Quote by Harold S. Geneen

Every company has two organizational structures: The formal one is written on the charts the other is the everyday relationship of the men and women in the organization.

Every company has two organizational structures: The formal

Summary

This quote highlights the idea that a company has two distinct structures. The formal structure refers to the hierarchy that is typically depicted on organizational charts, outlining the official positions and reporting lines. However, there is also an informal structure implicit in the daily interactions and relationships among the employees. This informal structure is often based on trust, collaboration, and teamwork, and can greatly influence how work gets done within the organization, irrespective of the formal structure in place. Essentially, it acknowledges that while the official structure may dictate authority, the informal relationships drive the actual functioning and dynamics of the organization.

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By Harold S. Geneen

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