First of all it is very important to understand that an organization is meant for creating a synergy of the efforts of different individuals

in such a way that more value is created compared to when these individuals are producing the same effort separately. The organization is meant to contribute to the company’s goals. An organization to exist as such needs to define what the decision centers and the centers of competencies will be as well what the rules and standards which indicate clearly what is expected from the workers. This is the organization as a structure. An organization to attain its ultimate purpose which is to contribute to the success of the company has to define how the departments will work together and ensure a flawless execution. The organization also has to define control measures as well as ways to keep the workers committed to the goals of the company. This is the organization as a process.

Even though these 2 components of the organization, structure and process work together for the achievement of the organization’s objectives, it is clear that when it comes to making organizational choices one component has the predominance over the other. Before discussing the type of organization which is predominant in the company I work with, I would like to highlight the differences between an organization as a structure and an organization as a process. The first difference between the organization as a structure and the organization as a process is that as a structure, it is seen as the backbone or frame as it gives the shape of the company whilst as a process, it is seen as the coordination creating the synergy between the different groups defined in the frame. The organization as a structure keeps a tall hierarchy whilst as a process it keeps it flat to allow direct interactions and better integrations. Also in the organization focusing more on the structure, centralization and specialization are high and as highlighted by John Child, “people in these jobs are expected to work strictly to instructions laid down by managers”. On the other hand, in the organization focusing on the process, authority is more decentralized and people can decide on their goals and how to achieve them and at the end achieve the goals of the company.

Nestlé falls clearly in the category where the organization is more seen or arranged as a process. To support that choice Nestle has started introducing and implementing in 2002 its program “Nestle on the move”. With this program, the company was to move from a hierarchical structure to a flat structure where “managers have more direct reports, who then must act more independently” as explained by Professor Robert Hooijberg in the article ‘Nestle on the move’ co-

J.23 Hooijberg. and direct contact with the centers of competences. April [Online]. P. The department is composed of Category Demand and Supply Planning Managers all having one leg in the Planning department (belonging to the Supply Chain Direction) and another leg in the Category Business. Nestle focuses more on direct horizontal communication. Perspective for Manager. June [Online]. pp. issue 156. former Senior Vice President of Corporate Human Resources division . Getting the most from your workplace’. rating the competences and evaluating the performances of the Category Demand and Supply Manager. Reference list: Child. in Blackwell Publishing Ltd. Tomorrow’s challenges. Available at: http://www.cfm (accessed: 30 January 2011) . (2005) ‘Introduction to Organization’. relationship building and networking rather than top downs.org/research/publications/upload/PFM156-LR_Broeckx-Hooijberg.written with Paul Broeckx. Available at: http://www.imd. Reporting lines are double and both the Planning department and the Category Business which could be Soluble Coffees or Culinary have a say when defining the objectives. (2008) ‘Nestle on the move’. R. 3 .pdf (accessed: 30 January 2011) Hooijberg. Organization: contemporary principles and practice. I would like to share a more concrete example which is the arrangement of activities in my own department: Demand and Supply planning. & Broeckx. Another factor making the predominance of the organization as a process obvious when it comes to Nestlé’s organization is the integration and the key decisions made around it. R (2007) ‘Breaking out the pyramid. Authority has been decentralized. All this was so designed to allow the company to increase its speed to market and satisfy as fast and as best as possible the demands of the customers.imd.org/research/challenges/TC056-07. allowing more speed in decision making.