Organizational Structure Essay
951 WordsApr 9th, 20134 Pages
Organizational Structure of Chick-fil-A MGT 230 Tamitha Sprenger October 4, 2012 Charlene Beamon
Organizational Structure of Chick-fil-A One key responsibility of working as a manager is to recognize the best way to organize and run an organization. A manager who can work with and put into motion the structure and plans of a company is very important to the life of the organization. Chief Executive Officer of Chick-fil-A Dan T. Cathy is an example of such a manager and business owner. Chick-fil-A began its journey in 1960 in Hapeville, Ga. Since then the second…show more content…
There are also staff departments, which are the researchers, marketing, accounting, and sales specializations (Bateman, 2011). Because each Chick-fil-A has a private owner, the store operator would be the line department and the corporate office will be the staff department. As defined by Bateman, a Functional Organization departmentalizes around specialized jobs, such as accounting, marketing, and production. Each Chick-fil-A restaurant operates under their own management; however the marketing, production, accounting, and human resources departments operate from the corporate office (Chick-fil-A, 2011). Since, the structure of an organization dictates how the company will grow, creating a strong foundation will benefit a company in numerous ways. Within any business there are the organizational functions that can create the type of structure an organization will have. A business's functions are the things it does. Production, sales, and marketing are a few examples Chick-fil-A has within the company. The organizational structure defines the relationship and interactions between the different parts of the company, and identifies how the chain of command runs through the different levels. When money is earned at a fast pace, it opens doors for the company to expand. As the company grows, they begin to hire more employees and they offer new products.
Contemporary Organizational Structures Essay
Several organizational structures exist in the business world but which one is more effective and efficient? This question is faced by many business owners. "Structure defines responsibilities, relationships and communication channels in an organization." (Payne, 2007).The best way to determine which structure might work is by doing benchmarking analysis to see what other companies chose for their structure and why. "Strategy needs to match structure if the organization is to achieve a competitive advantage. Structure affects an organizations internal communications and controls. Strategy is influenced heavily by culture" (Payne, 2007). The following companies. Microsoft, TD Ameritrade, Inc and Dell, have very different structures and yet they all function effectively. Conducting analysis of them helps to understand why.
Microsoft is a company that produces a set of software technologies for connecting information, people, systems, and devices. After studying the website of Microsoft I came to the conclusion that this company uses a flat structure. Reading about Board Committees, I've learned that Microsoft's Board has five committees an Antitrust Compliance Committee, an Audit Committee, a Compensation Committee, a Governance and Nominating Committee, and a Finance Committee, each of which is responsible for its group (division) companies activities, this helps me to conclude that this company uses a flat structure and its decentralized. Decisions are made within the division and reported directly to Board of Directors.
This company is a "virtual" for several reasons. Some of the reasons are Microsoft has offices world wide according to the Microsoft Worldwide Home page. It has offices in more than 90 countries ( I counted) and its customers can place an order over the internet, phone and by fax - in order for the company to be able to provide such services, it must have a network of outside specialists that all are linked and able to communicate with each other. "Organizations succeeding at virtual collaboration have designed appropriate business and knowledge processes, created thoughtful policies, and monitored process implications and outcomes. They understand the pace at which virtual collaboration is comfortably absorbed by the organization and have deployed the necessary infrastructure to support repeated successes" (Research and Markets, 2008). I believe Microsoft has dual-authority structure. It offers variety family products, such as office, windows, servers, developer tools, games, etc. All these products are supported by different groups though they are able to connect and communicate to each other easily, in other words two -boss employees of two different family groups might work together on a product to share expertise and recourses.
Microsoft has very complex network structural design that works...
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