These divisions have control over their day to day operations, they still are answerable to a central authority that provides the overall strategy for the organization and coordinates its implementation among the divisions. Each division will be responsible for its profit and loss as well. Large corporations, especially large multinational corporations, utilize divisional structure. Advantages Few of the advantages of divisional organizational structure are: It allows the team to focus upon a single product or service, with the leadership structure that supports major strategic objectives Having a separate division with its own reporting structure, allows company to focus on its core tasks improving profit of the organization. Having focus on the product or service, improves the morale of the employee thereby improving productivity.
Functional structure: it improves particular section in an organization according of skills and works and associates their workers into particular section of functional areas. To manage and control this structure is simple when compared to other, so assists in developing the effectiveness. Nevertheless, the organization will fall won if effective communication within these section of function is lack. 2. Divisional structure: it the structure that is an organization makes division according of geography, market, product and service.
Which departments will be more formalized? Why? When decentralizing the organization, managers will be responsible of different groups and departments, where you will find different tasks and concerns. Therefore, each department should be managed in a way that suits the structure of it. Managers will eliminate the autonomy in the departments and will introduce the hierarchical system.
2. Divisional structure: Such type of organizational structures are suitable for large sized group of companies like Unilever or Volkswagen. Huge sized organization in which different departments are operates separately to produce certain types of products are also adopted such structural technique. However communication flow is also not as productive in such structures as departments are working independently and often employees of each departments are answerable to their own officials. One of the benefit of this structure is timely delivery of products as work is being down in divisions so this makes the flow of work more fast and
Grunig adds that if this is done, the organization may benefit in the following ways: 1) Employees can make decisions themselves since they have the tools and knowledge to know the «right» decisions in line with the organization 's goals 2) Staff can identify with the goals, mission and procedures of the organization, which can result in a sense of «making a difference» and Increase effort and efficiency, 3) Departments will share more resources and information resulting in less duplication of work, 4) Day-to-day conflicts can be reduced since a lot of conflict within an organization is as a result of conflicting ideas on what is important to the
Additionally, their goal was to create a company that satisfaction was the first priority both to clients and workers. In this day and age, the key to success of any organization is its ability to maximize its capacity by ensuring optimum utilization of the available resource that includes, but not limited to information, technology, Human resource, financial
Appex Corporation Case Study Amit Misra WMP12004 Amit Samdani WMP12005 Amit Shankar WMP12006 Debasish Deka WMP12017 Q1. What were the challenges that Shikhar Ghosh faced when he joined Appex Corporation Appex Corporation was a start-up organization established in 1986 with domain expertise in the Telecom sector. It catered to the booming mobile sector providing solutions in two particular categories – Intercarrier Services and the Cellular Management Services. The work force was dedicated but however not disciplined. While there was no formal structure, the existing one was fluid in nature and had very good team co-ordination – horizontal linkages were excellent.
PROBLEMS FACED BY MEED’S CORPORATION • Lack of Human Resource Planning MEED was not following formal planning process. The common view among employees was that if things had worked out before without much long range planning, they would work out again. Human resource planning was the most critical problem faced as most of the positions were empty and one person was looking over two or more positions. Moreover there were some who argued that emphasis should be on meeting operating goals rather than identifying positions that needed filling and planning to get the right people into the place. There was no proper organizational chart that can maintain a proper chain of command • Lack of Job Description and Specification There was no properly defined job description and job specifications due to which there was either misunderstanding of jobs to be performed or either many important positions were left empty in the organization.
Control - The organizational structure is built so that it is easier to control the business. It gives you a clear view of who’s in charge and who’s under who. You can also see the different functions your business have so that it will be hard to get confuse of how you see your business and how it actually works. 2. Communication – Communication is very important to any business.
After two years of helping entrepreneurs, while still running his vehicle security business, he decided leave the vehicle security business. He sold his stake to his partners, and went into helping entrepreneurs full time and officially started Raizcorp. It is clear that Allon had discovered a systemic approach to solving problems that was applicable to many