Introduction The business world is becoming competitive and managers are looking for ways to enhance the effectiveness of their operations. One way that is emerging as a favorite method with many business managers is the review of organizational structure to determine the effectiveness of the structure (Murphy & Willmott 2010, p. 34). Some structures are more suitable to some businesses while making it good for managers to have a good understanding of each structure. Organization structure refers to the way a business is organized in order to achieve its objectives. Organization structure, therefore, entails the allocation of duties in an organization, coordination and supervision of tasks in order to attain the organizational goals and objectives. This project evaluates the organization structure of the Saudi Arabian Airlines, an organization operating in the Kingdom of Saudi Arabia. The business is based in Jeddah, Saudi Arabia and it operates in many countries in Middle East, Europe, Africa and America (Ali 2008, p. 91). The company offers flight services for passengers and parcels. Until 2006, the organization was the largest carrier in the Middle East, but the United Arab Emirates (UAE) pushed it to second place. The company owns several business units and assets; thus, organizational structure is of much importance to the organization. Classification of Structure and Description of Elements There are various organizational structures based on five elements that are hierarchy, specialization, standardization, and formalization (Tsoukas and Christian 2005, p. 56). Hierarchy means the way in which the authority in the organization is spread while specialization refers to the extent to which different employees perform different distinguished tasks in the organization. Standardization is the need to have common culture, procedures and goals across all departments in an organization while formalization is the level and application of official administration in the organization. An organization should first prioritize its focus before coming up with an organization structure. According to Robbins & Barnwell (2006, p. 37), organizations design their structure basing on several factors such as size, the operations, life cycle of the business, the business environment in which the business operates and the strategic orientation of the business. Small businesses usually have a simple structure, unlike big business. The life cycle of the business is a major factor in determining the organization structure, as more mature companies tend to have structures that seek to enhance their effectiveness. The complexity of a business environment is also a big factor in determining the organization structure. The more complex the environment is, the more advanced the structure should be and vice versa (Robbins & Barnwell 2006, p. 55). There are several organizational structures that include the matrix organizational structure, regional organization structure, departmental organization structure, centralized structure, flat structure and tall structure. The organization structure of Saudi Arabian Airlines is a matrix structure composed of the geographical structure and the functional departments