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Appex Case

In: Business and Management

Submitted By simplan
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Before Ghosh joined Appex, the company was entrepreneurial, technology-driven, and loosely structured. The company was at its start-up stage, few business procedures had been defined as they were considered as unnecessary given the relatively small size of the company. As well people had particular expertise but everybody did anything because nobody had any sense of what their job description was. This is a very typical structure for those small companies in the starting up stage. Advantage is that when the company business is not very large, it can act in this way to fully utilize the resources and make itself responsive and effective at getting things done quickly and relatively cheaply. But the disadvantage is that if fortunately, the market was growing quickly and so was the company, things will change into chaotic because there is no long-term planning for the company and all people just focus on the immediate issues. The company will not be able to further grow with this structure.
Circular Structure
A circular structure was then implemented to address the problem mentioned above. The special thing in circular structure is that senior executives are in the core, and the next circular layers out includes the managers of functions and the employees in the functions. In the environs around the circle was Apex’s customer. Positive things of this structure are that the information can flow continuously and freely within the organization and between the organization and its environment. But there were a lot of negative things, first thing was that employees could not relate to the circular structure especially for those newly joined staffs. And also, the structure was completely geared toward responsiveness instead of planning. Hierarchical, Functional Structure This structure was a very traditional structure which emphasizes hierarchical, roles and…...

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