Saturday, February 16, 2019
The Importance of Matching Strategy, Design and Structure for Organizat
Many companies today face the challenge of orbicular expansion enchantment trying to maintain organizational effectiveness. There ar several reasons wherefore companies would destiny to expand their operations into other countries. If a company has achieved trade saturation with its existing customer base, it may want to expand globally to reach a impudent group of customers. In order of battle for the blotto to be considered organizationally effective, it must maintain control over its new global environment (Jones, 2013, p. 16). A company may also want to take advantage of lower production costs, new skills and capabilities or just now resources that can be found in other countries. These new slipway of doing business lead to innovation, the second component of organizational effectiveness (Jones, 2013, p. 16). Finally, a company may want to expand globally in order to enhance their own core competences such as research and victimisation or more efficient producti on methods. Efficiency is the third ingredient reviewed when companies evaluate their overall effectiveness (Jones, 2013, p. 16). In order to meet these trinity effectiveness goals, the company must first consider its strategy, design and body structure to ensure that these elements are compatible with the countries into which they want to expand.The first question is what eccentric of strategy will work best for the companys global expansion. The strategy chosen will depend heavily on the local anesthetic culture of the country and on what type of product or work the company is providing. It should be noned that a company may not use the same strategy in each country in which it does business. According to Gucharan Das, former chairman of Procter & Gamble in India (2006), Globalization does not mean imposing homog... ...vital questions that companies must answer when expanding into the global marketplace. If any of these elements are missing, the company cannot properl y service its customer base. Ultimately, increasing sales and in effect controlling costs will allow the company to succeed. As the company expands globally, its management must review the firms core competences and settle what type of strategy, design and structure will allow them to be the intimately effective while staying ahead of their competition.Works CitedJones, Gareth R. (2013), Organizational Theory, Design, and Change, Seventh Edition, upper berth Saddle River, New Jersey Pearson Education, Inc.Rabin, J., Miller, G., & Hildreth, W. (2000), Handbook of Strategic Management, New York M. Dekker.Steers, Richard M., & Nardon, Luciara (2006), Managing in the Global Economy, Armonk, N.Y. M.E. Sharpe.
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