Case 3 Tucker Company Organizing

Topics: Vice President of the United States, Jet engine, Organizational structure Pages: 10 (2000 words) Published: November 11, 2014

Case Analysis:
Tucker Company

In partial fulfilment of the requirements in MGT101:
Victorio, Judith Merari B.
Rubiano, Ferrando L.
Regondola, Joyce Hanna R.
Malazarte, Virgilio II, B.
Castillo, Aaron T.
Carandang, Loise Ann M.

August 29, 2012
This case analysis takes the point of view of Mr. Harnett, the president of Tucker Company. Being the top manager, he is the one responsible for overseeing the current status and developments of the company. Moreover, he is the one in-charge for taking necessary actions regarding the inevitable occurrences of conflicts within the company and among the company’s employees. He is also capable of reorganizing or restructuring the organization. The group decided to take neither Ms. Hodge’s nor Mr. Franklin’s points of view because taking either of the two would be considered biased since they are the very persons involved in the issue and would only result to the one blaming the other, leaving the matter unresolved. II. PROBLEM STATEMENT

Taking Mr. Harnett’s point of view, the group deems that the problem would be: What should be the most appropriate action to be done to the structure of the organization to minimize conflicts within the company divisions and among the employees? III. ANALYSIS OF THE RELEVANT FACTS

Organizational Structure:

Fig. 3.1. Organizational chart of Tucker Company
In 1993, the Tucker Company underwent an extensive reorganization that divided the company into three divisions based from the three product lines – commercial jet engines, military jet engines, and utility turbines. Each division has its own vice president that reports directly to Mr. Harnett. For the most part, each division will be able to operate independently, thus, each division will have its own Accounting, Engineering, and Manufacturing departments. Under the Manufacturing Department of the Military Jet Engine Division is the Laboratory that reports directly to the manager of the said department and also serves as the testing facility to determine the properties of materials selected by the design engineers of all three divisions. So, functionally, the Laboratory still continues to support all of the major divisions. Work specialization and Departmentalization:

Tucker Company epitomizes specialization of work as it divides the undertakings in the company into three divisions. It uses Product Departmentalization as its three principal product lines – commercial jet engines, military jet engines, and utility turbines – serve as the new divisions of the company. Each division is further divided into functional units like the Accounting, Manufacturing, and Engineering departments. Chain of command:

A vice president for each division is appointed and is given the authority and responsibility to handle the operations of their units. These vice presidents report directly to the president, Mr. Harnett. Under these divisions are their own manufacturing, accounting, and engineering departments. In this regard, the company laboratory, headed by Ms. Hodge, is under the manufacturing department of the Military Jet Engine Division. Hence, it is to the manager of the said department where Ms. Hodge reports. Formalization and Case Issues:

The company may be having an issue in the procedures covering the work processes of the employees. Historically, the engineering departments had sought assistance from the laboratory in determining the properties of the materials selected by the design engineers. However, when Ms. Hodge assumed the managerial position in the laboratory, she, being a metallurgist, insists the involvement of her unit in the selection of materials and in the design of experiments and subsequent evaluations of the experimental data. Mr. Franklin, on the other hand, argues with Ms. Hodge’s claim and that the final say on material selection was charged to his department. He also raises his concern on the priority done by Ms. Hodge where the...
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