Quality, Strategy, and Value Creation for Industry

Assignment 3 – Organizational Choices

Qual8321

Submitted By-Aryan Sood

8912461

Applied Manufacturing Management Design Integration 3D

Printing Stream
Contents
Scenario 1: High-Tech Startup Developing a New Type of Plastic .........................................................3
 Roles to be Filled................................................................................................................4
 Number of Employees ........................................................................................................4
 Collaboration and Communication .......................................................................................4
 Location ............................................................................................................................4
 Decision-Making ................................................................................................................4
 Vertical or Horizontal Orientation ........................................................................................4
Scenario 2: Chain of BBQ Restaurants Expanding Through Franchises ..................................................5
 Roles to be Filled................................................................................................................5
 Number of Employees ........................................................................................................5
 Collaboration and Communication .......................................................................................6
 Location ............................................................................................................................6
 Decision-Making ................................................................................................................6
 Vertical or Horizontal Orientation ........................................................................................6
Comparison and Preference............................................................................................................7
Comparison...............................................................................................................................7
 Ease of Implementation ..................................................................................................7
 Risk and Stability ............................................................................................................7
 Innovation vs. Standardization.........................................................................................7
Preference ................................................................................................................................8
 Individual Preferences and Career Goals ...........................................................................8
 Risk Appetite .................................................................................................................8
 Personal Values and Interests ..........................................................................................8
Scenario 1: High-Tech Startup Developing a New Type of Plastic

In the context of a small high-tech startup developing a novel plastic made from natural animal and plant

oils, the organizational structure needs to be agile, innovative, and adaptable to rapid changes in

technology and market demands. Given the nature of the industry and the need for continuous research

and development, a flat and flexible organizational structure would be most suitable. This structure

encourages open communication, collaboration, and quick decision-making processes.

The startup would likely benefit from a team-based approach, where employees work in cross-functional

teams focused on specific aspects of research, development, and commercialization. With a small team,

it's crucial to leverage the diverse expertise of each member efficiently. Therefore, roles should be

defined clearly, but there should also be flexibility for employees to contribute across different areas as

needed.

Information sharing should be transparent and accessible to all team members to foster creativity and

innovation. Regular team meetings, brainstorming sessions, and open-door policies can facilitate this

culture of openness and collaboration. Since the startup is likely to have a small number of employees

initially, locating them in a single office space can enhance communication and teamwork.

In terms of decision-making, a decentralized approach would be beneficial, allowing teams to make

decisions autonomously within their areas of expertise. However, major strategic decisions should
involve input from all stakeholders, fostering a sense of ownership and commitment to the company's

goals.

 Roles to be Filled: The startup would likely require roles such as research scientists, engineers,

product developers, marketing specialists, and administrative staff.

 Number of Employees: Initially, the startup may have a small team of around 10-20 employees,

with potential for growth as the business expands.

 Collaboration and Communication: Employees would work closely together in cross-functional

teams, sharing ideas, expertise, and information freely to foster innovation and problem-solving.

 Location: Given the small size of the team, they could be located in a single office space to

facilitate communication and teamwork.

 Decision-Making: Decisions could be made collaboratively within teams, with major strategic

decisions involving input from all stakeholders.

 Vertical or Horizontal Orientation: This scenario leans more towards a horizontally oriented

structure to encourage collaboration, agility, and innovation. Teams work together with minimal

hierarchy, allowing for quick decision-making and flexibility.

Scenario 2: Chain of BBQ Restaurants Expanding Through Franchises

For the chain of BBQ restaurants expanding through franchises, a more hierarchical organizational

structure may be appropriate due to the need for consistency in operations and branding across multiple

locations. With six existing locations and plans for expansion, there's a greater need for standardized

processes, procedures, and training programs to ensure quality and uniformity.

A vertical organizational structure with clear lines of authority and reporting would facilitate efficient

decision-making and ensure that franchisees adhere to the company's standards and guidelines. Regional

managers could oversee multiple locations, providing support, training, and guidance to franchisees while

ensuring compliance with company policies.

Information sharing in this scenario would involve disseminating best practices, marketing strategies, and

operational guidelines to franchisees through manuals, training programs, and regular communications.

Centralized decision-making would be essential for maintaining brand consistency and addressing issues

promptly.

Given the geographical spread of the restaurant locations and the need for standardized operations, a more

vertically oriented structure would be preferable. This approach would enable better control and

coordination across the chain, ensuring that each location operates in alignment with the company's vision

and values.

 Roles to be Filled: The chain would require roles such as restaurant managers, chefs, kitchen staff,

waitstaff, marketing managers, regional managers, and administrative staff.

