Lego Project

To achieve its business strategies the LEGO has taken the help of the IT vendors IBM and SAP for the establishment of their IS making it possible to extend more quickly and add capacity and functionality as it was needed. Supporting massive expansion brings its own challenges, one of which is to ensure that the underlying systems can scale reliably and effectively. The main issues with the supply chain management, end customer feedbacks, product profit accountability, spread its market and the various unit functioning etc. had been addressed completely by the advent and the establishment of the efficient IS for the business.

Max Weber was a German sociologist who first described the concept of bureaucracy, an ideal form of organizational structure. He defines bureaucratic administration as the exercise of control on the

Classifying the authority - Once the departments are made, the manager likes to classify the powers and its extent to the managers. This activity of giving a rank in order to the managerial positions is called hierarchy. The top management is into formulation of policies, the middle level management into departmental supervision and lower level management into supervision of foremen. The clarification of authority helps in bringing efficiency in the running of a concern. This helps in achieving efficiency in the running of a concern. This helps in avoiding wastage of time, money, effort, in

An organization that exhibits a clear division of labor, a clear hierarchy of authority, formal rules and procedures, impersonality of treatment and rewards based on merit could, according to Weber, be a

An Analysis of the Operations Strategy and Management Decisions in Lego Group between 2004 and 2009

Dear Mr. Ward, I recently checked Schoolloop and I found out I have a 0 on the Lego Lab assignment that we had to do with a partner that was assigned on 8-29-14. I am positive that my partner (Jonae) and I completed it and turned it in during my second period class. I know you are a very busy person but whenever you have time I would really appreciate for you to look over and see what is going on with my grade.You can email me back addressing the issue or if you want, we can discuss this in person. Thank you and have a great Monday. Student Signature

Some have seriously misinterpreted Weber and have claimed that he liked bureaucracy, that he believed that bureaucracy was an "ideal" organization. Others have pronounced Weber "wrong" because bureaucracies do not live up to his list of "ideals". Others have even claimed that Weber "invented" bureaucratic organization. But Weber described bureaucracy as an “ideal type” in order to more accurately describes their growth in power and scope in the modern world. His studies of bureaucracy still form the core of organizational sociology.

Weber states that organizations regulations are formed by few people and this people are the boss, administration employee who tends to have representation powers (Roth and Wittich, 1968). Weber states that the state tends to use bureaucracy on its people in order to establish authority. Bureaucracy is present in various areas in the environment and once bureaucracy is produced then it becomes difficult to

There are many barriers to new organizations in the toy industry, making the threat of new entrants low. Lego and other big toy companies like Mattel benefit from economies of scale. An economy of scale is achieved by lower costs through large volume production (Textbook glossary). Economies of scale can occur in many departments within the organization including production, marketing, research and development, and finance. Some manufacturing of Lego products was shifted to Central Europe and Mexico in order to benefit from lower wages and to shorten product supply chains (p. 13 of case). The management of Lego additionally holds expertise on production, distribution and customer needs; which are absent in a new organization. To enter the toy sector a potential entrant needs to calculate the start of production at a level that will give a competitive position and production costs lower than the market.

Advances in the field of information technology and introduction of new hi-tech form of entertainment such as tablets and gaming consoles had left Lego trailing in the entertainment field. Jorgen Vig Knudstorp was appointed as the CEO to revamp the company’s business process, organization structure and information systems. Knudstorp was quick to act and first made changes in the company’s production process. He encouraged designers to use the unused components in development of new products and design, thus reducing the number of unused

Based on this right, the bureaucracy designed by Weber has clear division of labor; thoroughly indicated hierarchical relationship and pointed out impersonal relationship (Crozier, 1964). In the course of history, there have been various more perfect organizational systems, therefore, bureaucratic theory was questioned and criticized by many scholar. However, there are still certain organizations that use bureaucracy theory to design the corporate structure despite many critical views.

Product differentiation strategy: Lego was facing stiff competition from its Canadian rival Mega Blocks. They used the product

All the initiatives like laying people off, streamlining things, globalization was like going by the turnaround book and yet the financial picture grew worse

This essay will consider firstly the position of Lego in relation to both the constraints of the internal and external

To answer the problem we used a history of LEGO, made a Value Chain, a SW-model and organization structure.