Organization Design 4370 - Assignment Example

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The structure is designed according to the number of departments and divisions. The structure is different from others as it has two CEO’s.
Chipotle has a unique culture that is behind its success. Its core…
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Insert Insert Insert Q1 Chipotle has a simple organization structure as shown below. The structure is designed according to the number of departments and divisions. The structure is different from others as it has two CEO’s.
Chipotle has a unique culture that is behind its success. Its core competencies revolve around its philosophy, food with integrity. The company deals with organic foods which are naturally grown. It has avoided foods with hormones, antibiotics, pesticides and other unnatural industrial tactics of growing animals and plants. The company also places a lot of emphasis on employees’ welfare which has helped it in attracting and maintaining highly qualified employees. These two aspects have provided a competitive advantage to chipotle over its rivals who find it hard to copy it.
Chipotle has a centralized organizational structure. Decision making is done at the top management level with very less delegation of power and authority to regional directors and managers. This has made communication between departments very difficult as there are no integrating mechanisms between the departments. Due to the centralized structure rules and regulations are followed to the latter. There are no adjustments in the running of the business as decision making is done by the top management.
Socialization is an important thing to chipotle as it needs to identify with the residents of the business area. This will help the company to understand the market better as well as the customer needs.
Chipotle has a mechanistic structure. This is because Chipotle decision making is left to the top management and communication is vertical. The reporting relationship is well defined and every employee specializes in one task.
There is lack of cohesion between the corporate and the operations departments. The current structure of Chipotle creates a gap between the operations employees and the corporate employees. Creating integrating roles between departments and bringing together cross functional teams to work on development specific problems within the company will help in resolving the flaw in the communication.
The current corporate structure is very lean with little overlap in functional areas causing disruption in the event of staffing changes. This can be resolved by cross training of individuals across different units. The company should implement an internal entrepreneurship program to encourage corporate employees to demonstrate the type of people-development that the Restaurateurs are known for.
Work cited
Mohr,L. B. Explaining Organizational Behavior. Pennsylvania - USA: University of Pennsylvania
Press, 2010. Print. Read More
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