The structures which helps in the attainment of predetermine objectives in regards of an organisations benefits is generally referred as the organisational structure. Working in a systematic format fulfils a mission which formed strategically. Choosing a best suited organisational structure will be beneficial for a company to generate revenue at larger level. It is essential for an organisation to form a structure as it defines responsibilities and roles related to the job profile within a company. The structure determines the flow of information in order to systematically perform different organisational activities. The varieties of structures followed by organisations: flat, matrix, multi-divisional and functional. Organisational structure plays a vital role in day to day operations within organisation so, it is important for a company to follow an effective organisational structure which will be responsible in the growth of a company. The reason for which the company needs to adopt suitable organisational structure is to facilitates the overall execution including better decision and performance. Achieving maximum performance is a sole purpose of any organisation in order to reach towards the final aim that helps to deliver value within the market.
Public Limited Company (PLC) refers to the business which is operated by directors and possess by the shareholder. Sainsbury’s is known as tall organisation where there is numerous level of management hierarchy but the company has narrow controlling span. The benefit of narrow span of control is that Sainsbury’s has high level of control and security within organisation. Matrix organisational structure is followed by Sainsbury's which helps the organisation to identify loopholes that may affect the operations of the business and take relative measures accordingly. Sainsbury's is able to adapt according to various operational situation within the organisation because of matrix structure as it is known for its flexible nature.
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The matrix structure consists of three types such as weak matrix structure, balanced matrix structure and strong matrix structure. Balanced matrix structure works in the favour of Sainsbury's which is responsible for encouraging the employees to perform their best. Matrix organisational structure helps Sainsbury's to focus on the targeted audience's need and only downfall of this structure is that it generates opportunities which eventually leads toward the conflicts among employees as everyone wants a new position.
The matrix structure allows Sainsbury's to take effective and efficient decisions in order to operate its business in a successful manner and also simplifies the communication processes at different level. Matrix organisational structure allows clear reporting relationships that helps managers to supervise various levels. This structure enables the team members to share one of best ideas and practises resulting in optimum efficiency achieved by different departments via sharing a number of resources. With the help of matrix organisational structure, the changing need and demands are easily catered by the Sainsbury's. The improvements are done at faster pace as Sainsbury's has several directors which makes it easier for the business to identify various problems that may affect the company in future and directors are also able to monitor different activities by eliminating flaws.
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