Fred Meyer Organizational Structure
The Process of Fred Meyer’s Organizational Structure Selection
MGT230
January 29, 2013
The Process of Fred Meyer’s Organizational Structure Selection Introduction According to Bateman and Snell, “Two fundamental concepts around which organizations are structured are differentiation and integration” (2011, pg. 227). Differentiation refers to the different units that work on different kinds of tasks with the use of different skills and work methods in an organization. These differentiated units are combinedand coordinated into an overallproduct for the purpose of achieving the organization’s mission as the result of integration. The two fundamental concepts indicate how the organization separates into key components and how the organization works together between the different components. Along with these fundamental concepts, an organization must examine the organizational functions and organizational design of the company.This examination is included into the process of selecting an organizational structure to suit the organization based on the functions and design. Therefore, an organization must address specific organizational functions and an organizational design in accordance to the appropriate organizational structure to achieve the organization’s mission. Organizational Structures Comparison There are vertical and horizontal organizational structures that refer to the way in which power is distributedwithin a system directed towardthe achievement of the organizational aims. Fred Meyers is a unique regional retailer with a strong vertical and horizontal structure resulting from a system of each division divided into individual departments and sections within the stores. This system implements the fundamental concept of an organizational structure called differentiation. The most striking characteristic of this system is that there are no store managers instead the highest authorities
MGT230
January 29, 2013
The Process of Fred Meyer’s Organizational Structure Selection Introduction According to Bateman and Snell, “Two fundamental concepts around which organizations are structured are differentiation and integration” (2011, pg. 227). Differentiation refers to the different units that work on different kinds of tasks with the use of different skills and work methods in an organization. These differentiated units are combinedand coordinated into an overallproduct for the purpose of achieving the organization’s mission as the result of integration. The two fundamental concepts indicate how the organization separates into key components and how the organization works together between the different components. Along with these fundamental concepts, an organization must examine the organizational functions and organizational design of the company.This examination is included into the process of selecting an organizational structure to suit the organization based on the functions and design. Therefore, an organization must address specific organizational functions and an organizational design in accordance to the appropriate organizational structure to achieve the organization’s mission. Organizational Structures Comparison There are vertical and horizontal organizational structures that refer to the way in which power is distributedwithin a system directed towardthe achievement of the organizational aims. Fred Meyers is a unique regional retailer with a strong vertical and horizontal structure resulting from a system of each division divided into individual departments and sections within the stores. This system implements the fundamental concept of an organizational structure called differentiation. The most striking characteristic of this system is that there are no store managers instead the highest authorities
References: Bateman, T. S., & Snell, S. A. (2011). Management: Leading and collaborating in a competitive world (9th ed.). Retrieved from The University of Phoenix eBook Collection database. Smith, S. M., & Albaum, G. S. (2005). Fundamentals of marketing research . Thousand Oaks, CA: Sage Publications, Inc.