In the present era of corporate business, all the organisations require to possess an effective organisational structure. Organisational structure is static and dynamic in nature. It is a pattern of relationships among the components of the organisation. An organisation structure is a hierarchal term, which contributes to a common purpose (Driver & Michaela, 2007).
This paper is explaining about the organisational structure of Kalitta Air and recommendations for its Improvement with a justified rationale.
Organisational Structure of Kalitta Air
Kalitta Air Company is an American cargo company. It is an airline based in Ypsilanti, Michigan, USA. According to the organisational chart of the company it has a functional organisation structure (The Official Borad.com, 2011) because there are mainly three main executives, who handled different departments.
Functional Organisation Structure of Kalitta Air
In this type of organisational structure of the company, the manager has an earmarked team and here all the members directly report to the manager. In this structure, heads of various functional departments report to the Chief Executive Officer for their specialized functions in the management of the organisation. The manager is supported by the engineers and experts and the clerical staff functions as a coordinator (Luthans, 2004). In this structure the level of authority and responsibility is clearly defined. There are well structured communication channels. The strongest functional group dominates the decision making process.
Recommendation and Rationale to Improve the Structure
Functional organisational structure is a very effective for the business firms but in order to operate international level and manage different branches at different locations (beyond geographical boundaries) company should improve its structure from functional to matrix divisional structure. It is significant for Kalitta Air to operate at international level and manage the complexity available in the global market. In order to improve the structure of the company, management should align the design of the organisation and process that is used to achieve the goals of the firm. This would help the management to save money and time and improve productivity of the workers (Siddiqui, 2005).
By implementing Matrix divisional structure, it would be easy for the company to establish a formal hierarchy and sharing authority between the manager and his team of functional managers (Driver & Michaela, 2007). This would lead improvement in the efficiency of process and optimum utilization of resources.
Span of control is another way to improve the structure of the organisation. By implementing span of control, it is also possible for the company to minimize conflicts and developing knowledge among all the members about their roles and responsibilities (Luthans, 2004). To have uniformity in the objectives and functions of the organisation, span of control is essential. It is also favourable to execute matrix structure to for each manager to integrate the contribution of personnel in various functional departments towards the achievement of objectives.
Thus, on the basis of above discussion, it can be said that Kalitta Ait has functional organisational structure and it can be improved by executing span of control establishing hierarchy and align the organisation design and processes to improve the practices of the company. So, it should change the structure from function to matrix divisional structure to manage complexity.
Driver, J. & Michaela, W. (2007). Meaning and suffering in organizations. Journal of Organizational Change Management, 20 (5): 611-632.
Luthans, F. (2004). Organizational Behavior (10th Edition). New York: McGraw Hill Publishers.
Siddiqui, T. (2005). Organizational structure: management techniques and lessons learned in aligning technical and program management resources in engineering-intensive organizations. Massachusetts Institute of Technology, System Design & Management Program.
The Official Board.com (2011). Kalitta Air. Retrieved from http://www.theofficialboard.com/org-chart/kalitta-air