Company Structures, Management Styles, and Organizational Principles

Company: An organized entity created by one person or a group of people with the aim of achieving benefits or objectives, usually economic. Various factors contribute to production.

Company Size: Micro (<10 employees); Small (<50 employees); Medium (<250 employees); Large (>250 employees)

Legal Status: Legal capacity to act or undertake between an organization and the legal world, holding rights and obligations with third parties.

Types of Enterprises:

• Sole Proprietorship: (1 partner, unlimited liability, no separate legal personality)
• Limited Liability Company (SL): (2+ partners, liability limited to €3,005.06, separate legal personality)
• Public Limited Company (SA): (2+ partners, liability limited to €60,101.21, separate legal personality)

Ranking: Management of people through the establishment of ranges or levels of authority and responsibility that interrelate (linear, functional staff).

Departmentalization: A way to group people responsible for performing the same functions in order to control and coordinate various tasks.

Military or Linear Organization: Based on the presence of a head who makes decisions and has full responsibility.

Taylorism: Seeks to increase productivity through a system of specialization of labor.

Toyota Production System: Organizes work teams with access to information for assigned tasks. The production system, called just-in-time, supplies the required quantities of raw materials at the right time and place.

Planning: Setting the course of action.

Organizing: Creating the company structure, defining tasks, and forming work teams.

Managing: Making decisions and motivating people.

Controlling: Detecting and correcting deviations from the plan.

Skills Management: Emotional intelligence, self-confidence, strong communication skills, adaptability to change.

Delegating Tasks: Assigning tasks and authority to employees, making them responsible.

Middle Management Functions: Planning production, being responsible for the product or service, organizing productive processes, coordinating and monitoring delegated functions, transmitting company culture, and motivating workers.

Leader: A person recognized as a leader, able to influence the behavior of others.

Characteristics of Leadership: Being positive, meeting objectives, being able to inspire, having good communication skills, awareness of strengths and limitations, and promoting teamwork.

Leadership Styles

Autocratic Style: The boss makes decisions and imposes their criteria.

Laissez-faire Style: The boss does not intervene, leaving decisions to group members.

Democratic Style: The leader proposes tasks, and the group decides on a work plan by consensus.

Paternalistic Style: The director makes decisions related to work without involving others.

Bureaucratic Style: Strictly adheres to established regulations, respecting the hierarchical structure.

Participatory Style: The manager involves subordinates in decision-making, sharing responsibility and consequences.