Adaptive Organisational Structures (DP IB Business Management)

If the external market becomes highly volatile or uncertain, a business may benefit from a more flexible structure

Project-based structures can help a business to respond quickly to changing market conditions than highly-structured hierarchies as they allow for collaboration across functional areas and resources can be shared

When technological change significantly impact an industry a business may require a structure that allows for innovation, agility and quick decision-making

Flat structures can be suitable as they encourage information sharing, collaboration and empowerment of employees at all levels

For businesses expanding into international markets, a regional organisational structure may be appropriate

• It enables coordination and control of operations across different countries, taking into account local market dynamics, laws and cultural differences

• It supports centralised decision-making while allowing subsidiaries to adapt to specific regional needs

Intense competition may call for a structure that enables speed, efficiency and customer responsiveness

Decentralised structures empower teams to make faster decisions and respond directly to customer demands

This promotes speed and encourages a customer-focused approach that may provide a much-needed competitive edge