•Structure largely dictates how objectives and policies will be established. The structural format for developing objectives and policies can significantly impact all other strategy-implementation activities.
•Structure dictates how resources will be allocated. Eg. Allocation of resources will be determined by whether structure is based on customer groups or along functional areas.
When a firm changes its strategy, the existing organisational structure may become ineffective.
Chandler found a particular structure sequence to be often repeated as organisations grow and change strategy over time.
