The Organizational Structure Of Samsung

Formal structure is the way that the organization is operated by those with responsibility for managing the organization. They create formal structures to ensure that the standard operating procedures are followed and the duties are streamed down by a hierarchical approach. I work in a formal structure (government job) where we follow the chain of command and use titles as a way of acknowledging the roles. Informal structure is the intertwining social structure that governs how people work together and the elements are important because people’s

The organizational structures within a company can be the determining factor if a business can run efficiently or run chaotically into ruin. The organizational structure is the different hierarchy’s and arrangement of authority, roles and duties in an organization. The Cheesecake factory has a very effective organizational structure which allows for its operations to run smoothly and enables the Cheesecake factory to be one of the highest earning restaurant chains. The structure contains three main levels. The first and highest level is the board of directors which contains 7 members, including the CEO David Overton and 6 directors. The next level of hierarchy called N-1 contains 7 levels including the CFO, President, Area Operations,

Organization is based on several levels with each different authority. Information flows gradually from the bottom to the top level, as well as tiered command line from top to bottom. Hierarchical system as it was made into a rigid bureaucracy and made the decision-making process becomes fragmented because of the flow of information and commands only run vertically. For example, the organizational structure of the Ministry of Internal Transport of Sri Langka at least has seven levels of bureaucracy, from bottom to higher levels start from additional deputy director, deputy director, director, additional secretary, secretary, deputy minister, and minister. Such hierarchy is likely to cause substantial distortion, in terms of information delivery from the bottom to the top and in terms of translating messages or orders from

This study seeks to examine the market structure and strategy of Samsung Company analyzing its micro-environmental level as well as SWOT analysis. In this regard, it is worth pointing out that Samsung is a well-established company. It manufactures different electronics products including home appliances and smartphones. It has been on the market since 1969. Its electronics division has 169 subsidiaries and affiliates, which are divided into three to include Consumer Electronics, Information Technology & Mobile Communications, and Device Solutions division (Samsung 2016, 2). In this precept, consumer Electronics focuses on advanced technology, exclusive design and significant offers for presenting new products such as TV, Refrigerator, Air Conditioner, and Medical equipment among other products. Information Technology & Mobile Communications division, on the other hand, produces mobile handset and customer friendly communication products. The Device Solutions in the same dictum division focuses on display pane and semiconductor products. The company has grown globally, and establishes outlets in different parts of the world, including the U.K.

On account of a pyramid, the pioneer or president is at the highest point of the organization, and every single other office course underneath that pioneer. VPs answer to the president or CEO, and thus, executives answer to the VPs. Administrators of divisions are underneath the chiefs and these directors regularly have various managers answering to them. At last, the laborers in a bureaucratic association answer to the bosses. Structure is critical for a bureaucratic organization.

This essay attempts to identify and analyse Samsung’s key features in their operations management. Operations Management is defined as the process where resources, flowing within a defined system (Kumar & Suresh 2009), are combined and transformed in a controlled manner to add value. These incorporate elements such as products, processes, technology, and equipment or quality control systems (Garrido, Martín-Peña & García-Muiña 2007, p. 2119). In addressing these elements the essay wishes to capture, which of these influence Samsung’s abilities successfully to obtain their competitive priorities (Garrido, Martín-Peña & García-Muiña 2007, p. 2120) and process strategies.

Today Samsung has evolved into a group of companies unmatched by others in its range of industries and performance. It is now globally focused and responsive to the needs of each market, and more committed than ever to true innovation. The group’s three core business sectors are electronics, finance and trade and services.

Organizational structure is a system that consists of explicit and implicit institutional rules and policies designed to outline how various work roles and responsibilities are delegated, controlled and coordinated. Organizational structure also determines how information flows from level to level within the company (investopedia.com, 2017). If one level or department does not undertake its function accurately the entire business suffers, because all the departments interrelated to each other. There are generally four types of organizational structure:

Effective organizational structures define how job tasks are subdivided, grouped, coordinated, and managed. Six key components of organizational structures include division of labor, departmentalization, chain of command, span of control, centralization, and formalization (Remme, Jones, Van der Heijden, & De Bono, 2008, p. 79). Each element influence how employees interact with each other to reach organizational goals. Different structures are common in similar organizations among high performing organizations (Reimann, 1974, p. 707). The most appropriate structure will depend on the unique needs and culture of the organization.

The evolution of the world has left nations with an ever changing business environment which keeps companies on their toes.With the technological advancements as well as changes in demographic, many companies have to rapidly change the way they react to these changes in order to stay relevant in a competitive environment (Jovanović, 2015). Samsung has adapted to today’s business through adopting Western business practices into its Japanese system as well as digital technology(Khanna, Song & Lee, 2011).The role of management in today’s industry has rapidly changed from the role of a manager imposing restrictions to an organisational tool, not only for a company but personally as well (McCrimmon, 2010).Management system used in Samsung during the S-level recruitment program proves the importance of managerial ranks as well as an organised system(Khanna et al, 2010).

Samsung is a multinational Korean electronics company engaged in designing, manufacturing and marketing mobile communication and other media devices, as well as related software, accessories and third-party applications. They are one of the most well-known electronic brands in the world. According to Mintel (2017), Samsung is still the world’s number one smartphone vendor and along with Apple they dominate the smartphone market with 66% of the market share. Samsung currently operates in relatively 84 countries and have hired more than 320 million employees working for them. In the recent period, it has been focusing on making products that help people lead a better and smarter lifestyle.

Structure and hierarchy come from how work and the work processes are coordinated together and relating how tasks and coordination of these tasks is to be obtained. When determining the authority in the structure of an organization, there are two major options, centralized and decentralized. A centralized organizational setup is where the authority to make important decisions is retained by managers at the top of the created hierarchy whereas a decentralized organizational setup is where the authority to make important decisions about organizational resources and to initiate new projects is delegated to managers at all levels in the hierarchy. Each choice is made based upon the main goal/task of the organization and what would better fit the organization. Whether work/the

Company Background: Samsung is a South Korean multinational company those starting its business as a small trading company and right now becoming world largest corporation. The company deals with its business in several sectors such as advance technology, finance, petrochemical, semiconductors, plant construction, skyscraper, medicine, fashion, hotels, chemical and others. The company was established in 1969 in Suwon, South Korea and known globally for its electronic products (Kelly, 2011). The company is manufacturing several latest technologies, electronic appliances such as mobile phones, tablets, laptops, TVs, refrigerators, air conditioners, washers and other products. The company runs its operations and sales its products in 61 countries with approx 160,000 employees in all over the world (SAMSUNG, 2014). Moreover, the company acquired the position of the world biggest IT maker in 2009 by beating the Hewlett-Packard (HP) previous leader. Its sales revenue in the segment of LCD and LED is the highest in the world. Furthermore, Samsung also becomes world leader in the segment of tablets, mobile phones and gadgets.

Structure: Business needs to be organised in a specific form of shape that is generally referred to as organisational structure. Organisations are structured in a variety of ways, dependent on their objectives and culture. The structure of the company often dictates the way it operates and performs (Waterman et al., 1980). Traditionally, the businesses have been structured in a hierarchical way with several divisions and departments, each responsible for a specific task such as human resources management, production or marketing. Many layers of management controlled the operations, with

Another thing that SAMSUNG has to understand the variety of cultures is their aim of the sustainability (see appendix F). Its sustainability well represents that SAMSUNG is one of the company that really consider the other cultures, societies, people and customs and so on.