I. Background of the Study
Organization is a social unit of people that is structured and managed to meet a need or to pursue collective goals. Any operating organization should have its own structure in order to operate efficiently. For an organization, the organizational structure is a hierarchy of people and its functions. The organizational structure of an organization tells the character of an organization and the values it believes in. Organizational structure determines how the roles, power and responsibilities are assigned, controlled, and coordinated, and how information flows between the different levels of management. It consists of activities such as task allocation, coordination and supervision, which are directed towards the achievement of organizational aims. Therefore, when you do business with an organization or getting into a new job in an organization, it is always a great idea to get to know and understand their organizational structure. Organizational structure affects organizational action in two big ways. First, it provides the foundation on which standard operating procedures and routines rest. Second, it determines which individuals get to participate in which decision-making processes, and thus to what extent their views shape the organization’s actions. Depending on the organizational values and the nature of the business, organizations tend to adopt one of the following structures for management purposes. Although the organization follows a particular structure, there can be departments and teams following some other organizational structure in exceptional cases. Sometimes, some organizations may follow a combination of the following organizational structures as well. To further understand the concept of organizational structure, the group will research on the organizational structure of a known company, Universal Robina Corporation, and analyze how this organizational structure helped in the success of the company.
II. Company Profile
Full Name: UNIVERSAL ROBINA CORPORATION
Head quarters: 43/F Robinson-Equitable Tower ADB Ave cor Poveda St Ortigas Ctr; Pasig; National Capital Region; 1600 Legal Address: 110 E Rodriguez Ave Bagumbayan; Quezon City; National Capital Region; 1110 Legal Form: Public Limited Company
Operational Status: Operational
Financial Auditors: SGV & Co. (2011)
Incorporation Date: September 28, 1954
Total Employees: 8,938
Tel: (63 2) 6337631
Universal Robina Corporation (URC) is among the Philippines' pioneers in the food manufacturing business having been operating in the country for over 40 years. URC is engaged in manufacturing, marketing and the distribution of a wide range of consumer food products such as snacks, candies, biscuits and crackers, instant coffee, instant noodles, tomato sauces, pasta, and ice cream, among others. Universal Robina Corporation (URC) traces its beginnings all the way back to 1954. John Gokongwei was doing very well then as a trader/importer. He had learned the trade when his father died before the war, and had worked hard through the war and postwar years to prosper. However, while he thrived, he took a long hard look at his company, and correctly predicted that trading would remain a low-margin business. On the other hand, a successful manufacturer controlling its own production and distribution would command more profitable margins. Mr. John decided to construct a corn milling plant to produce glucose and cornstarch, Universal Corn Products (UCP), the first linchpin of the company that would become the URC we know today. For a time, business was good. However, Mr. John was still looking ahead, working with an eye towards the future. While the business was doing very well, it was producing essentially a commodity, which a customer could easily access elsewhere. To stay ahead in the game, Mr. John had to diversify by producing and marketing his own branded consumer foods, similar to the...