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Company Organization

  1. Company organization is sometimes described in an organization chart or organigram, often a simplified diagram showing areas of responsibility for key personnel.

Student A

Your company, Altman Kopp, is involved in negotiations with a competitor, KEP Ltd, over a possible merger. In an informal meeting, you discuss ways to combine the two businesses into a single organization, allowing for the following facts:

You:

  • want to keep the basic structure of your present company, but would like to enlarge it to take in the new product areas that your potential partners specialize in

  • plan to reduce the number of Altman Kopp directors from the present eight to five or six

  • want approximately equal representation on the new board but would accept fewer board members if the Chairman of the Board is from your company

  • want to reduce your present Marketing and Sales Departments to a single department

  • want to create a new Logistics Department instead of Corporate Planning

  • know that the Head of Personnel and Administration, who is also on the Board, is retiring

You start

Student B

Your company, KEP Ltd, is involved in negotiations with a competitor, Altman Kopp, over a possible merger. In an informal meeting, you discuss ways to combine the two businesses into a single organization, allowing for the following facts:

You:

  • want to reduce your Board from eight to four members

  • believe that your company should be a separate financial and cost centre

  • already Intend to merge Finance and Administration

  • plan to abolish the Sales Department, incorporating it Into Marketing

  • for the purposes of the organization chart, you plan to merge your production activities, with everything under one director

  • want to abolish Corporate Planning, bringing it under the Marketing Department

Your partner will start

Writing

  1. You work for an electrical goods company which has a 'Go to the top' policy. This means that an employee can write to a senior manager or even the Chairman about any subject he/she wishes to raise. The employee always receives a reply within a reasonable period of time.

Imagine that you are involved in one of the situations described below. Write an appropriate memo to the person indicated.

1. You have worked in the Overseas Sales Department for the last fifteen years. Your work has always been good. In spite of this, you have never received a promotion. You work long hours and sometimes come in at weekends if there is an important order to be dealt with. Your salary is below average for the industry and you haven't had a proper holiday for years. You are dissatisfied, and rapidly losing your motivation for the job. Write to the Marketing Director about this situation.

2. You are an employee in the Accounts Department. You come to work by car. Recently, you have had to park your car in the streets outside the factory because there has been no space in the

company car park. Sometimes, it has taken you fifteen or twenty minutes to find a space in the streets. When this has happened, you have been late for work. As a result, half an hour's pay has been deducted from your salary and your supervisor has given you a hard time. Write to the General Manager about this situation.

MEMORANDUM

To:

From:

Subject:_________________________________________________

Module 3

Unit 1

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