The document discusses the organizational structures of several companies. It provides details on:
1) Infosys' previous functional structure and its recent realignment into a matrix structure to be more agile and attract young talent.
2) HUL's functional structure and how it ensures skill development, decision making clarity, and accountability.
3) Maruti Suzuki's shift from a functional to a project-based structure after industrial unrest, with direct reporting to directors and cross-functional teams focused on goals.
2. Organizational structure:
• The formal arrangement of jobs within an
organization.
• The structure which can be shown visually in
organizational chart.
• Managers are involved in organizational design
when they create or change structure.
3.
4. Infosys
• CEO: Salil S Parekh
• Indian MNC that provides business consulting,
information technology and outsourcing services.
• It has its headquarters in Bengaluru, Karnataka,
India.
• Total employees: 2,00,364
• Deals in It provides software development,
maintenance and independent validation services to
companies in finance, insurance, manufacturing and
other domains.
6. Elements of organizational:
• Work specialization : skills & efficiency
• Chain of command : top to down & bottom to up .
• Decentralization & centralization : Major Decentralization , make
employee more agile and accountable.
• Departmentalization : Time , functional , geographical , process,
product departmentalization.
• Formalization : it is moderate to high level
• Span of control : wide
https://www.financialexpress.com/archive/infosys-decentralisation-gives-more-control-to-vertical-
heads/1087739/
7. Re-Structuring
• Infosys realigns organizational structure.
• Announced realignment to
Enhance the company’s agility in the market.
Sharpen its competitive differentiation across service lines
• To bring innovation and synergy at various centers of organization.
https://www.infosys.com/newsroom/press-releases/Pages/realignment-organizational-
structure.aspx
9. Matrix Structure to be adopted.
• Infosys may opt for matrix organization structure to woo millennials .
• Restructuring to matrix structure from a linear one as it looks to make itself more
attractive to young digitally savvy employees .
• Millennials share and collaborate, they are focused on self-development and they
respect talent and success and not hierarchies and age.
• So in that context what we will do is to completely redesign our organization, in
which I see the role of HR manager becoming a choreographer, managing different
groups coming together
Initiatives internally – crowdsourcing ideas, solutions, internal collaborative tools.
//economictimes.indiatimes.com/articleshow/49574587.cms?utm_s
ource=contentofinterest&utm_medium=text&utm_campaign=cppst
12. Why Functional Structure
Skill Development.
Decision Making.
Clarity.
Specialized Results.
Accountability.
HUL had a flat – pyramid based structure. As the organization grows,
the communication lines increase thereby the approvals take its own
sweet time.
14. Work specialization in Unilever
• In unilever all the departments i.e. Health and hygiene and
Nutrition have work specialization (to increase efficiency and
productivity)
• Work specialization is important because its results in
division of labor which helps in:
efficient use of
employees skills
allows the use of
specialized equipment
increases employee's
skills through repetition
17. An organization is never completely
centralized or decentralized.
In unilever geographic and customer
departments have decentralized structure.
Centralization Vs Decentralization
18.
19. Span of control
In context of unilever
• There was a narrow span of control in
unilever.
• But unilever is moving foreword for
adopting wide span of control by reducing
lower layers
20. Formalization In context of unilever
•There is low formalization
in unilever.
•Rules and regulations are
uniformly apply on
everyone.
23. Organizational Structure
Before Manesar Incident
• Maruti has a functional organizational structure with
horizontal linkages.
• There are 29 divisions in Maruti
https://www.theofficialboard.com/org-chart/maruti-
suzuki-india
25. Organizational Restructuring
After Manesar Incident
• All the dept. (IT, Finance, Marketing, Sales etc.) to work on matrix reporting
process.
• Role of executive have been removed.
• Direct reporting to Director.
https://www.scribd.com/document/277755966/Maruti-Suzuki
26. Implementation of
Project Based Structure
• In 2014 senior and middle level executives formed teams
to focus on specific goals.
• 30 teams of 8-10 members
• Worked on
Cost reduction
New product development
• Resources and authority were given in order to
implement the project.
https://www.ukessays.com/essays/business/organization-structure-of-maruti-suzuki-
business-essay.php
27. *Specialization
As the Maruti have functional structure and division of labour so there is
high degree of specialization.
*Centralization
Power is distributed within the hierarchy because there are various
persons who play a very crucial role in the organization.
Structural elements
28. *Formalization
The instructions, procedures are written down formally in the
organization.
*Complexity
Complexity arises because of structural complexity.
*Span of control
Top level - 3-6
Middle level - 4-8
Lower level - 0-8
https://www.ukessays.com/essays/busines
s/organization-structure-of-maruti-suzuki-
business-essay.php
29. Problems faced by Maruti in the
organization structure
• Lower level manager take decision, while higher level
manager has low information
• Lack of co-ordination among the managers in
decentralization.
• Different objectives of lower level and organization.
https://www.ukessays.com/essays/business/organization-structure-of-
maruti-suzuki-business-essay.php