Philips Business Manual

Topics: Philips, Sony, Frits Philips Pages: 52 (12220 words) Published: November 22, 2010

Business Manual


Content Page

I. Introduction3

II. Organization structure 3

III. Value chain4

IV. Company’s resources4

V. Strategy5

VI. Type of organization 6

VII. Cultural aspects7

VIII. Management of information and use of communication8

IX. Company’s communication structure8

X. Company’s product portfolio 10

XI. Company’s business culture11

XII. Company’s financial position12

XIII. HRM processes 14

XIV. Sustainability and social responsibility 15


Figure 1: Machine bureaucracy 17

Figure 2: Value chain17

Figure 3: Organization chart18

Figure 4: Sustainability19


Evaluations 21

Project Plan32

I. Introduction

The work entitled below compiles a brief and global analysis of Philips presented as a Business Manual targeted for the newly employed trainees of the company, in order to give them a better insight into the company’s history, culture, structure and its financial position among other aspects. The objective of the Business Manual is to provide a better understanding of the place where the new employees will be working in.

II. Organization structure Philips

Philips is a large scaled multinational company, which needs different levels of management. The first level consists of the plant managers who coordinate the plants/production lines. Next, it moves on to the national manager who is the head of all the factories in a nation. Then to the manger of a whole continent, for example the manager of Europe on a certain business unit (which will be explained later). This manager has a boss as well who is the manger of all the Plants and activities on a specific SBU. Every SBU has this organisation structure. All the general managers from the specific SBU’s have to report to their boss, the CEO, who in turn is the responsibility of the board of management. The CEO this man is in charge of the whole Philips Company this man makes the policies etc. The board of management are acquired so as to prevent the company from being a dictated company which will not work in a large scaled company. The board of management monitor the progress of the CEO and make the policies that the CEO has to do. The board of management are all very intelligent people who all might have been in the position of CEO and therefore understand the situation. If the board of management acts irresponsible or does things that would not be considered correct the Supervisory Board is there. They check whether the policies made by the board of management are correct and if that is indeed the course the company will follow. If not the Supervisory board will interrupt and adjust the way to go.

Strategic business units

Philips consists of different sections. Because Philips is a wide international company which produces consumer goods as well as company goods, it is vital for them to separate the company in to different sections, and hence allowed Philips to assign different strategic business units.

One of those is the one we all know which is the Consumer electronics. This is everything from audio products to television screens. In every SBU there is another division, the division geographically Consumer electronics is as to say a company within a company. With its own manager for each location and one manager for the total of consumer electronics. The SBU is divided into Asia, Africa and Australia, North America, South America and of course Europe. Every market develops what is good and suitable for the specific market. That means that the television that we might use in Europe might differ from design with the ones in the United States of Japan for example. Philips just made a total change of their products line in consumer electronics by adjusting...

Bibliography: Computer software is amounted to EUR 57 Million at the end of 2006 (2005: EUR 50 million).
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