Organizational plan as part of a business plan

Service Business

The organizational plan of the enterprise determines its proper functioning. It is one of the most important parts of a business plan as it organizes the company and its activities. And as you know, the correct organization of the company is the key to its success.

Organization of the company and processes

The organizational plan of the enterprise should contain information on the area of ​​the company's operations - whether it covers only Poland or also abroad.

At this point, the entrepreneur should describe or choose the organizational structure that is or will be in force in his company.

Three of the most popular organizational structures of the company can be mentioned.

A flat structure characterized by the fact that there is only one manager to whom other employees are subordinated.Like any structure, it has its own advantages and disadvantages. The advantages certainly include high decision-making independence of employees and faster information flow. Low cost of maintaining the managerial staff speaks in favor of choosing this structure. On the other hand, when it comes to the shortcomings, the most important are the lack of strategic planning and management, and the lack of reserves of management staff. The downside is also the centralization of power and knowledge in one manager.

A linear structure in which employees report to multiple functional managers, with each manager operating in a specialized field. The advantages are certainly a simple and clearly defined scope of authority and responsibility, as well as professionalism in the decisions made. On the other hand, disadvantages include a complex network of information, and hence - the possibility of employees receiving contradictory commands. Another defect of this type of structure is the difficulty in deciding the scope of competences and responsibilities of individual managers.

Functional structure, which is characterized by the presence of functional departments led by specialists. In this case, the employee reports to more than one manager. In case of problems with the performance of tasks, he may refer to the appropriate specialist. This type of structure certainly allows for an effective use of resources and quick decision making. The advantages are also lower costs and ease of control and supervision. On the other hand, disadvantages include difficulty in accessing information, lack of coordination and competency disputes between specialists.

Employment plan

The organizational plan of employment in an enterprise should include, first of all, the employment structure of the company's employees along with the determination of monthly salary rates. In addition, information about the mode and cost of training should be included here.

Management and employees

In this matter, the organizational plan should start with a description of specific job positions - both subordinate and managerial ones, indicating the requirements that are imposed on candidates for a given position:

  • education,
  • qualifications,
  • scope of duties and tasks,
  • necessary skills, etc.

Organizational plan and the remuneration system

At this point, the entrepreneur should define the remuneration system for individual employees. The most commonly used remuneration systems include:

  • time system;
  • piece system;
  • bonus system.

Time system

The remuneration in such a system depends on the number of hours worked in a given settlement period. It is worth noting that the rates of remuneration refer to the number of time units:

  • hours;
  • day
  • week;
  • month.

The amount of the rates depends, among others on the type of work performed or the qualifications of the employee. As in the case of workers performing manual work, hourly or so-called wages are used. day wages, so the monthly remuneration system applies mainly to office and administrative employees.

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Piecework system

In this case, the employee's remuneration depends on the results of his work, such as the number of products produced.

In the piecework pay system, we can distinguish:

  • simple piecework - consists in calculating the remuneration in direct proportion to the number of products made,
  • progressive piecework - it consists in the fact that the rates of remuneration are increased for products manufactured above a certain standard. The salary increases depending on the degree of exceeding this norm. The employee receives a fixed rate for products manufactured within the norm,
  • flat-rate piecework - consists in determining in advance the remuneration for the performance of the entire work.

Commission system

The commission system is characterized by the fact that the amount of remuneration depends on the quantity and quality of the work performed. The amount of remuneration is determined as a percentage rate and sometimes depends on the professional qualifications of the employee.

Motivating system

The motivation system is everything that determines employees to better work. The organization plan should also include such a point. The most important ways of motivating employees include:

  • bonus system,
  • job evaluation,
  • non-wage benefits,
  • employee development system.

The main purpose of implementing the incentive system in the company is to provide the employee with the feeling that it is worth working more effectively, because the company recognizes and rewards his effort.