Sufficient Organizational Size as a Prerequisite to Adequate Organizational Structure and Process

This article presented information to demonstrate that sufficient organizational size leads to the formation of adequate organizational structure with hierarchal levels and departmentalization. The hierarchy and departmentalization precipitate the formation of organizational process which include the development of the chain and unity of command, span of control, and delegation (empowerment) all of which lead to organizational development. The author in this article demonstrated that sufficient organizational size (capacity) leads to the formation of adequate organizational structure with hierarchal levels and departmentalization. Structural organizational capacity was defined in this work in terms of size (space volume) that includes the total number of persons employed in an organization. Organizational size is an important contingency variable in macro-organizational studies that can affect an organization’s knowledge management strategy, processes, and performance. The hierarchal levels and departmentalization precipitate the formation of organizational process which include the development of the chain and unity of command, span of control, and delegation (empowerment) all of which lead to organizational development (OD). OD is a pre-planned process that emanates from the highest level of the organizational hierarchy and whose aim is to augment the effectiveness and efficiency of organizational operations. Organizational size impacts upon the developmental process of organizations and has a direct effect on organizational performance and learning. The organizational structure was defined as a stable framework which depicts how the human and non-human elements in it are arranged and grouped. An adequate organizational structure allows the creation of a scalar design that consists of the executives, general managers, managers, and supervisors. The adequately formed hierarchal levels allow the formation and function of departments and divisions which denote how job activities are clustered together. Chain of Command was stated as the cascading process from the top hierarchy to the lowest one and depicts scalar accountability (a two- dimensional vertical movement), and responsibility in each level. Span of control denoted the number of persons in lower positions a supervisor is responsible for; it is a vertical relationship between the two levels. Delegation was defined as the downward movement of authority and responsibility that enables the recipients to assume responsible positions when promotional opportunities take place.