BUS 3011 Unit 3 Reflection Paper
Organizational Design and Structure
In anticipation of the hypergrowth period Atha Corp is entering, a comprehensive strategy has been developed to scale and maximize resources. The organizational structure has been a key focus area, considering the priorities of different functional areas and researching various online sources to identify the most suitable corporate design for Atha Corp’s needs.
The goal was to build upon the current operational structure, providing salespeople with the agility to drive strategy at an accelerated pace and capture numerous revenue opportunities in the coming year.
After careful consideration, a matrix structure based on the geography of clients has been proposed. This matrix structure offers a customer-centric approach, ensuring sales efforts align with different regions’ needs and preferences.
One of the defining characteristics of the matrix structure, as noted by Robbins, Cenzo, and Coulter (2017), is the concept of dual reporting or chain of command. In this case, employees will report to two different managers, with managers sharing responsibility and authority over their direct reports. The organization chart visually represents this dual reporting structure through white and pink lines.
BUS 3011 Unit 3 Reflection Paper
Within this structure, department managers will share authority with Territory Managers. Each Territory Manager will have a team consisting of a Sales Associate, Customer Service Representative, Market Research Associate, and Digital Marketing Strategist dedicated to their assigned territory.
It’s important to note that the authority and responsibility of a Territory Manager are limited to their environment, as stated by Robbins, Cenzo, and Coulter (2017). Performance reviews raises, and promotions remain the responsibility of the employee’s department manager.
Sales & Marketing Functional Area
The Sales Manager, Customer Service, and Market Research Manager roles will remain the same within the Sales & Marketing functional area, except for the dual reporting structure. Department Managers will work closely with Territory Managers to share authority over direct reports and coordinate resources.
A strong working relationship and transparent communication between these roles will be essential in effectively managing workloads, resolving conflicts, and aligning efforts toward organizational goals.
In addition to collaboration with Territory Managers and cross-functional teams, employees within the Sales & Marketing functional area will also work on projects with their peers within their respective departments and report to their Department Manager. This collaborative approach encourages knowledge sharing, teamwork, and overall effectiveness within the Sales & Marketing area.
Territory Managers
Three new management roles have been introduced to support the expansion plans: Territory Sales Manager – North America, Territory Sales Manager – Europe, and Territory Sales Manager – Asia. These Territory Managers will play critical roles in driving the sales strategy of Atha Corp. Hiring bilingual and experienced professionals for the latter two positions will be vital for success in those regions.
Each Territory Manager will have a dedicated Sales Associate, Customer Service Representative, Market Research Associate, and Digital Marketing Specialist to assist them in establishing and growing their territories. While the North American region has already been established, the Market Research Associate and Digital Marketing Strategist roles will still support the marketing needs of these territories. BUS 3011 Unit 3 Reflection Paper
Market Research Department
The international sales initiative at Atha Corp presents exciting opportunities, new customers, and diverse cultures and languages. An additional Market Research Associate has been added to the Market Research Department to proactively address the challenges of venturing into uncharted territory.
This new role will focus on conducting critical research on clients and potential clients, products, industries, and other relevant areas. Their insights will enable the sales team to understand the target markets better and tailor their strategies to meet the specific needs and preferences of different regions.
Digital Marketing Department
The Digital Marketing Department has also undergone restructuring to align with Atha Corp’s growth objectives. A new Digital Marketing Manager has been appointed to oversee two Digital Marketing Strategists.
This department comprises skilled marketers with versatile expertise in various digital channels. Initially, their responsibilities will include updating the company website, improving SEO rankings, and launching digital campaigns tailored to the new international territories. They will continue to manage these tasks while handling social media management, email marketing, and creating landing pages for future product launches.
The strategic enhancements in organizational design, structure, and functional areas implemented at Atha Corp position the company for success in achieving its ambitious goals. The organization is well-equipped to navigate the hypergrowth phase effectively and maximize its revenue potential by optimizing resources, fostering collaboration, and aligning efforts across departments.
Human Resources Functional Area
Two new Human Resource Generalist positions have been added to support the company’s expansion and hiring needs. These Generalists will be responsible for screening, interviewing, and hiring 30 new employees for the company. Their role is critical in ensuring the right talent is selected to drive the company’s growth.
Once the new employees are hired and trained, the roles of the Human Resources Generalists will transition into more specialized areas. This will allow them to focus on specific aspects of human resource management and provide expertise in strategic locations. The following are the areas in which each Generalist will specialize:
- HR Generalist 1: Workforce Planning and Strategic Resources Planning. This Generalist will analyze the current workforce and future needs of the organization. They will develop strategies to attract, retain, and develop talent in alignment with the company’s growth objectives. Additionally, they will identify critical competencies required for each role and ensure that the workforce is adequately equipped to meet organizational goals. BUS 3011 Unit 3 Reflection Paper
- HR Generalist 2: Recruitment, Job Postings, Interviews, Selection, Hiring, and Onboarding. This Generalist will manage the end-to-end recruitment process, from creating job postings to conducting interviews and selecting suitable candidates. They will ensure a seamless onboarding experience for new hires, facilitating their integration into the company and providing the necessary support and resources.
