Updated Organizational Structure Chart

The updated organizational structure chart addresses management and communication concerns by eliminating the number of departments. According to the research, grouping and plotting the team into its right department is just enough for the whole team to communicate efficiently. Initially, the organization utilized a much formalized structure that allowed the managers to have a very broad span of control over direct reports from multiple departments and functions. It also allowed the managers to oversee a high number of direct reports because many rules and regulations were dictating how their work should be performed. However, the increased number of department managers under the department contributed to the lack of communication (Alblas & Wijsman, 2021).

Under the updated organizational structure chart, employees will report directly to their manager and will follow a standard hierarchy. Concerned employees report to their superiors and the department manager. The organizational communication process could be improved with the hierarchy by reducing the number of departments by joining the different groups under product and service departments. The new organizational structure has adopted an approach of decentralized power by grouping the departments together and under a single manager (Ahmady et al., 2016). It can serve well in improving communication, unlike the old system where the organization did not have a hierarchical structure. Besides, employees reported directly to the upper boss while the work was done by following the regulations.

Explanation of Changes

Based on the information provided by the case scenario, one of the main downsides of the long hierarchy order included the lack of a strong team culture there were downsides. The increased number of departments also reduced the interactions between individuals from different departments because work was done independently. Thus, the lack of interaction with the workers from different departments also resulted in reduced creativity and innovation among the workers. Unlike the old organizational structure that focused on a long hierarchy, the updated chart can support formalized working structures. The new department structure can support creativity and innovation and provide employees with more autonomy by increasing interaction (Ahmady et al., 2016). Thus, some blocks and positions are removed under the new organizational structure chart to reduce the number of departments and avoid redundancy.

The CEO is placed at the top of the updated organizational structure chart while the directors of the shared resources, services, and products are placed under the second level. Moreover, the chart also puts the director of the shared resources group in charge of the marketing manager, HR manager, and IT manager. Moreover, there is a decentralization of power in the proposed organizational structure. Under the traditional organizational structure, the first product group manager had three sets of teams, while the second had two sets. With the new structural arrangement, each manager has a separate team while the size of the management team remains the same. Therefore, the reduced departments will see that the remaining team members work for different supervisors.

Impact on Organizational Communication

The updated organizational structure will adhere to a formal structure and a set of organizational guidelines, with team members reporting to their managers, managers to directors, and directors to the CEO. The reduced number of hierarchy and departments will ensure that there will be improved organizational communication because of the increased interactions. Similarly, the team members are equally distributed among the managers of the product group and the service group. Therefore, chaos has no place in the organization. Large and lengthy teams have communication problems, but since the previous resource managers had small teams, these teams won't have any communication problems either.

Impact on Team Communication

Under the updated organizational structure chart, the employees will report directly to their manager and follow the standard rule of hierarchy which can assist in enhancing communication. The communication among the team from the grouped departments will also be improved because of the decentralized power structure. For instance, the employee's concerned manager will report to their department managers. The communication among the teams can be impacted because it supports a hierarchy that is agile and flexible because of the reduced hierarchy. The team communication process could be enhanced in the organization because of having many departments van reduced the interactions among the workers.