Disadvantages of a Functional Structure A disadvantage of this structure is that the different functional groups may not communicate with one another, potentially decreasing flexibility and innovation. The two books where a complement to one another while establishing each other theories. The process is broken into three 3 parts. The birth of People Express and other air carriers was the direct result of the Airline Deregulations Act of 1978, which enabled new carriers to enter the airline business for the first time in decades. Survey results are tallied and returned to management.
That said, team-building is now a frequent practice of many organizations and can include activities such as bonding exercises and even overnight retreats to foster team cohesion. FedEx and the 2001 - 2002 Recession In the wake of the 2001 recession, FedEx, like many companies, realized they were going to have to cut one of their largest costs: people. Hospitals exhibit this technology in that patients are acted upon differentially and each action depends on their response improvement or deterioration of their condition to prior actions. To establish its marketing service quality program, Federal Express determined what was most important to overnight shippers. All suggestions made in the meeting become the action plan. If an employee is running late, the wait for a shuttle bus can seal the deal and ensure a late. The organizational culture of the organization where I work: 1.
It primarily serves retail customers and small businesses for their small package delivery needs plus certain postal and shipping-related services. Examples of reinforcements at FedEx include Bravo Zulu awards, Purple Promise awards, and Five-Star awards just to name a few. Although modules are not generally interdependent, the modular organization is extremely flexible. The company believes in order to be the best; the best must be put forth in every effort. The two-way describes the transporting of information. FedEx Organizational Charts For a limited time, receive a complementary update for every OrgChartCity report you purchase that has not been updated within the last fiscal quarter! Such integration allows for the authority and organization of a more concrete structure while at the same time capturing the cross-functional and projected-oriented advantages of teams.
To catch on with e-commerce's demand for shorter-distance delivery, FedEx may have to realign its more toward its FedEx Ground while keeping its express advantage. Certain social structures remain long after they are no longer suited to situations. FedEx depicts communication as a two-way process. A recent trend aimed at combating this disadvantage is the use of teams that cross traditional departmental lines. Although teams are described as less hierarchical, they typically still include a management structure. Matrix organizational structure: In a matrix structure, the organization is grouped by both product and function. Michael Glenn, Executive Vice President of Market Development and Corporate Communications described the FedEx approach perfectly.
He gave real life stories of events that happened in organizational situation. In this stage, employees investigate the situation to determine the root cause of the situation. As the qualities of the organization perceived by the employees increase, the employees that are usually keen on self-evaluation tend to get lower scores. Generally speaking, divisions work best for companies with wide variance in product offerings or regions of geographic operation. Stage five is similar to the adult phase in life. Step six is serving as manager for one complete shift. This paper will evaluate the organizational structure of Federal Express, in particular FedEx Express FedEx, 2011.
Employees are encouraged to be honest and use the full range of the rating scale. Due to FedEx's exemplary organizational communication, FedEx was able to utilize both its customers and its employees in helping to lessen the impact of the layoffs for those who were directly impacted. The project team might be allocated a certain number of hours a month to devote to team objectives; however, members of the team are still expected to work within their respective functional departments. Quality leadership involves expressing a vision, mission, values, goals, and strategies; supporting business plans and policies. Step five is the employee must lead a 15-20 minute workgroup meeting.
They may be most effective within large corporations that produce relatively homogeneous goods. In small organisations, usually resources are limited. The classes are management training, diversity, writing with intention, and peer Leadership. Each group of specialists can therefore operate independently with management acting as the point of cross-communication between functional areas. In this program, employees must complete ten steps. This arrangement allows for increased specialization.
These developments may lead to the increased homogenization of structure as companies struggle to handle common problems of size. People — Values people and promotes diversity in the workplace and thinking 2. Employees view the hub in Memphis, the global map of all FedEx airplane routes, clips of FedEx shipping high profile packages such as the Titanic exhibit and the Gulf Turtle Rescue mission. Compete Market culture: These organizations are also concerned with stability and control, but rather than focusing on internal factors, they focus on external. Each award is accompanied with an innovative styled trophy, the employee getting his or her name mentioned in the company newsletter, and money.
The subsidiary organizations are FedEx Corporation, FedEx Services, FedEx Express, FedEx Ground, FedEx Freight, FedEx Custom Critical, and FedEx Trade Networks FedEx, 2011, p. Personnel are obliged to carry out the commands of supervisor. FedEx puts forth great effort in training employees to apply correct judgment and decision-making skills. It was a joint effort with those employees' coworkers and customers to verbally thank them for their service, and do whatever they needed so that when those people left, they didn't leave angry at FedEx, but rather anxious for the opportunity to return, which many did after the recession. The firm can switch between different contract manufacturers that perform different functions; the contract manufacturer can similarly work for different firms. Organizations have different organizational structures since they differ from each other in all sorts of aspects such environment, people, and goals. In the process, an individual sends information and feedback while another individual receives the information and dialogues concerning feedback.
The matrix structure is a type of organizational structure in which individuals are grouped by two different operational perspectives simultaneously; this structure has both advantages and disadvantages but is generally best employed by companies large enough to justify the increased complexity. However, 96% of FedEx's clients use two or more of the company's separate operating units, providing a different kind of. While customers were concerned with costs, Federal Express found that they were willing to pay a higher fee to assure both delivery and timeliness. Overview of the Matrix Structure Organizations can be structured in various ways, and the structure of an organization determines how it operates and performs. To successfully implement this program and to maintain the effectiveness of the program, however, demanded that the organizational structure at Federal Express be revamped.