 Number of Employees: With six existing locations and plans for expansion, each restaurant may

employ 20-50 employees, depending on its size and scale.

 Collaboration and Communication: Collaboration would be more structured, with clear lines of

communication between head office, regional managers, and franchisees. Information sharing

would involve disseminating operational guidelines, marketing strategies, and best practices to

ensure consistency across locations.

 Location: Restaurants would be located in different geographical areas, with regional managers

overseeing multiple locations within their designated territory.

 Decision-Making: Decision-making would be more vertically oriented, with central management

making strategic decisions and providing guidance to franchisees. Franchisees would have

autonomy in day-to-day operations but would adhere to company policies and standards.

 Vertical or Horizontal Orientation: This scenario leans more towards a vertically oriented

structure to ensure consistency, standardization, and centralized control over operations and

branding. Clear lines of authority and reporting are crucial for maintaining brand integrity and

quality standards across the chain.

Comparison and Preference

Comparison:

 Ease of Implementation:

1. Scenario 1 (High-Tech Startup): Implementing this scenario may be easier due to its smaller

scale, flexibility, and agility. With a small team and a flat organizational structure, decision-

making processes can be quicker, and adaptation to market changes can be more seamless.

2. Scenario 2 (BBQ Restaurant Chain): Implementing this scenario may be more complex due to the

larger scale, geographical spread, and need for standardization across multiple locations.

Coordinating operations, maintaining consistency, and ensuring compliance with franchise

agreements require careful planning and execution.

 Risk and Stability:

1. Scenario 1: Working in a high-tech startup involves inherent risks associated with technological

innovation, market uncertainty, and financial instability. However, it also offers the excitement of

working on cutting-edge technology and the potential for substantial growth and impact.

2. Scenario 2: Joining an established restaurant chain offers more stability and a proven business

model. While there are still risks associated with business expansion and market competition,

the franchise model provides a level of predictability and support compared to a startup

environment.

 Innovation vs. Standardization:

1. Scenario 1: High-tech startups thrive on innovation, creativity, and disruptive technologies.

Employees have the opportunity to explore new ideas, experiment with novel solutions, and

drive technological advancements in their industry.

 2. Scenario 2: Restaurant chains prioritize standardization, consistency, and operational efficiency.

While there may be room for innovation in menu development or marketing strategies, the focus

is primarily on delivering a consistent dining experience across all locations.

Preference:

 Individual Preferences and Career Goals:

1. Preference for Scenario 1: Individuals who are passionate about technology, innovation, and

entrepreneurship may prefer Scenario 1. The fast-paced environment, freedom to explore new

ideas, and potential for significant impact appeal to those seeking dynamic and challenging

opportunities.

2. Preference for Scenario 2: Individuals who value stability, teamwork, and operational excellence

may prefer Scenario 2. The structured environment, established business model, and

opportunity to develop leadership skills within a proven industry appeal to those seeking a more

stable and predictable career path.

 Risk Appetite:

1. Preference for Scenario 1: Those with a high tolerance for risk and ambiguity may gravitate

towards Scenario 1. They are willing to embrace uncertainty, navigate challenges, and seize

opportunities for growth and innovation.

2. Preference for Scenario 2: Individuals who prioritize security and risk mitigation may prefer

Scenario 2. They seek stability, reliability, and a lower level of uncertainty in their career

trajectory.

 Personal Values and Interests:

 1. Preference for Scenario 1: Individuals who value creativity, autonomy, and pushing boundaries

may find Scenario 1 more fulfilling. They are driven by a desire to make a meaningful impact,

pursue their passions, and contribute to technological advancements.

2. Preference for Scenario 2: Those who value teamwork, customer service, and community

engagement may find Scenario 2 more appealing. They enjoy working in a collaborative

environment, interacting with people, and providing a service that enhances people's lives.

In a real-world scenario, implementing Scenario 1 may be easier due to its smaller scale, flexibility, and

agility. The high-tech startup can adapt quickly to market changes, innovate rapidly, and pivot as needed

without the constraints of a large organizational hierarchy. Additionally, the startup culture often attracts

highly motivated and innovative individuals who thrive in dynamic environments.

As for career preference, it depends on individual preferences and career goals. Scenario 1 offers the

excitement of working on cutting-edge technology, the opportunity to make a significant impact in a fast-

paced environment, and the potential for substantial growth and innovation. On the other hand,

Scenario 2 provides stability, a proven business model, and the chance to develop leadership and

management skills within an established industry. Ultimately, the choice between the two scenarios

depends on one's appetite for risk, preference for innovation versus stability, and career aspirations.