Essay about Organizational Structure

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{text:bookmark-start} Running head: ORGANIZATIONAL {text:bookmark-end} STRUCTURE Organizational Structure Romanoff, T. Axia College of University of Phoenix MGT 330 Management: Theory, Practice and Application Peter Espeut October 26, 2009 Organizational Structure Planning and organization are crucial for an organization to achieve maximum effectiveness and success. Microsoft Company, for instance, has an organizational structure consisting of board of directors who include Steve Ballmer as chief executive officer (CEO), senior leaders, executives, and technical leaders. Founded in 1975, Microsoft has grown today into a worldwide leader in software and services (Microsoft, 2009). The organizational structure of …show more content…
Microsoft continues to be a well oiled machine with the help of its organizational functions. According to Montalbano (2005, September), “Microsoft reorganizes makes sense for the largest software company, which was getting too big and unwieldy under its former structure to continue to be managed efficiently.”(para. 1). Microsoft has changed to a three-division structure instead of six; the company now only has divisions in the product, service, and customer departments. According to Montalba no (2005, September), states, Rob Enderle, “The restructuring will enable Microsoft to more efficiently deliver products, combining technologies from divisions that previously had difficulty working together, because they were in separate organization.” (para. 5). The disconnection of the departments was preventing Microsoft from effectively serving the customer and producing innovative product. The reorganizing of Microsoft will allow the employee’s to communicate better between departments and management. This will allow the company to be more responsive to change and focus on excellent service, quality products, and the customer. Microsoft displays an effective and efficient organization due to the organizational structure, management, functions, and design. Microsoft consists of different committees such as audit, compensation, finance, governance, and antitrust compliance. Microsoft has a board of directors as well as an executive team. Microsoft, in fact, is