Effect Of Organizational structure on Organizational Effectiveness through face to face Communication.

INTRODUCTION:
Structure refers to the manner in which an organization utilizes his human resources for its goal oriented activities. It is the way human resources of an organization are fitted in to relatively fixed relationships that largely define patterns of interaction coordination and task oriented behavior (steers 1977).The important aspect of organizational structure include work specialization, decentralization and formulation. The primary focus of the present study is to analyze the extent to which the structure influences the effectiveness of an organization. Thus two aspects of organizational structure centralization and formalization are taken up for the present study. The concept of organizational structure is central to the investigation of organizational effectiveness. An appropriate structure is the crux of every successful organization. Centralization and formalization are considered as the important dimensions of organizational structure. Numerous studies have been conducted to find the association of centralization and formalization are considered as the important dimensions of organizational structure. Numereous studies have been conducted to find the association of centralization and formalization with organizational effectiveness and previous researchers have explored that these dimensions are the most

direct determinants of organizational effectiveness. Centralization is the extent to which the locus or authority to make decisions affecting the organization is confined to the higher levels to the hierarchy or the proportion of level that participate in the decision-making. Formalization refers to the extent to which procedures, rules and function are written down.

ORGANIZATIONAL STRUCTURE AND ORGANIZATIONAL EFFECTIVENESS:

Over the years, definitions of the organizational effectiveness have generated considerable debate .The literature on organizational effectiveness reveals that there is a little agreement concerning the exact nature of the construct. For example, economist of financial analysts define organizational effectiveness in terms of profit or return on investment. For a production manager, it is the quality of quantity of output of goods, and for social scientist, effectiveness is viewed in terms of the quality of working life.

ORGANISATIONAL STRUCTURE AND COMMUNICATION:

Organization structure regulates the flow of communication within the organization on the one hand communication acts as a mechanism by which organizations come into being and on the other hand the structure and processes of organizations determine the kind of communication to their members. Communication within organizations is just not about

conversations, documents, meetings, and memos to coordinate business activities, but it is also has the potential to impact the ability of an organization to accomplish its goals.

THE SAMPLE:
Data were collected from 324 employees from various organizations in India. The respondents were executives and managerial level employees of the organization where computers were widely used. Organizations included for the study were steel manufacturing industry, banking industry, shipping corporation, airlines, reality estates.

THE INSTRUMENTS:
Organizational structure was measured using organizational structure Scale developed by Schminke et al. (2002).The scale comprised two parts centralization and formalization. The second part(relating to formalization) of the organizational structure scale consisted of five items .The five items were factor analyzed using the Principal Component method with Varimax The reason behind such findings is that formalization leads to a more stable working environment and centralization leads to formal authority with decision making power concentrated at the top most level in the organization. Further face to face communication was founded to be significantly correlated with organizational structure .This is in line with the findings of Thompson (1967).

ANALYSIS AND RESULT:

For the purpose of analysis of data, the statistical Package for social science version 13.0 was used. The statistics used for the data analysis included descriptive statistics, linear and multiple regression and correlations. The study also found that formalization and centralization were positively correlated with organizational effectiveness. This is in line with the findings of Mark(1985).The argument behind such consideration is due to the fact that centralizing and standardizing of certain activities result in decreasing intra organizational uncertainty regarding task accomplishments, leading employees to concentrate more specifically on the actual task assigned and thereby exert a positive impact on the organizational effectiveness. Here the job incumbent has the minimum amount of discretion over what is to be done. Further, face to face communication was found to be significantly correlated with organizational structure. This is in line with the findings of Thompson (1967).

CONCLUSION:
It was hypothesized that face to face would predict significantly organizational effectiveness .The regression analysis was not found to support the hypothesis.ftf communications no doubt is one of the prime mediums of communication, but with the advancement of technology, the use of computers have increased tremendously in the most of the Indian organizations.

The study raises the need for further research in other modes of communication and to measure its effect of organization. The comparative effect of face to face communication and computer mediated communication can also be explored. Finally, it can be concluded that there is a significantly correlation between organizational structures and face to face communication. Also, formalization of organizational structures are significantly correlated with organizational effectiveness.