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The most important thing in any organization is the management. This is considered to be very crucial component, as it determines the growth of the organization through foreseeing the daily running of various activities. An organization is said to be made up of a corporate structure. This is the way in which different positions and departments are grouped within an organization, each performing separate task but operates together as a single unit (Roy, 1997).

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Some of these departments in a corporate structure many include the marketing department, human resources department and accounts department. However, it is very important to note that, the hierarchy of job positions is very much crucial to the corporate structure which may include the CEO, board members, and shareholders of the corporation.

Each of the above group plays very important role in the organization. For example, the Chief executive officer is one of the most important components of a corporation as he or she is the highest ranked officer in that company. Chief executive officer normally makes sure that, he aligns the company. The major duty here is to always facilitate business of the company in the outside while giving the right directions to the employees so that they may perform their required duties in the most appropriate way (Bowman, 1996).

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Another important element is the Board of the directors. Once the company is set up, it is the responsibility of the share holders to elect the board of the directors. The major role played by the board of the directors is to approve corporate activities and transactions which may include the contracts and agreements made by the corporation. They also play critical role of amending corporation's bylaws. The number of board of directors varies from one corporation to the other. This is normally determined by the size of the corporation.

The other key pillar of a corporation is the shareholders. These are the people who are said to have the ownership of the company. They invest their money in the company with an aim of making profit out of it. When a corporation is formed, the first shareholders are the real owners. In most cases you find that, as the corporation grows, other people get interest and join them though in Small Corporation where growth is minimal the shareholders barely increase. It is very important to note that, a corporation is required by the law to hold shareholders meeting annually so as to elect corporation directors, though in some special cases they may meet be required to meet especially if a certain activity requires their approval(Kilduff, 2001).

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Some people do not differentiate between a Public held and closed corporation. A public corporation is the company that has the authority to offer its stock or bonds to the public and these stocks are sold through stock exchange markets, while with a closed corporation, it is a company in which all of the voting stock is strictly limited to a certain number of shareholders mostly the family members. In other language, a closed corporation is also known as private company (Roy, 1997).

When we compare the publicly owned corporation to a closed one we can say that, a publicly owned corporation has greater access to finances due to its great ability to issue more stocks. It is due to this reason we have witnessed in the past few years many closed corporations deciding to go public so as to enjoy the same.

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