Summary: Strategic Organizational Development

Strategic Organizational Development

Introduction

The internal characteristics of the organization make up critical sources for success (Barney 1991). More attention has been paid to find out what characteristics are important to organizational success and how they influence organizational outcomes. Internal organizational context engaged in broad and relatively stable sorts of organizational characteristics, for example structure, culture and power (Pettigrew 1979). Therefor, the internal characteristics like structure, culture and power are all determine organizational success, which means, how the organization design the strategy is the first primary to achieve their business goal. However, strategic management and organizational development

According to chart 1, the high management level of ME Airline adapts multidivisional structure model; multidivisional structure is ‘a structure in which support functions are placed in self-contained divisions’ (Gareth 2013:178). Each division is independent and has its won set of support function. There are four levels of management: Chairman & Chief Executive of Airline and Group, President (divisional) oversees the activities of Airline or Group individually, five executive vice-president individually in charge of five functional departments, which are HR Department, Chief Operating Officer, Chairman’s Officer & Facilities/Projects Management, Service Department and Chief Commercial Officer and under those five executive vice-presidents, there are the five senior vice-presidents controlling relative functional or operational areas. This is the basic structure of ME Airline. However, ME Airline, a large and complex organization, has seven operation divisions, which are airline, cargo, membership, official store, EmQuest, Aviation collage and engineering. Also, the company has staff number over 61,000 locating in more than 120 cities in the world wild (annual report 2015-2016). Therefore, the essay will only study on airline related

Firstly, the multidivisional structure is designed to allow each senior vice-president to operating their business even having their own department culture. Moreover, each senior vice-president has the responsibly to design the divisional structure that best meets the needs of the products and customers of that department. However, each department could form their own strategy gradually, which may violate organization’s strategy. This could lead to the divisional department disassociation with the organization. Secondly, four levels of leadership layer could delay the information pass, such as new policy information pass from high level to low level, defects report from low level to high level. Thirdly,

Adapting multidivisional structure can help ME Airline to achieve their business strategy to some extent. The goal of ME Airline is: ‘to reach on top by excelling what we do’. The mission is: ‘to deliver the worlds best in flight service’. The vision is: ‘to make civil aviation safe, leading and sustainable’ (website). To achieve those business strategy, the organization structure must allows for clear communication, rapid decision making and flexibility, advanced facility, efficient staff management, pioneering ideas, innovative