ORGS 2010 Study Guide - Sports Equipment

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Geographically dispersed company built from standard units aggregated into larger geographic groupings; resembles traditional bureaucracy as described by max weber. Each tier has own set of managers in charge of meeting financial and operating targets. Includes following industries: hospitality, sporting goods, mail delivery, electronics. Multidivisional organizational structure: divides companies into independent divisions specializing in different products, services, technologies or markets. Multi-unit companies employ four levels of field managers and use five organizational-design principles to implement strategies. It"s hard to maintain consistency agglomerations of many units. Essential to align priorities, plans and practices across dispersed field organization. Employees must adopt common operational practices and present a uniform. Image: must ensure some degree of customization. Must respond to distinctive features of local and regional markets. Marketing and merchandising programs must be customized to accommodate for varying consumer preference from region to region. Adoption of different labour practices is essential: sharp division of responsibilities causes problems.

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