Research Ralph Lauren Corporation to determine its
structure. Is it functional, conglomerate, divisional, matrix, or hybrid?
Provide supporting references in your initial post that are less than two
months old that support your assertion as to which type of structure your
organization uses. Assess the suitability of their structure. Is it the most
appropriate? Does it work well for them? If not, what structure would you
recommend and why?
Functional Design (U-form) – arrangement based on the
functional approach to departmentalization (U-from) for a unitary approach. Members
and units in the organization are grouped into functional departments such as
marketing and production. In U-from, none of the functional areas can survive without
the others.
Conglomerate (H-from) design – (H for holding, as in holding
company), used by organizations made up of a set of unrelated businesses. This
design is essentially a holding company that results from unrelated
diversification. This design is based loosely on the product of
departmentalization. Each business or set of businesses is operated by a
general manager who is responsible for its profits or losses, and each general
manager functions independently of others.
Divisional (M-From) Design – a product form of organization
is also used; in contrast to the H-from approach, however, the divisions are
related. The divisional design or M-form (Multidivision) approach is based on
multiple businesses in related areas operating within a larger organization
framework. This design results from a strategy of related diversification. Some
activities are extremely decentralized down to the division level; others are centralized
at the corporate level.
Matrix Design – based on two overlapping bases of
departmentalization. The foundation of a matrix is a set of functional
departments. A set of product groups, or temporary departments, is then superimposed
across the functional departments. Employees in a matrix are simultaneously members
of a functional department (such as engineering) and of a project team. At the
top of the organization are functional units headed by VPs of engineering, production,
finance, and marketing. Each of these managers has several subordinates. Along
the side of the organization are several positions called project manager.
Hybrid Desgin – two or more of the common forms of
organization design. Some may have related divisions and one unrelated
division, making its design a cross between an M form and an H form.