Tuesday, February 26, 2019

Four Basic Ways a Divisionally Structured Firm Could

There are four basic ship canal a divisionally structure firm could be organized. What are these four ways? Give an showcase of each. The four basic ways a divisionally structured firm could be organized are 1) by geographic area. An display case of this would be any organization with similar branch facilities located in widely dispersed areas 2) by product or service. Huffy is an example of divisional structure by product 3) by customer. Book publishing companies often organize their activities around customer groups as college, secondary schools and reclusive commercial schools and 4) by process.An example of this is a manufacturing business organized into half a dozen divisions electrical work, glass cutting, welding, grinding, painting and foundry work. Each division would be responsible for generating revenues and profits. Compare and contrast restructuring and reengineering. Restructuring involves reducing the size of the firm in terms of number of employees, number of d ivisions or units and number of hierarchical levels in the firms organizational structure. Restructuring is concerned primarily with shareholder wellbeing rather than employee well-being.In contrast, reengineering is concerned more with employee and customer well-being than shareholder well-being. Reengineering involves reconfiguring or redesigning work, jobs and processes for the purpose of improving cost, quality, service and speed. Whereas restructuring is concerned with eliminating or establishing, shrinking or enlarging, and moving organizational departments and divisions, the focus of reengineering is changing the way work is genuinely carried out. Reengineering is characterized by many tactical decisions, whereas restructuring is characterized by strategic decisions.

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