Organizational Structure and Effectiveness

Running head: ORGANIZATIONAL STRUCTURE AND EFFECTIVENESS
Organizational Structure and Effectiveness
Name of the Student
Name of the University
Author note

ORGANIZATIONAL STRUCTURE AND EFFECTIVENESS1
Executive Summary
The report has helped in analyzing the organizational structure of Woolworths in the
competitive environment of business. It has been noticed that the company has been
following the bureaucratic hierarchical organizational structure which has been impacting the
growth as well as profitability of the company negatively. In addition, the management
innovation such as self-check out system has been suitable for improving the experience of
customers, however it affected the morale of the employees negatively. In addition, there are
different kinds of negative impact on performance of the company that has affected their
morale negatively, Lastly, the recommendations have been provided which will be suitable
for improving the growth prospects.

ORGANIZATIONAL STRUCTURE AND EFFECTIVENESS2
Table of Contents
Introduction and Overview of Woolworths...............................................................................3
Section 1: Overview of the Organizational Structure of Woolworths, strategies and possible
Reasons......................................................................................................................................3
Organizational Structure of Woolworths...............................................................................3
Strategies of Woolworths.......................................................................................................4
Section 2: Impact of The Company’s Structure on Management Innovation............................5
Section 3: Impact of The Company’s Structure on Overall Business Performance..................6
Recommendations for Woolworths............................................................................................7
Conclusion..................................................................................................................................9
References................................................................................................................................11

ORGANIZATIONAL STRUCTURE AND EFFECTIVENESS3
Introduction and Overview of Woolworths
As commented by Ahmady, Mehrpour and Nikooravesh (2016), the organizational
structure helps in providing proper guidance to the different employees through laying out
official reporting type of relationships which is suitable in governing the work flow of the
organization. It assists in clarifying the relationship as well as lines of authority which best
suits the company. The report assists in analyzing the organizational structure of Woolworths
Company which is situated in Australia. In addition, the impact of the organizational
structure on the management innovation is required to be identified as well as on the overall
performance of the business effectively.
Woolworths Supermarket is one of the Australian supermarket or grocery store which
has been owned by Woolworths Group. The company was incorporated in the year 1924 and
both Coles and Woolworths form proper near-duopoly of the Australian market which
accounts to more than 80% of the Australian supermarket (Woolworths.com.au 2019). It
mainly specializes in selling the different kinds of groceries such as vegetables, health and
beauty care products and it operates in more than 1000 stores across Australia and in other
countries such as 995 other locations. The revenue has increased to A$56.726 billion till the
year 2018 and the number of employees is 115000.
Section 1: Overview of the Organizational Structure of Woolworths, strategies and
possible Reasons
Organizational Structure of Woolworths
Woolworths started their business in the year 1924 as the entrepreneur and small
subjugated company with modest type of structure under the name of Woolworths
Stupendous Bargain Basement in Australia. However, in the future, Woolworths was