Looking at Business from Inside Out B202 Tutorial #3 Looking at Business from Inside Out

Business to Take care of Make sure all students have a hard copy of: Syllabus Schedule/Calendar for the course!

Looking at Business from Inside Out When You imagine ‘a business’, what do you see? Metaphors in B202 Models and modeling in B202 -It enables people to investigate complex aspects of reality by concentrating on the elements that are most relevant to their particular interest. Stakeholders

Stakeholders p.59 Stakeholder Awareness in B202 Must develop an awareness of the interests of different stakeholders in an organizational situation Discuss examples of stakeholders (customers, employees, suppliers, the community, shareholders, government, etc.) Discuss how each type has interests in organizations that may affect some functions more than others Local communities as shareholders can be particularly difficult to please.

Organizational Structures Organization Structure is a grouping of activities and people to achieve the goals of the organization Considerable variation is possible Factors which influence variation are: Size Management strategy Firm’s history Cultural factors

Organizational structure – cont’d DISCUSS EACH!! Types of structures Functional structure Divisional structure Holding company Matrix organization Project teams Discuss IBM structural change in 1988. p.50-51

Functional structure The main criteria in this type of organization is functional specialization. It is especially suited to single product firms. Employees performing related specialist tasks are grouped together under a single management structure.

Divisional structure Sometimes called multi-divisional structure. Associated wit market expansion and product diversification. Unigate Divisions are grouped around products or markets or a combination of two. Each division is self-contained and operates as profit center.

Holding company Associated with the growth of the firm by acquisitions and high degree of product diversification. It comprises group of independent companies controlled by a coordinating group ( chief executives) of the constituent companies.

Project teams Temporary structures formed around a particular task or problem. Created to cope with highly unstable environment Basically found in high-technology firms and some types of service organizations. customer-orientation

Matrix organization An attempt to combine the best of all worlds; the customer-orientation of the project team, the economies of scale and the specialist orientation of functional organization, and the product or market focus of the divisional company. Example: the matrix in a university business school P.57

Organiz. Structure continued PRO’S VS. CONS OF EACH! Photocopy p.58 and discuss pros/cons of each with students!

Case Study – P.T. Dresswel International Students were to have read this case already P.383-90 in Operations textbooks Give them 15 minutes to re-read it (they probably did not read it at home) 15 minutes to sit in their group and agree on answers for Questions 1 & 2 only. Go over the answers for the following 15 minutes in conjunction with p. 71 and 72 in block 1.

Scott Bader Case Study - Did any students go to the website? the link is on ROUTES Introduce the case (5 minutes) Send into teams and give them 10 minutes to “review the case” (10 minutes) Give each team 20 minutes to agree on answers to #1-8 on p.75 (block 1) Have 2 teams present their answers in front of class for #1-4, and #5-8. Invite opposing viewpoints from rest of class Re-assure that there is never 1 “right” answer to any of our cases

Wrap-up and readings for next week Next week, we’ll discuss TMA 01 Readings: p. 79 in Block 1