Organizational Structure and Culture of Rolls Royce Essay

1780 Words 8 Pages
Organizational Structure and Culture of Rolls Royce

Rolls Royce is a technology and global leader. They employ 35,200 people and operate in 48 countries.

Headquarter is based in England UK. Large manufacturing plants are located in American, Singapore and China. A hierarchical structure is used to manage the company. As a giant company, they choose hierarchical structure to manage the company. It is a traditional and effective structure for Rolls Royce to supervise and develop the business. The Group managed by detailed systems and procedures due to the large turnover. Their annual turnover is £5645 million. And the group enjoys 25 percentage of the engine market in the world. The Group supplies all the major engine
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A number of functions are divided in the group such as: HR function, research and develop function, financial function etc. and the role culture in Rolls Royce are emphasis on rules, routine and procedure and job tends to be more important than the person.

It reliance on rules and procedures.

The Company requires the directors to prepare financial statements for each financial year, which give a true and fair view of profile and loss in their divisions. The directors are responsible for preparing the annual report and the directorsÂ’ Remuneration report.

Tasks are clearly defined

They set up task clearly in order to fulfil quality of the engines.

Rolls-Royce establish working processes which ensure that they understand our customersÂ’ needs and that then design, produce, deliver and support their products and services to customers.

The product department’s task is to

- Halve the rate of customer incidents every 3 years.

- Halve the production cost from all business processes every 3 years.

- Ten times ensure the products are not defected before delivery.

- Increase the productivity and enhance the quality.

A clear chain of command

The chairman gives a new issue to the executive director to improve the efficiency of the engine. It is not only to improve the quality of the engine but also not to damage the environment. And the executive manager set a target for
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