Comparative Management Analysis of Two Firms. (Biogenta and Outback INC) - Assignment Example

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Organizational design and structure
Organizational design and structure is main standing base of any corporation operating on a global and local level. If we look at the two scenarios both the companies are completely different in their perspective and focus of production but the nature of work demands innovation nonetheless (Mcfowler 2001). Organizational design and structure mainly consists of six major elements. These six elements consist of work specialization, departmentalization, chain of command, span of control, centralization or decentralization, formalization and traditional designs (Mcfowler 2001).
Work specialization
In terms of work specialization in organizations the term refers to how much pressure is put on to individuals within the organizations how through different processes each task is carried out. In both the organizations assigned to analyze each had an effective system of recruiting the most talented and skilled staff for the job but the problem for Outback lies in the external environmental forces too (Carroll 1985). The tourism industry is facing a shortfall because of which Australia requires a good number of 42,000 people by 2015. In such a scenario the staff hired should be valued and considered as an asset to the organization whereas the company is applying paternalism to the structure which is de motivating the staff to come up their ideas for revolution and change (Carroll 1985). On the other hand Biogenta is promoting its staff and making efficient use of its human capital by employing them in cross functional teams and making the best use of them (Carroll 1985). Departmentalization Both the organizations Biogenta and Outback have similar division of departments such as finance, marketing, human resource and support (Gitman and Mc Daniel 2009). Among the many types of departmentalization Biogenta chooses to go about product departmentalization and goes for cross functional teams and virtual teams from various departments to cater to different tasks. The good part about it is that it initiates a good flow of information within departments and the negative aspect is that it can only be applied to a limited category of products (Gitman and Mc Daniel 2009). As far as the case of Outback product departmentalization is applied to increase the levels of the system to satisfy family issues because of this there are limited follow up of organizational goals but yet efficient managerial distribution is carried out (Gitman and Mc Daniel 2009). Chain of command There is strict chain of command extending in Outback INC where authority is of supreme ...Download file to see next pagesRead More