In: Operations Management
For a global business, organizational structure is not important. Do you agree with this statement? Support your position. Please include a reference
Answer-
I have to disagree with the question being asked, because I do believe that organizational structure is important in every business especially in global business. Working for a global corporation like Walmart you get an insight into this. We have structures throughout our company both domestically and internationally. Organizational structure is the formal arrangement of roles, responsibilities, and relationships within an organization which allows a business to conduct better negotiations and better business deals. Company’s need organization this allows for a smoother transaction between the business and potential suppliers. At Sam’s Club we are a global business that operates in several countries, and with the organizational structure we function a better rate than if we didn’t have one. Every country needs to have organizational structure so that work tasks can be divided, and there can always be someone who is responsible for their small role that up to the big machine. On the merchant side for Sam’s Club we have many parts from a Merchandise Assistant to an Associate Buyer, Sr. Buyer, and so on, this allows for all of us to have a role that allows giving the best good and service to our members. Our members are our priority without them we don’t work. This is possible by executing our plan which has been divided by different teams that follow under our structural system. Vaid provides a great example, which I believe is something any global business should follow which is his product division structure. He states that this modal allows for global companies to have groups in charge of a product segment for the company’s global market divisions. When each department has its own responsibility the workload is spread throughout the company, and many things are able to get done in a more organized way due to companies having an organizational structure.