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Q4. A business that sells men's, women's and children's clothing through multi-brand retail outlets, exclusive single brand showrooms and e-commerce website is structured as follows
Q4. A business that sells men's, women's and children's clothing through multi-brand retail outlets, exclusive single brand showrooms and e-commerce website is structured as follows with division X being men's clothing, division Y being women's clothing and Z being children's clothing PRESIDENT DIVISION PRODUCT X DIVISION PRODUCTY DNISION PRODUCT Z TED METRO CE BAD MANUFACTURING RED MANUFACTURING MARKETING FULANCE BAD MANJCTUS MARKETING FINANCE This structure has worked for them in the past. It has helped them focus on each division's core competency and produce specialized products. However, the structure also led to a duplication of effort because each division needs to acquire the same resources and thereby leading to loss of efficiency. Recently the CEO of the company has returned after doing an executive program on Organization Design from IIM Rohtak. She wants to remove the traditional boundaries of an organization and connect all organizational units effectively and flexibly where the hierarchy is flat; status and rank are minimal. Everyone including top management, managers and employees, participates in the decision-making process. She wants to replace departments with teams which work with suppliers, customers, multi-brand retailers and other entrepreneurial e-commerce companies as closely together as parts of one big network. What advantages and or problems do you foresee in the new structure? What advice will you give to the CEO to make this new structure work or suggest an alternate structure to solve the problem the company is facing
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