Tuesday, March 26, 2019

The Importance of Matching Strategy, Design and Structure for Organizat

Many companies today slip the challenge of global expansion while trying to maintain organizational effectivity. There are several reasons why companies would inadequacy to expand their trading operations into other countries. If a company has achieved market saturation with its existing guest base, it may want to expand globally to reach a modern group of customers. In order for the firm to be considered organizationally effective, it essentialiness maintain control over its new global environment (Jones, 2013, p. 16). A company may also want to take advantage of let down production costs, new skills and capabilities or scarce resources that can be found in other countries. These new ways of doing business lead to innovation, the sustain component of organizational effectiveness (Jones, 2013, p. 16). Finally, a company may want to expand globally in order to enhance their own onus competences such as research and development or more in effect(p) production method s. Efficiency is the third element retrospected when companies evaluate their overall effectiveness (Jones, 2013, p. 16). In order to meet these three effectiveness goals, the company must first consider its outline, design and bodily structure to ensure that these elements are harmonious with the countries into which they want to expand.The first question is what type of strategy leave behind lop best for the companys global expansion. The strategy chosen ordain depend heavily on the local culture of the country and on what type of product or function the company is providing. It should be famed that a company may not use the same strategy in each country in which it does business. According to Gucharan Das, former prexy 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 properly service its customer base. Ultimately, increasing sales and effectively controlling costs will allow the company to succeed. As the company expands globally, its management must review the firms core competences and decide what type of strategy, design and structure will allow them to be the most effective while staying forwards of their competition.Works CitedJones, Gareth R. (2013), Organizational Theory, Design, and Change, Seventh Edition, Upper Saddle River, New tee shirt 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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