East West University

Case Study On

A New Kind Of Structure

Mgt-101, Sec:

Submitted By: Tawfiqul Islam; Id no: 2010-2-10-161 Shiprian ; Id no: 2010Md. Imran Hossain; Id no: 2010-2-10-084

Signature

Submitted to: Dr Afzalur Rahman Senior Lecturer East West University

Submission Date: 14-12-2011

Case Study A new kind of Structure

Question 1: Describe and evaluate what Pfizer is doing? Answer To The Question No -1 Pfizer is the worlds largest research-based pharmaceuticals firm and also a well known pharmaceutical company. So their most of the work depends on research, developing strategies and innovate. They were trying to find a new way of system which makes their work more effective and efficient. Pfizer find out that their worker spends more time on business research and data analysis to the creation of documents and other routine support like Googling and making power points and also spending so much time on menial tasks rather than knowledge work. The average Pfizer employee was spending 20 percent to 40 percent of his or her time on supporting work (creating documents, typing notes, doing research, manipulating data, scheduling meetings) and only 60 percent to 80 percent on knowledge work( strategy, innovation, networking, collaborating, critical thinking). Thats why Pfizer starting to find a solution of this problem to increase their efficiency and effectiveness. Pfizer build a new kind of structure by using Microsoft outlook where their connecting to a outsourcing company where Pfizer can connect with different worker by email where they can connect with any worker around world and get cost specification for their requested work. By using this get rid of their boring work. process the time spent on analysis of data has been reduce, also have many financial benefits and employees also

Question 2: What Structural implication-good and bad- does this approach have? (Think in term of the six organizational design elements). Answer To The Question No -2 This approach office of future concept (it means Pfizer make a new concept of future office where they can connect their all offices around the world with each other and where any staff of the office can communicate, share information with another staff from one office to another office around the world) by Pfizer is good decision taken by Pfizer Senior director. This organizational structure also follows the six organizational design elements. As we know there are six organizational design elements. And they are: 1. 2. 3. 4. 5. 6. Division of Work Departmentalization Hierarchy Development Authority, Responsibility and Delegation Centralization Vs. Decentralization Coordination

Division of Work: Division of the work means divide a job into different part. When A job is broken down into a number of steps, and each step is completed by a separate individual leading to work specialization is called division of work. In the new organization structure Pfizer also divide their work into different part and also reduces the work load of their employees by specialization. Departmentalization: For different specialization Pfizer facilitated by putting specialists together in departments under the direction of a manager. These departments are typically based on the work functions performed, the product or service offered, the target customer or client, the geographic territory covered, or the process used to turn inputs into outputs. In new organizational structure Pfizer also departmentalize through different geographic area. For example: a employee of Pfizer can take any kind of information through one country employee to another country. Hierarchy Development: In Pfizer for the new organizational structure hierarchy development is also followed. In this structure a single worker have to request to its upper level and after he or she receives the permissions he or she can start to assign a team to complete the work. Here they also have to follow a hierarchy level from upper side to downside.

Authority, Responsibility and Delegation: In the new organizational structure of Pfizer the Authority, Responsibility and Delegation of each employees is also been decide and the authority of level is higher than the lowest level workers and also responsibility is also high for the upper level and low for the lower level. Centralization Vs. Decentralization: Pfizer also choose the amount of centralization or decentralization that will allow them to best implement their decisions and achieve organizational goals. In new Organizational structure Pfizer also decentralized more rather than centralized like by using Microsoft outlook employee can connect with another employee of the organization of different geographic place. Coordination: Coordination is the process of integrating the activities of separate departments in order to pursue organizational goals effectively. In new organizational structure Pfizer employee can easily coordinate with each other even though they are in different place with the help of OOF (office of future) concept it means (Pfizer make a new concept of future office where they can connect their all offices around the world with each other and where any staff of the office can communicate, share information with another staff from one office to another office around the world) they can easily coordinate their work. This new organizational structure brings good prospects to the Pfizer Company and it also maintain by the six organizational design elements which made a good implication.

Question3 : Do you think this arrangement would work for other types of Organizations? Why or why not? Answer To The Question No -3 Pfizer is a global pharmaceutical company. They sell their products all over the world and its need lots of documentations, researching, typing notes, manipulating data, scheduling meetings etc. When a manager will do all these things he/she cant concentrate on knowledge work like strategy, innovation, networking, collaborating and critical thinking. For this reason Jordan Cohen find out a solution and create a button on Microsoft Outlook where an employee can click on that button and connect to an out sourcing company who can do their required works by a specific amount of money. I think its a very innovative solution by which a company can get much more financial benefits as its saving time to analysis the data and employees are able to concentrate on their knowledge work. By this method Pfizers financial benefits are impressive. I think this innovative solution is only suitable for larger companies who are doing their businesses all over the world. It can be pharmaceuticals business or any other .Because they are doing businesses globally and they have high resources, financial backup etc. So they can think about these kinds of innovative solutions to provide more time to their employees for concentrate on knowledge work which will be more effective for the company in future. So I think if they use this method they can be successful like Pfizer pharmaceuticals.

Question 4: What role do you think organizational structure plays in an organizations efficiency and effectiveness? Answer To The Question No -4 Organizational structure means the way of arranging the works and people within the organization to perform the organizations different activities and attain the goal of an organization. When a organization is small in a size it does not need a formal structure but for a big organization a formal structure is essential because it needs to control each of their works and activities through a organizational structure. A good manger should consider organizational structure as an important part of organizations activities. He or she should design an organizational structure that allows employees to effectively and efficiently do their work. An organizational structure plays an important role in the organization to work more efficiently and effectively. By selecting a good organizational structure for an organization can be increase the efficiency and effective ness rate of an organization. Organizational structure can play a great role in organizations efficiency and effectiveness in many ways like 1. A good organizational structure can increase the effectiveness of communication within the organization. Any employee within the organization can get his or her required information before taking a decision and they can also communicate with other people inside or outside the organization. By establishing a organizational structure it makes easy gather information or different communication process within the organization. Thus it also can increase the effectiveness of organizations works or activities. 2. A good organizational structure can also increase the management process of an organization and can make the management work more efficient and more effective. While organizational structures create in the organization it shows the formation of the organization for example: by organizational structure it can build in a chain of command that empowers employees to greater productivity. Organizational structure facilitate communication And provide a clear set of procedures to create or make process improvements. 3. Organizational structure determines the goals of an organization and show the purpose and function of the organization. So its shows the clear sets of goals of an organization which increase the effectiveness of the organizations work. 4. Using Organizational structure for a long term can reduce the cost of different activities and also increase the experience of the employees in the organization which make organizations work more effective and efficient.

5. Main purpose of the organization structure is reduce the time of different activities in an organization through a structure working process and also cut different dispensable cost of the organization which increase the efficiency and effectiveness of a organization. Organizational structure plays an important role in an organizations effectiveness and efficiency. This can be increase by building a good organizational structure that suits the organizations.

References: 1. Six organizational design elements- http://www.hrtutorials.com 2. www.pfizer.com 3. www.wikipedia..org/wiki/pfizer