Preview

jh8h8

Satisfactory Essays
Open Document
Open Document
362 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
jh8h8
Student Board Room
Agenda
Principles of Management
Week: 5 Session: 2 Case: GM’s structuring for comeback? CEO: Nishaant Dalmia
CEO’s Decision:
We decided that GM should structure itself in a product organization grouping manner.
CEO’s Rationale:
A departmentation by product would be the way for GM to structure itself for a comeback in the latest markets. One of the big reasons for this organization structure is that it allows for growth and diversity of products and services. This is very important in GM’s case as it already has a set of established brand names such as Cadillac, Corvette and GMC and with increased growth for all these products, the company would be more capable of innovating new improvements to these products. These new innovations would then add to the profitability of GM.
This departmentation would also allow for good training grounds for new general managers who can rise within the ranks of GM so that the company can keep running even in the future. Another reason why this departmentation would be beneficial as GM is already established with proper capital and knowledge of the industry so this organization structure could further utilize the departmentation to the best of its abilities.
Your key questions:
Can a mixture of department structures prove to be useful for GM?
Can GM make a successful comeback?
Your key answers:
A mixture of department structures may indeed prove useful for GM as we think that a mixture of product with territorial departmentation would counteract the negatives of each departmentation type and allow for an even more flourishing company.
GM can indeed make a successful comeback as depicted in the text which stated that GM made a record profit in 2011. As long as the innovation and constant product improvement keeps occurring, GM can sustainably gain profit in the long run.

Key observations about being the CEO or group member :
After interacting with the me members for more then a month,now we all

You May Also Find These Documents Helpful

  • Satisfactory Essays

    MGT330 Week 2 Dis 1

    • 487 Words
    • 2 Pages

    • Divisional structure with departmentalization by product: Divisional structure allows for quality control and close monitoring of product within a department without being overwhelmed by overall company function and goals.…

    • 487 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Mgt 230 Week 4 Paper

    • 1799 Words
    • 8 Pages

    There are several advantages and disadvantages of divisional structure. The divisional structure focuses the attention of employees and managers on results for the product, the customer, or the geographical area. Divisional structure is flexible and responsive to change, because each unit focuses on its own environment. Coordinating among different functions within the division benefits from singleness of purpose, because each division is a self contained unit, responsibility and accountability…

    • 1799 Words
    • 8 Pages
    Better Essays
  • Powerful Essays

    Although there are different types of structures (Appendix 2), it seems that Google and Apple are quite ‘new’ companies and their structure does not resemble the traditional type of structure, this will have positive implications for both companies as their structure will be relevant to today’s times and the business needs. A downside of not having a traditional type of structure within these companies is less chance of promotion as there are not many levels within the organisations as there would be with a hierarchy formed structure.…

    • 3454 Words
    • 11 Pages
    Powerful Essays
  • Satisfactory Essays

    Jhnlk

    • 276 Words
    • 2 Pages

    In what ways did religion and economic influence the development of medieval Europe and Japan?…

    • 276 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Management Structure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4…

    • 4711 Words
    • 19 Pages
    Good Essays
  • Powerful Essays

    Hrm/531 Week 9

    • 1329 Words
    • 6 Pages

    1. Functional departmentalization: grouping jobs according to function (engineering manager, accounting manager, manufacturing manager, HR manager, purchasing manager…)…

    • 1329 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    O&M organisation, described as "light center, strong regions" has reached a "delegation" evolution phase and its size has triggered a control crisis, as modelled by Greiner. Top executives have lost control of Ogilvy's decentralized and diversified operations.…

    • 1108 Words
    • 6 Pages
    Good Essays
  • Better Essays

    Procter and Gable

    • 1374 Words
    • 6 Pages

    4. How is this structure different from the structure shown in Diagram 1? Country managers not brand managers has responsibility of profits and market strategy. Country GM’s adapted P&G technology and marketing expertise to local markets…

    • 1374 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Bill Gore

    • 2633 Words
    • 11 Pages

    * Diversified conglomerate- product management – divided into four divisions, protect against swings in industry unrelated diversification…

    • 2633 Words
    • 11 Pages
    Powerful Essays
  • Satisfactory Essays

    Detroit Electric

    • 337 Words
    • 2 Pages

    Ford and Detroit Electric are both car companies. The major difference is that Ford manufactures cars whereas Detroit Electric does not. Ford’s organizational structure will most likely resemble other manufacturers’ structure, i.e. functional departmentalization. A major disadvantage of this structure is that because specialists are working with and encouraging each other in their areas of expertise and interest, organizational goals may be sacrificed in favor of departmental goals; hence, the inability to coordinate efforts amongst competing department to achieve the goal of producing electric vehicles.…

    • 337 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    In a current economy the organizations are taking a complete view of their operational activities to save cost, increase productivity, and maintain the level of market shares they own in different market segments. Our analysis of Best Buy was to review the current operational structure and determine whether their management structure needs improvement. Our conclusion after reviewing different levels of management in Best Buy’s organizational structure is that Best Buy must stick its strategy. They have transformed their structure in a way that they can expect and align optimum levels of productivity from each management level. They have kept the upper management levels small, but yet their layers of management carry an optimum level of experience…

    • 326 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    question

    • 307 Words
    • 2 Pages

    Explain why an organization must use various department bases at different levels of the structure.…

    • 307 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Organizational design and structure allow a company to organize itself into different divisions that make work and labor occur more efficiently. Departmentalization is a method of subdividing work into separate organizational units that perform particular tasks. Pfizer uses product departmentalization in order to organize the company into separate units that produce particular products or services. Pfizer manages its operations through five divisions: Primary Care, Specialty Care and Oncology, Established Products and Emerging Markets, Animal Health and Consumer Healthcare, and Nutrition (Reuters, 2012).…

    • 808 Words
    • 4 Pages
    Good Essays
  • Good Essays

    ▪ Product departmentalization - Grouping activities by product line. Tasks can also be grouped according to a specific product or service, thus placing all activities related to the product or the service under one manager. Each major product area in the corporation is under the authority of a senior manager who is specialist in, and is responsible for, everything related to the product line. LA Gear is an example of company that uses product departmentalization. Its structure is based on its varied product lines which include women’s footwear, children’s footwear and men’s’ footwear.…

    • 626 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    A close look at any industrial enterprise will reveal that it comprises several departments – marketing, productions, finance, personnel, research and development and the like-the principle of division of labour being practiced.…

    • 940 Words
    • 4 Pages
    Satisfactory Essays