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Conclusion

Organisational design involves determining the structure and authority relationship for an organisation in order to implement the strategic plan. The choice of design makes a difference because not all forms support a particular strategy equally well. Like a plan, an organisation's design should be a means to an end not an end in itself.

The external environment greatly influences organisational design due to the pressures for change that it exerts. This pressure requires managers to consider the interrelated issue of strategic planning. Organisational design and strategy directly influence the ways in which managers' structure and coordinate the various organisational activities.

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