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Before class Activity
Fill in your answers to this section, print off the page and turn it in prior to the start of class.

Case Incident 2: Siemens’ Simple Structure - Not.

1. What do Kleinfeld’s efforts at Siemens tell you about the difficulties of restructuring organizations?  People do not like to change, the really don’t like uncertainty, and anyone coming in to change things will be quickly disliked by the employees.

2. Why do you think Löscher’s restructuring decisions have generated less controversy than did Kleinfeld’s? 

3. Assume a colleague read this case and concluded “This case proves restructuring efforts do not improve a company’s financial performance.” How would you respond to this statement? 

4. Do you think a CEO who decides to restructure or downsize a company takes the well-being of employees into account? Should he or she do so? Why or why not?  Name:

Print the questions below and bring them to class. After watching the video, answer the questions. Turn in your answers at the end of class.

Video: Organizational Structure at Insomnia Cookies

1. How would you describe the organizational structure and decision making process that currently exists at Insomnia Cookies? Why does CEO Seth Berkowitz want to keep the organization lean?

2. What are the challenges of establishing an organization structure in a startup organization. What are the advantages and disadvantages of the current organizational structure at Insomnia Cookies?

3. Is the structure and process appropriate for the company at this stage of its growth? What, if anything, would you change?

4. Insomnia Cookies has recently changed its organizational design to include a manager at each store location. Why was it important for the company to make this change? What does it imply for the future of the organization?

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