Organizational Structure and Theory/Organizational Enviornment - Essay Example

Since most government usually require multinational companies working in their countries to employ and use other countries’ resources, the authority will require such organization and its employees to operate with high professional and ethical standards. Additionally, customers’ needs and wants are currently changing at alarming rate thereby requiring the companies to have speedy responsive measures to adjust into the constantly changing business environment. Such quick responses should also be aligned in handling organizational crises towards maintaining customers’ expectations (Jones, 2013).

Other challenges that require quick responses included changes in political environment, economic situations, and advancing technology. Adopting and effective use of technology are perfect ways of eliminating middlemen in the company; hence, increasing profitability and effecting the flow of information in the organization. Therefore, Eustace thinks of adopting any matrix design in developing and adopting organizational structure, he must consider these factors. Adopting matrix is a good choice for IBC since through matrix the organization will be able to manage its companies in different countries depending on each countries needs and wants as well as their degree in the shift in the political, business, and technological changes (Ito & Rose, 2005).

Moreover, it is worth noting that this organization can adopt more than one design in formulating its organizational structure to enable it respond to any crisis in an effective and quicker manner. The organization must consider Weber’s Bureaucratic Model. Despite being an old model, this organization design allocates responsibilities to the employees and enables junior workers reporting to their seniors. In other words, the design organizes the organization in hierarchical manner