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In: Accounting

What is the organization culture at Nestle?

What is the organization culture at Nestle?

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Expert Solution

Organizational Culture Nestle has strong corporate culture which is reflected by the company logo itself. experience. The threat of entry is affected by many factors which are economies of scale.There is a tendency for food and beverages manufacturers to product broad range of products.The logo ... We supply information, provide training to employees and contractors to make them aware of their roles and responsibilities in decreasing the risk of work place injury or illness.Nastle is a sales oriented company,in accordance to the opinion of the sales officer of the Nestle.

Nestle organization structure=

A company's organizational chart typically demonstrates relations between people within an organization. Such relations might include managers to sub-workers, directors to managing directors, chief executive officer to various departments, and so forth. When an organization chart grows too large it can be split into smaller charts for separate departments within the organization.

The different types of organization charts include:

Hierarchical

Matrix

Flat (also known as Horizontal)

Nestle Company is a decentralized organization that is organized according to the matrix structure. Nestle as a decentralized organization permits to subordinate branches to enjoy a proportionately high-level of independence. Although it still makes major strategy decisions at the headquarter level, daily operations are left up to subordinate branches to derive and perform. The responsibility for operating decisions is push down to local units (Broeckx & Hooijberg 2008).

In organization structure, Complex system is a system that is comprises a large number of entities that display a high level of nonlinear interactivity. There are number of basic observations that have been made through the examination of complex systems, mainly using computer simulation and the mathematic of non-linearity. (Unden 2001)

Complex systems are usually open systems. Nestle, over its long historical development from a small village operation to the world's leading food Company, has illustrate an excellent capability to adjust to an ever-changing external environment, without losing its basic beliefs and core values, so important for long-term success. Over the years to come, this capability will continue to be challenge even more as Nestle is growing in size and complexity up to a dimension, which demands a continuous development of its organisation and of the way in which it run (Christopher & Yannicrumar 2008).

Nestle organization Chart= In Organization chart, we can see that the management of Nestle is also divided into 3 types' top-level management, middle level of management and low-level management.

Top Level of Management: =

It contains of board of directors, chief executive or managing director. The top management is the final source of authority and it manages aims and policies for an initiative. It dedicates more time on planning and coordinating functions.

The role of the top management can be summarized as follows:

Top management broad policies of the enterprise and lays down the objectives.

It issues necessary instructions for preparation of subdivision procedures, schedules, budgets, etc.

It prepares strategic policies & plans for the initiative.

It appoints the executive for middle level for instance departmental managers.

It coordinates & controls the activities of all the departments.

It is also responsible for maintaining a contact with the outside world.

It provides direction and guidance.

The top management is also responsible towards the stockholders for the performance of the initiative.

Middle Level of Management =

The branch managers and departmental managers constitute middle level. They are responsible to the top management for the operative of their department. They devote more time to directional and organizational functions. Their role can be highlighted as:

They execute the plans of the organization in accordance with the policies and directives of the top management.

They make plans for the sub-units of the organization.

They participate in training & employment of lower level management.

They understand and explain policies from top-level management to lower level.

They are also responsible for inspiring lower level managers towards better performance.

Lower Level of Management=

Lower level is also known as operative/supervisory level of management. It contains of supervisors, superintendent section, officers etc.. Their activities include -

Assigning of jobs and tasks to various workers.

They instruct and guide workers for day-to-day activities.

They are responsible for the quality as well as quantity of production.

They are also entrusted with the responsibility of maintaining good relation in the organization.

They communicate workers problems, suggestions, and recommendatory appeals etc to the higher level and higher-level goals and objectives to the workers.

They help to solve the complaints of the workers.


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