- HR Generalist 3: Training, Employee Development, and Policies. This Generalist will oversee training and development initiatives for employees. They will assess training needs, design and deliver training programs and monitor the effectiveness of these programs in enhancing employee skills and performance. Additionally, they will be responsible for developing and implementing HR policies and procedures that promote a positive and inclusive work environment.
- HR Generalist 4: Performance Reviews, Compensation, Benefits, 401K, PTO, Health/Dental. This Generalist will manage performance appraisal processes, ensuring performance goals are effectively set and evaluated. They will collaborate with managers to provide feedback and coaching to employees, fostering their professional growth. Moreover, they will handle compensation and benefits administration, including salary reviews, benefits enrollment, and retirement plans such as 401K. They will also oversee time-off management and coordinate employee health and dental benefits.
With these two new Generalists, the Human Resources department has four employees. Currently, there is overlapping responsibility and tasks, as two Generalists are solely dedicated to the hiring needs across the organization.
This focused approach ensures that the hiring process receives the attention it deserves to attract top talent. As the hiring process wraps up towards the end of the first quarter, the team will cross-train with the other Generalists. This cross-training period will continue for a few months until all four employees are fully trained in each discipline. This approach will foster collaboration and knowledge sharing within the Human Resources team.
The long-term plan for Human Resources, beyond six months, is for each Generalist to specialize in one or two focus areas. This specialization will enable them to become subject matter experts in their respective fields and provide in-depth support and guidance to employees and managers. It will also enhance the efficiency and effectiveness of the HR function, ensuring that all aspects of employee management are handled with expertise and precision.
Personal Experience
In my previous company, I had firsthand experience working in a matrix structure during a period of rapid growth similar to the situation at Atha Corp. The company’s revenue doubled from $5 million to $10 million in just under two years due to acquiring a significant client account. This unprecedented growth presented both opportunities and challenges for the organization.
Surprisingly, the growth caught the company off guard as the client was secured without active pursuit or bidding, which deviated from the norm considering the client’s significance (General Motors). Although the rapid growth was initially seen as an advantage, it soon became apparent that the organization needed to be adequately prepared to handle the associated complexities.
Adopting a matrix structure was an intelligent move in theory, as it provided flexibility and scalability. However, the implementation was flawed and lacked careful consideration. The lack of proper planning, organizing, leading, and controlling resulted in confusion, conflicts of interest, and abuses of authority and power within the structure.
BUS 3011 Unit 3 Reflection Paper
Meetings became lengthy and unproductive, lacking tangible outcomes. There needed to be more consensus on resource allocation and shared decision-making, leading some managers to bypass sessions and pursue their agendas. This created missed deadlines, decreased production, and negative financial impacts, ultimately damaging the organizational culture.
One major issue that contributed to the challenges was the need for fundamental HR practices. The organization needed an HR department, an organizational chart, clear job descriptions, and structured performance reviews. Additionally, key management roles were not filled with experienced professionals, as existing employees were hastily promoted without proper training or development opportunities.
Arguably, the most significant mistake made by the company was the failure to provide the necessary training and development to these newly appointed managers. Without the requisite skills and knowledge to effectively lead and manage people, the managers struggled to navigate the complexities of the matrix structure, exacerbating the existing challenges.
Conclusion
A successful matrix structure depends on planning, organizing, leading, and controlling. With these basics in mind, Atha Corp will implement a new organizational design, including new roles and an open floor plan to promote collaboration. The structure will be reviewed every six and twelve months to ensure sustainable growth for necessary adjustments.
References
Robbins, S., Coulter, M., & DeCenzo, D. A. (2017). *Fundamentals of Management*. [Capella]. Retrieved from
https://capella.vitalsource.com/#/books/9780134239828/
Devaney, E. (2019). Nine types of organizational structure every company should consider [Blog post]. Retrieved from
https://blog.hubspot.com/marketing/team-structure-diagrams
Quain, S. (n.d.). How does HR fulfill organizational goals and objectives? *Chron*. Retrieved from
https://smallbusiness.chron.com/hr-fulfill-organizational-goals-objectives-15863.html
Heathfield, S. M. (2019). What does a human resources manager, Generalist, or director do? Retrieved from
https://www.thebalancecareers.com/what-does-a-human-resources-manager-do-1918551
Kirova, V. (2017). Exploring the role of the strategic marketing department. *Journal of Marketing Development and Competitiveness*, 11(2), 27–38.
