Organisation design shapes people processes and is a key competency on the CIPD Profession Map. As such, HR practitioners need to understand how organisation design shapes an organisation’s structure. Although there is overlap between organisation design and organisation development, the factsheet highlights the distinction between the two.

The factsheet defines organisation design within the context of organisation design theory and examines the common types of organisational structures: Functional, geographical, product-line based, customer/market-based, and matrix. The factsheet concludes by examining the factors influencing the choice of organisation design, including organisation design and business objectives, organisation design and culture, and people processes.

CIPD viewpoint

What is organisation design?

Approaches to organisation design

Types of organisational structures

Factors influencing the choice of organisation design


Useful contacts and further reading

You may also be interested in ...


Organisation design

A guide to organisation design approaches, the types of organisational structures, and the factors which influence the choice of organisation design

Read more

Landing transformational change

Episode 107: This episode explores the critical role of HR and OD professionals in leading change and becoming expert facilitators as well as discussing the experiences of organisations who are getting it right.

Read more

HR Outlook

Produced in association with Workday, this report provides insight and expert commentary about HR’s current and future contribution to business performance

Read more