Political Perspective of an Organisation

Topics: Management, Corporate governance, Board of directors Pages: 2 (513 words) Published: February 22, 2011
Political Perspective of an Organisation

What is the connection between the structure of the organisation and the distribution of power in the organisation?

The intrinsically political nature of organisation is recognised in the ways found to create order and direction among people with potentially diverse and conflicting interests, and the problems and legitimacy of management as a process of government and about the relation between organisation and society (Morgan, 2006). These ways take the form of laws or legal bases that create an organisation and eventually the organisational structure which is the instrument to implement the function of the organisation for the society at large. The distribution of power is evident from the organisational structure that is established in the organisation. In the case of the Australian Post, the organisational structure shows the distribution of power from the operational aspect beginning with the Managing Director on top followed by the Heads of the five divisions under him down the line. Not shown in the organisational structure is the presence of a higher power in the person of the Board of Directors comprising nine members, which actually appoints one member as the Managing Director and performs a function under the law, ‘to decide the objectives, strategies and policies to be followed by the Australia Post, and to ensure that it performs its functions in a manner that is proper and efficient and consistent with commercial practice’(Australia Post Corporate Governance, p 48). The power of the Board is said to be in a non-executive capacity whereas the power of the Managing Director is in an executive capacity to manage the operations of the organisation based on the objectives, strategies and policies set by the Board. The distribution of power down the hierarchy of middle managers is influenced by the organisation design (reference). Those who manage the five main divisions derive...
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