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Dynacorp Organizational Structure

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Dynacorp had been a leading information systems and communications company globally. They were pioneers in developing high technology applications that were highly commended in the industry. As the company grew and expanded, the innovative processes slowed down and the current organization structure was believed to be the root of the problem. The existing organization structure shown in Figure 1 shows that Dynacorp is structured functionally. “The three line divisions, each led by an executive vice president, were engineering, manufacturing, and marketing. These were supported by a number of corporate staff divisions, including finance, human resource management, and corporate affairs.”[1]
If I were on the Dynacorp task force, my first choice for an alternative organisational structure design would be the product division structure as shown in Figure 2 with each division for each business led by a chief manager. This scheme is proposed to tackle the company’s two major issues, communication among each divisions and the company’s retardation to the market. “This structure organizes on the basis of the service or product provided.”[1] Everyone works on different tasks contributing to the same final output. This structure has two major advantages. “First is transparency of performance: it makes the …show more content…

The proposed structure’s strengths encourages most large American corporations in the 1980s employ this structure as the dominent form[1]. Unorthodoxly, the basic structure is insuffiecient to be an effective solution for enterprise as large and complex as Dynacorp.The change would mean a few years of organisational shift that would profit the company or bring loss to it. By meticulously comprehending the companies workflow and the humans, who are part of the machine, can the company benefit from the big

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