Read the following scenario and answer the questions below.
The Dried Foods Solution Company produces and sells a variety of freeze-dried products in stores throughout the Unites States and Canada. The company does not have an online sales division. Following is a list of job titles for the organization as well as the number of people in each position. Sales have been growing at about 2 percent a year, slightly above the inflation rate. As a result of the slow growth, projections reveal no new job openings except for replacements.
Dried Foods Solution Personnel
Job Title
Number of Employees
Production Worker
60
Production Supervisor
6
Production Manager
1
Vice President—Production
1
Bookkeeper
6
Accountant
3
Accounting Supervisor
6
Vice President—Finance
1
Clerk
4
Payroll Coordinator
2
Compensation Manager
1
Benefits Specialist
1
Vice President – Human Resources
1
Salesperson
100
Area Sales Manager
8
District Sales Manager
8
Vice President—Marketing
1
President
1
Staff Specialist
6
Chemists
3
Technicians
6
Research & Development Supervisor
2
Vice President—Research & Development
1
Personnel Manager
1
- From this information, construct an organizational chart.
- You may use a template from any source you wish. Templates are available in Microsoft Word and a variety of online sources.
- You may use any type of organizational structure (hierarchical, flat, project management, etc.) What organizational structure did you choose and why?
- You may eliminate or change the job titles but do not reduce the number of people working for the company.
- After developing your organizational chart, define the departments and the relationships that you believe could most likely be downsized (restructured) in the event that growth slows or stops.
- Explain your proposed restructuring and your rationale for the restructuring strategy you’ve chosen.
- What would be the advantages/disadvantages if the company’s production operations were subcontracted? What if production operations were transferred to an offshore location such as China?
- Should the organization, as many firms have done; subcontract the human resources functions? Why or why not?
