MSG Team's other articles

12291 Advertising Agencies – Meaning, its Role and Types of Agencies

“The work of a tailor is to collect the raw material, find matching threads, cut the cloth in desired shape, finally stitch the cloth and deliver it to the customer.” Advertising Agency is just like a tailor. It creates the ads, plans how, when and where it should be delivered and hands it over to […]

8912 Determinants of Customer Retention

According to the market evidences following are the main determinants of customer retention: Delivered quality of products and services versus customer expectation: The worthiness of a particular product or service does not depend on its own merits. It is only worth and useful if it meets all customers’ expectation. If the customer expectation is very […]

11191 Sales Skills for Consultative Selling

Consultative selling has gained global acceptance as the most effective sales process and has now been adopted by all industries and organizations from insurance to hotels, from airlines to hospitals including industrial, retain and all other sectors of business. Organizations have realized the need to be customer centric and build customer relationship to be centric […]

12494 Brand Association – Meaning and its concepts

Brand Associations are not benefits, but are images and symbols associated with a brand or a brand benefit. For example- The Nike Swoosh, Netflix sound, Film Stars as with “Lux”, signature tune Ting-ting-ta-ding with Britannia, Blue colour with Pepsi, etc. Associations are not “reasons-to-buy” but provide acquaintance and differentiation that’s not replicable. It is relating […]

11258 Various Forms of Shareholders Ownership

The previous articles discussed how shareholders play an important role in promoting good corporate governance. This article looks at the patterns of shareholder ownership that are prevalent in organizations in the corporate world. To start with, any company whether it is private or public limited needs to have shareholders who contribute equity to the setting […]

Search with tags

  • No tags available.

The famous management expert, Henry Mintzberg, proposed a five configurations approach to strategic management wherein any organization can be broken down into five core elements or parts. The interactions between these parts determine the strategy of the organization.

The five parts according to Mintzberg are:

  1. The Operating Core which consists of those doing the basic work and whose output can be directly linked to the goods and services that the organization makes and sells. According to Mintzberg, this part is common to all organizations since the core work must be done and hence, the operating element has to be put in place.

  2. The Strategic Apex, which is composed of senior management and the senior leadership, which provides the vision, mission, and sense of purpose to the organization. Indeed, it can be said that this part consists of those men and women who shape and control the destinies of the organization.

  3. The Middle Level Managers who are the “sandwich” layer between the apex and the operating core. This element is peopled by those who take orders from above and pass them as work to the operating core and supervise them.

    In other words, they perform the essential function of acting as a buffer between the senior management and the rank and file employees.

  4. The fourth element is the Technostructure that is composed of planners, analysts, and trainers who perform the intellectual work. This element provides the advice for the other parts and it is to be noted that they do not do any work but function in an advisory capacity.

  5. The final element is the Support Staff who perform supporting roles for the other units and exist as specialized functions that are responsible for the peripheral services in the organization.

The key aspect about these configurations is that it can be used to predict the organizational structure of any organization and used to model the strategy that the organization follows as a result of the interaction between these parts.

For instance, in many service sector companies, the organization structure is very fluid and interchangeable with the result that the middle managers perform crucial tasks and the apex gets directly involved in running the organization.

On the other hand, in many manufacturing companies, it is common to find the Technostructure prevailing as the organizational processes are bureaucratic and have mechanistic characteristics which makes the organization function like a machine. This is the configuration in many public sector and governmental organizations as well.

Finally, the startups have a structure that is composed of the strategic apex and the supporting staff in their initial years of operation as the organization structure is yet to be formalized.

The key implications of Mintzberg’s configurations are that it gives us a useful model to describe how the organizational structure affects strategy. As many theoretical models depend on external strategy alone, this model is preferred by those who want to understand how internal dynamics produce strategy.

Article Written by

MSG Team

An insightful writer passionate about sharing expertise, trends, and tips, dedicated to inspiring and informing readers through engaging and thoughtful content.

Leave a reply

Your email address will not be published. Required fields are marked *

Related Articles

Cutting Costs Strategically

MSG Team

Corporate Governance – Definition, Scope and Benefits

MSG Team

Strategic Management: Core Competency Theory of Strategy

MSG Team