensure current, operational and strategic financial support for the work of the enterprises of the Electrotech Group of Companies, he can use the financial resources of each of the companies. However, this approach can lead to difficulties in accounting and unbalanced financial flows.
This organizational structure is typical for many holdings, especially for those that develop according to a similar scenario. It allows achieving a certain level of managerial efficiency and coordination of the activities of different companies. But to ensure further success and effective functioning in the conditions of constant change and competition, Electrotech must pay special attention to optimizing its organizational structure.
Holding management structure
The holding is managed centrally by its owner, who is the founder of all enterprises included in the group. He plays the role of the main participant, possessing all controlling power over these companies. Such centralized management of the holding allows to form an effective organizational structure, facilitating the achievement of the group's goals. Let's consider an example of it and the role of functional divisions.
The organizational structure of the holding is a set of specialized functional units that interact in substantiating, developing, adopting and implementing management decisions. The latter are aimed at achieving the strategic goals of the group. An important element of such a structure are individual business units, within which employees, including managers, specialists and employees, perform certain duties.
Thus, the holding is managed according to the functional principle, which is typical for mechanistic structures. Each division specializes in specific types of work and functions necessary for decision-making within the linear system. The top manager is the founder and owner of the holding, and the heads of departments report to him.
The functional structure gives the holding the opportunity to:
Clearly centralize management on a hierarchical basis, ensuring unity and consistency of actions of all business units subordinate to senior management.
Effectively implement current and operational management of business processes.
To form a team of professional, highly qualified employees within each business unit, united into divisions according to the functional principle.
To effectively accumulate and rationally use material, human and financial resources to achieve strategic goals and accomplish tasks.