Management Essay: Evaluating Acme Widgets Inc. Structure and Design

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Added on  2023/04/23

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This essay provides a comprehensive analysis of Acme Widgets Inc.'s organizational structure, examining its effectiveness and implications. The essay begins with an overview of the organization's structure, including an organizational chart, and then delves into the appropriateness of its departmentalization methods, which are categorized by function, product, customer, and geographic location. The essay explores the implications of the established authority structure, from the president to the vice presidents, and suggests improvements such as a more detailed management hierarchy. Furthermore, the essay investigates the impact of the current organizational structure on job design, discussing methods like job rotation, simplification, enlargement, and enrichment, with a focus on the company's preference for job enlargement. The essay concludes with an evaluation of the structure and offers recommendations for improvement, such as enhancing the organizational structure for better data control and adopting different job design methods to avoid overburdening employees. The essay utilizes references to support its arguments and recommendations.
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Running head: MANAGEMENT
Management
Name of the Student
Name of the University
Author’s Note
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Table of Contents
1. Structure of an organization chart for the top three or four levels of the organization...............2
2. Appropriateness of the method of departmentalization...............................................................3
3. Implication for authority..............................................................................................................4
4. The implications of the current organizational structure for job design......................................5
5. Conclude your evaluation with your recommendation................................................................6
Reference List:.................................................................................................................................8
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1. Structure of an organization chart for the top three or four levels of the organization
In order to run the entire process of business successfully the organization has to follow a
proper structure so that the entire business operation can be run systematically. (The proper
organizational structure is attached in separate document.)
Ashkenas et al. (2015) opined that an organization is primarily constituted with several
departments. Marketing department generally handles customers by their products and services.
In case of Acme Widgets Inc, the organization deal with three major types of customers. They
deal with government and their products deliver to retail as well as wholesalers. Accounting
department is handled by several managerial functions. Manufacturing department primarily
concentrates on product size and the human resource management is departmentalized by
geographic regions. In order to meet the organizational goals and objectives the business experts
have to follow a proper hierarchy of business so that goals can be met.
2. Appropriateness of the method of departmentalization
While making the organizational structure of Acme, it is observed that
departmentalization is divided intro four major categories, which imply departmentalization by
function, by product, by customers and by geographic locations. Marketing, accounting,
manufacturing and human resources are four major departments, which control the entire
process of business. In the department of marketing, the executives always intend to introduce
their brand in market so that they can grab the attention of customers. The department of
accounting controls the entire financial database of the company based on which the business
experts can evaluate their own performance in the market. The role of accounting department is
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to analyze the overall loss and profit margin of the organization by evaluating the current market
performances. On the other hand, it is observed that accounting department calculates the annual
report of the organization along with its scopes of market improvement. Manufacturing
department of Acme primarily handles product design, manufacturing and product packaging.
Lastly, the role of human resource department is to evaluate the performance level of the
employees. Maintaining employee retention plan along with selection and recruitment procedure
is the primary responsibility of human resource department.
As per Acme structure, Departmentalization by customers is implied in three categories
including retail, wholesale and government. East, waste, north and south are the four major
geographic regions based on which the customers are targeted. Products are departmentalized
into four major ways that include big widgets, medium, small and tiny. However, these four
categories of departmentalization is highly important in order to target the audience properly
(Lin, 2014). If the organization is not structured intro different divisions the business experts
would not be able to control the entire operations. In addition, the employees who are hired
within organization are from various expertises. Appropriate experts are appointed for specific
department so that they can handle the entire business operation with full competency.
3. Implication for authority
The authority that has already been established for Acme Widgets Inc has major
implication in rendering the overall business success. President controls the entire business
operations. There are four vice presidents who control every single department of marketing,
manufacturing, human resource and accounting (Ilin et al., 2016). The business managers have to
give a constant update to the vice presidents about the flow of business as well as performance of
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the employees. If the business authority do not keep an update about the business performances
the employees would not like to perform well to reach the target of its business.
While evaluating the major implications of business authority some of the major
suggestions can also be provided to the current organizational structure. The business authority
of Acme is suggested to increase their management hierarchy so that business experts can
identify every single loophole at their workplace. On the other hand, it can also be suggested that
the implementation of assistant management and team leader would help the organization in
enhancing the entire performance level of the organization. On the other hand, the team leaders
can easily measure the performances of team members based on which the business organization
can perform well on the overall market. Therefore, management hierarchy should be structured
in more detailed.
