Widgets ’R Us (WRU) is a medium-sized firm specializing in the design and manufacturing of quality widgets. The market for widgets has been stable. Historically, WRU has had a functional organization design with four departments: accounting, sales, production, and engineering. This design has served the company well, and it has been able to compete by being the low-priced company in the industry. In the past three years, the demand for widgets has exploded. New widgets are constantly being developed to feed the public’s seemingly insatiable demand. The average life cycle of a newly released widget is 12–15 months. Unfortunately, WRU is finding itself unable to compete successfully in this new, dynamic market. The CEO has noted a number of problems. Products are slow to market. Many new innovations have passed right by WRU because the company was slow to pick up signs from the marketplace that they were coming. Internal communication is very poor. Lots of information gets kicked “upstairs,” and no one seems to know what happens to it. Department heads constantly blame other department heads for the problems. Question: What structural design changes might be undertaken to improve the operations at the company? Solution WRUs need to follow Project Structure instead of the current structure they are using. When using the project structure the information is faster and teams are able to make any necessary adjustments without the bureaucracy of functional structure. Project managers are in charge to make the decisions and take the projects to the correct path. This structure also benefits from a clearly and defined reporting relationships, current functional structure is managed through a coherent top – down approach Project goals are determinate internally not by an external project owner therefore are better suited to meet departmental needs Project managers are usually experts within their project or unit, they usually have superior skills that help make their job easier and this is exactly what WRU needs, when are market signs someone needs to raise a flag and work on the project, lead the project because it’s an expert on it..