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Mgt/230 Organizational Structure Essay

1175 words - 5 pages

Organizational Structure

James Singletary


September 16, 2013

Robert Bloomfield

Daimler Truck is considered the world’s biggest top quality truck producer all over the world. The huge stretch of the Daimler truck company includes nearly every country across the world. Daimler distributes a total of more than 100 individual vehicle designs in the product groups’ cars, vans, trucks as well as buses in about 200 countries throughout the world. The models represented by Daimler incorporate Mercedes Benz, Mitsubishi Fuso, Western Star, Orion bus, Thomas Built Bus, Detroit Diesel, as well as Freightliner. ...view middle of the document...

The Daimler Company, which includes DTNA operations under a mix of organizational structure, includes both vertical as well as horizontal systems. The Daimler group is led by a board of directors as well as Chief Executive Officer. Located in Stuttgart, Germany they control the international operations. The vertical hierarchy level controls the Daimler organization from the CEO to a V. P. responsible for truck operations. The Vice president after that controls the DTNA company right down to the North America CEO. From this administration stage send the DTNA company transitions to a horizontal system. The horizontal system functions like a divisional company. The varied goods, clients as well as geographical areas served by DTNA have resulted in the requirement to work under a divisional company system. The goods manufactured by DTNA are significantly different from each other and need individual knowledge to achieve success in each divisions operation. The goods varieties vary from an engine production (Detroit Diesel), to Motor Homes (Freightliner Custom Chassis), to top quality trucks (Freightliner/Western Star). Daimler Trucks North America incorporates 14,000 workers, five business unit head offices, 14 production areas, and eight parts distribution head offices. Each organizational system is unique in different phases or divisions. The objective is a smooth coordination between administrators and workers at every company to attain the company objectives. These organizational systems remain in place therefore the finishing jobs and reporting to administration is systematic to guarantee the correct decisions are made, which directly relates to the particular requirements of each department. A divisional company is a company which keeps growing and get progressively varied (Bateman & Snell, 2011).

The divisional company used by Daimler Trucks North America may be compared with other horizontal systems, which may not be suited to this kind of function. Independent of whether DTNA decides to concentrate on goods, clients, or geographic places the divisional organizational system will let a number of operations to be carried out and not always need other departments input into the decision as well as managerial processes. Indeed companies are developed in order so challenging tasks are capable of being separated and essential work finished in a way without needing upper management’s advice. Managing an organization in a divisional way helps higher administration in the capability easily to know the output and earnings each business section produces. An organizational system is prepared to enhance the capability to fulfill the customer’s requirements. The goal while structuring an organization like a divisional company is to supply goods the clients’ desires and outstanding service to those clients diversified (Bateman & Snell, 2011). An...

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