Question

Organizational structures provide a foundation for the organization in terms of communication, decision making, power distribution, etc. At the end of the day organizations fall into one of three major categories in terms of their formal organizational structure: functional, divisional, matrix. For this assignment, you will utilize the organization you are currently or have worked for to answer the following questions:

1. List an organization in which you have or are currently working.

2. What organizational structure does the organization embody? Justify this answer.

3. Describe the benefits of the organizational structure in terms of your experience in the organization.

4. Describe the drawbacks of the organizational structure in terms of your experience in the organization.

5. Would the organization benefit from a change in structure? Why or why not?

6. How does the organizational structure support the organization's culture? Explain thoroughly.

Answer 1

1. I am currently working with Amazon Inc.
2. Amazon.com Inc. has a functional organizational structure. The framework relies on corporate objectives as the basis for assessing the relationships between the organization's elements.

3. Amazon's organizational structure facilitates worldwide expansion in the e-commerce sector with positive outcomes. The continued success of the corporation is expanding its market is an indication of the suitability of this form of organization. One benefit of function-based groups and leadership is that they allow Amazon.com Inc. to execute administrative orders efficiently and effectively. Also, regional distinctions in some countries, such as North America, are helpful in promoting an emphasis on online shopping industry issues and corresponding economic conditions.

4. One downside of this organizational system is that its versatility and sensitivity are minimal. Amazon's ability to react rapidly to emerging challenges and difficulties found in the e-commerce industry is limited by the domination of regional function-based communities and regional hierarchy characteristics. Therefore, a suggestion is for the organization to consider raising the superiority of certain structural features. Through the authority or degree of control of state or municipal departments, Amazon may also create greater versatility and responsiveness.

5. Yes, organizations benefit from a change in the structure. But these changes are very hard to implement. Companies implement consultants like PWC, Mckinsey to understand the dynamic of the organization and suggest necessary steps to implement these changes. Implementing takes more than 3-4 years yet it is hard to tell whether people will accept these changes.