4. The implications of the current organizational structure for job design
In order to follow different methods of job design the implication of current organization like
Acme structure leaves major significant impact. In order to deal with the customers the current
organization structure is not sufficient enough for handling entire business operations. The four
categories of departmentalization is highly important in order to target the audience properly. If
the organization is not structured intro different divisions the business experts would not be able
to control the entire operations (Creech et al., 2014). However, apart from different
departmentalisations, the business organization can follow several methods of new job designs.
Job design methods are primarily constituted in several ways including job rotation,
Simplification, Enlargement and Enrichment of Jobs.
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In job rotation of Acme structure, one employee has to shift from one particular position
to another. In this very specific phase of experiment the organization decides in which particular
sphere the employee is more comfortable. Job implication involves the employees in being
specified towards a particular job. Job enlargement implies on how the business experts assign
more additional tasks to the employees for enlarging their job role. Job enrichment enables the
employees in showing their performances based on autonomy. In this very specific study, the
business experts and authority have preferred to select job enlargement as their specified job
design method.
With the help of this specific job design method, the organizational authority gets the
power to assignment additional responsibility to the existing employees (Johnson, Leenders &
McCue, 2017). The number of workforces in this organization is very limited due to which the
business experts have preferred to impose several more responsibilities to the existing
employees.
5. Conclude your evaluation with your recommendation
After evaluating the entire study, it can be concluded that Acme Widgets Inc deal with
three major types of customers. They deal with government and their products deliver to retail as
well as wholesalers. In the department of marketing, the executives always intend to introduce
their brand in market so that they can grab the attention of customers. Manufacturing
department primarily handles product design, manufacturing and product packaging. Lastly, the
role of human resource department is to evaluate the performance level of the employees.
Maintaining employee retention plan along with selection and recruitment procedure is the
primary responsibility of human resource department. Appropriate experts are appointed for
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specific department so that they can handle the entire business operation with full competency.
There are four vice presidents who control every single department of marketing, manufacturing,
human resource and accounting. The business managers have to give a constant update to the
vice presidents about the flow of business as well as performance of the employees.
On the other hand, it can also be suggested that the implementation of assistant
management and team leader would help the organization in enhancing the entire performance
level of the organization. However, apart from different departmentalisations, the business
organization such Acme can follow several methods of new job designs. Job design methods are
primarily constituted in several ways including job rotation, Simplification, Enlargement and
Enrichment of Jobs. Job enrichment enables the employees in showing their performances based
on autonomy. In this very specific study, the business experts and authority have preferred to
select job enlargement as their specified job design method. Based on the overall evaluation
effective recommendations to Acme can be suggested which are as follows:
The organization needs to enhance their organizational structure for controlling the overall
database more efficiently
The company needs to adopt different job design method so that the employees do not have
to take additional responsibility
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Reference List:
Ashkenas, R., Ulrich, D., Jick, T., & Kerr, S. (2015). The boundaryless organization: Breaking
the chains of organizational structure. John Wiley & Sons.
Ater, I., Givati, Y., & Rigbi, O. (2014). Organizational structure, police activity and
crime. Journal of Public Economics, 115, 62-71.
Creech, A., Varvarigou, M., Hallam, S., McQueen, H., & Gaunt, H. (2014). Scaffolding,
organizational structure and interpersonal interaction in musical activities with older
people. Psychology of Music, 42(3), 430-447.
Ilin, I. V., Kalinina, O. V., Levina, A. I., & Iliashenko, O. Y. (2016). Approach to Organizational
Structure Modelling in Construction Companies. In MATEC Web of Conferences(Vol. 86, p.
05028). EDP Sciences.
Johnson, P. F., Leenders, M. R., & McCue, C. (2017). A comparison of purchasing’s
organizational roles and responsibilities in the public and private sector. Journal of Public
Procurement, 3(1), 57-74.
Lin, L. H. (2014). Organizational structure and acculturation in acquisitions: Perspectives of
congruence theory and task interdependence. Journal of Management, 40(7), 1831-1856.
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