Case 19: Yang Liping's glutinous rice food factory

Question: 1. According to the theory of organizational structure, what kind of structure does Yang Liping's glutinous rice food factory adopt? What are its advantages and disadvantages?

what kind of environment is it suitable for? 2. According to the case, please point out what kind of organizational structure is the factory structure suggested by my cousin Tang Zhenglong?

3. What are the advantages and disadvantages of the organizational structure suggested by Tang Zhenglong?

Reference answer:

1. According to the theory of organizational structure, it can be found that Yang Liping's food factory adopts a functional (or linear functional) organizational structure. Its advantage is that it can give full play to the professional management role of various departments and effectively organize and direct their production, technology and economic activities to meet the requirements of modern industrial production technology and management division of labor; The disadvantage is that it is difficult to clearly define the responsibilities and authority of department and workshop personnel, and many problems need to be solved by many departments, which will eventually affect efficiency and delay work, and it is not suitable for large-scale production of enterprises. This organizational structure is more suitable for the initial stage of enterprise establishment and development.

2. Cousin Tang Zhenglong thinks that if the food factory wants to develop, it should seize the market demand, expand the production scale, and completely reorganize the structure of the factory. Under the leadership of the general factory, it will be divided into many independent management and accounting departments according to different products or regions. The product structure he suggested is essentially a business division organizational structure.

3. The advantage of this business division structure suggested by Tang Zhenglong is that it is convenient for organization specialization and cooperation within the organization; The top management department can get rid of daily administrative affairs and become a strong decision-making body. At the same time, each business department has its own system, independent operation and independent accounting, which can give play to flexibility and initiative; Comparison and competition among business divisions can promote the development of the cause; Production and sales can be directly linked, and the relationship between supply and demand can be quickly fed back; The company regards each business department as an autonomous unit, so that the managers of each department can organize the business of this department from the overall point of view, which has been comprehensively tested, and thus has the conditions to be promoted to the highest department. This is a better organizational model for cultivating and training management talents.

Disadvantages are: duplication of institutions, which easily leads to waste of managers; Due to the independent operation of each business division, it is difficult to change personnel among business divisions and support each other poorly; Managers of all business divisions tend to consider problems from their own departments and ignore the overall interests of the whole enterprise.