Employee behavior can have a direct impact on the success of the organization's goals and goals. One of the most common ways for an organization to be able to control and influence this behavior through its organizational structure. The organizational structure is the structure and form that any business operates. This structure or form consists of three systems. These systems assign decision-making rights, measure performance, and reward and punish performance.
The three systems that make up the organizational structure are often referred to as "three-legged stools". These "legs" must be balanced and individual, coordinated with the other two. An employee must have only the right to make decisions that can be measured, rewarded or punished. The performance measurement system should be able to measure the area where the worker has a right of decision. And the reward and punishment system must be equivalent to employee performance
. The system for transferring the decision-making rights should be specifically designed for the organization. Usually it contains a hierarchical structure. This hierarchical structure serves to separate managers from employees and decision-making from decision-making aspects of decision-making. Decision-making involves the initiative and implementation, while decision-making includes ratification and monitoring of the decision.
The performance measurement system is objectively and subjectively measurable. Objective measures are clear and verifiable, while subjective measures are implicit and difficult to measure. Accounting systems are widely used by organizations for the system. In addition to monitoring the accounting records, the accounting system can also generate internal reports and provide audit mode. All of these can be used to measure power performance.
The system used to reward or punish performance can be executed by monetary or non-monetary methods. Monetary benefits usually appear in the form of a one-year bonus, which is included in the employee compensation contract. Often, these bonuses are based on the achievement or goals of the goals and are determined by a bond. Accounting goals are often lower and have upper limits. The lower limit is the minimum requirement that must be respected in order to receive a bonus. The bonus will rise when it is higher above the lower limit. This is above the upper limit.
The organizational structure has a significant impact within my organization. Our decision-making system is divided into a three-tier system. Presidents and vice-presidents at the highest level of the system. They monitor the middle level, consisting of directors and executives. The middle level manages and supervises the remaining lower level employees. Verification of decisions is primarily managed by the highest level of staff. The management of the decision is then checked by middle-level staff
The performance of most of our employees is based on quarterly and annual sales targets. For this reason, their performance is monitored and measured by our accounting software, known as MAS90. Each financial transaction will be tracked within the organization. From this transaction, MAS90 then generates reports that are used by all levels of employees. The performance of non-sold employees is measured by strictly subjective measurements
The ultimate system, rewarding or punitive performance of MAS90 also plays a significant role. Most of the employees' performance is based on the amount of sales that the vendor can generate. Sales commissions are paid at a flat percentage against the gross income of each project. MAS90 generates these reports. The seller also rewards the total amount of their annual turnover. The formula or rate used to determine the bonus amount is different for each vendor. Each of them used a different adaptation formula based on the employee contract.
These systems are currently working properly within my organization. The only recent change is due to the economic downturn. Our company lost most of its major business volumes and consequently re-negotiated sales commissions. I believe that there is always room for improvement in every structure.
I think we need to consider two elements to improve our organizational structure. The first is by developing our accounting system. MAS90 is an older version that contains significant upgrades. The MAS200 is another Sage Accounting System product that includes the great services we can take advantage of. Secondly, I believe that we should consider implementing subjective measures for salespeople and that objective measures should be taken for all other staff.