Below there are listed 6 events that can occur within a company. For each one, decide whether it would be easier for the company to deal with if it had a functional (F) or divisional (D) organizational structure. Give the reason for your decision.⦁ Discuss:⦁ how you rated each event, and⦁ what effect organizational groupings (HR, S&M,…) have on interpersonal relations within and between groups and for company performance as a whole EFEvent1. You just learned that a consulting firm is offering five-day training foraccountants next week in Manchester. The £5,000 fee is being discountedto only £2,000 if registrations are submitted in the next 24 hours. Twoaccountants must be selected immediately to attend.2. A critical flaw has just been discovered in the operations/productionprocess. It is imperative that production be shut down at all plants for atleast 48 hours to discover the root cause of the problem before producingany more products.3. The corporate office has authorized a crash programme to develop a newline of children's products for Sportswear. This requires that the neededchanges are worked out between Operations, Sales and Marketing, andHR managers who are associated with this product.4. Due to sagging corporate-wide sales, it has been announced thateach division must increase profits by 10 per cent. This requires tightcoordination among personnel in Operations, Sales, Human Resources andAccounting.5. One division is being sued for a Human Resources violation of highlycomplex employment laws. It is necessary to discover the cause of theviolation and revise the offending policies across all product lines in thecompany as quickly as possible.6. A sales representative has found out that our largest competitor haspiloted a drastic price reduction for their entry into our most importantproduct line - trainers. Industry sources say that they are about to take thisstrategy into all of our other product lines (sportswear, equipment, etc.),requiring a response from each division.

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Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

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Below there are listed 6 events that can occur within a company. For each one, decide whether it would be easier for the company to deal with if it had a functional (F) or divisional (D) organizational structure. Give the reason for your decision.⦁ Discuss:
⦁ how you rated each event, and
⦁ what effect organizational groupings (HR, S&M,…) have on interpersonal relations within and between groups and for company performance as a whole

E
F
Event
1. You just learned that a consulting firm is offering five-day training for
accountants next week in Manchester. The £5,000 fee is being discounted
to only £2,000 if registrations are submitted in the next 24 hours. Two
accountants must be selected immediately to attend.
2. A critical flaw has just been discovered in the operations/production
process. It is imperative that production be shut down at all plants for at
least 48 hours to discover the root cause of the problem before producing
any more products.
3. The corporate office has authorized a crash programme to develop a new
line of children's products for Sportswear. This requires that the needed
changes are worked out between Operations, Sales and Marketing, and
HR managers who are associated with this product.
4. Due to sagging corporate-wide sales, it has been announced that
each division must increase profits by 10 per cent. This requires tight
coordination among personnel in Operations, Sales, Human Resources and
Accounting.
5. One division is being sued for a Human Resources violation of highly
complex employment laws. It is necessary to discover the cause of the
violation and revise the offending policies across all product lines in the
company as quickly as possible.
6. A sales representative has found out that our largest competitor has
piloted a drastic price reduction for their entry into our most important
product line - trainers. Industry sources say that they are about to take this
strategy into all of our other product lines (sportswear, equipment, etc.),
requiring a response from each division.

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