March 09, 2012
Coloplast one of Denmark largest medical company faced in 2007 growth challenges and was obliged to take action in order to put the firm back on track. These challenges were solved by looking at its organizational structure. In this case Coloplast structural organization before and after the changes will be closely looked at.
Analyze Coloplast’s organization structure before and after the changes and state your opinion about the organization’s design.
Coloplast went from a production structured organization to a functional structured organization. In the production structure the focus was on the products wish were divided into 3 product divisions. In the functional structure the company focus on specialization of tasks. Before: the production organization
The production organization structure also called Division Structure is divided into 3 production division; skin, wound care and continence care, and ostomy care. Each division beyond having its department for research, development, sales and marketing, contains all the necessary resources and functions.
By applying the production organization, a company gains the followings benefits: A structure where it’s easy to define the objectives and word work assignments can simply be coordinated, within each division. Another Benefit Coloplast can gain on this structure is the flexibility among workers. Workers from one department can be put on assignments in another department within the same division, if needed. This’s made possible by the fact that most of the workers are not specialist in any specific field. Should any problem occur in the division structure the causes are quickly detected and solved. This type of structure allows local leaders to make small locale adjustments to meet the challenges in there division.
But this system...