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David Pearce II

Restructuring :
Redesigning an
organizational structure
with intent of emphasizing
and enabling activities
most critical to a firm’s
strategy to function at
maximum effectiveness.
Business process
reengineering :
A customer-centric
restructuring approach
Downsizing:
Eliminating the number of
employees, particularly
middle management, in a
company

David Pearce II
Self-management:
Allowing work groups or
work teams to supervise
and administer their work
as a group or team without
a direct supervisor
exercising the supervisory
role
Virtual Organization:
A temporary network of
independent companies-
suppliers, customers,
subcontractors, and even
competitors-linked
primarily by information
technology to share skills,
access to markets, and
costs.

David Pearce II
Agile Organization:
A firm that identifies a set of
business capabilities central
to high profitability
operations and then builds a
virtual organization around
those capabilities
Outsourcing:
Obtaining work previously
done by employees inside
the companies from sources
outside the company
Modular Organization:
An organization structured
via outsourcing where the
organization’s final product
or service is based on the
combination of several
companies’ self-contained
skills and business
capabilities

David Pearce II
Business process
outsourcing:
Having an outside
company manage
numerous routine business
management activities
previously done by
employees inside the
company
Strategic Alliance:
Alliances with suppliers,
partners, contractors, and
other providers that allow
partners in the alliance to
focus on what they do
best, farm out everything
else, and quickly provide
value to the customer

David Pearce II
Boundaryless organization
Organizational Structure
that allows people to
interface with others
throughout the
organization without need
to wait for a hierarchy to
regulate that interface
across functional, business,
and geographic boundaries
Horizontal Boundaries
Rules of communication,
access, and protocol for
dealing with different
departments or functions
or processes within an
organization

David Pearce II
Vertical Boundaries
Limitations on interaction,
contract, and access
between operations and
management personnel;
between different levels of
management; and
between different
organizational parts like
corporate versus divisional
units
Business process
reengineering :
A customer-centric
restructuring approach
Downsizing:
Eliminating the number of
employees, particularly
middle management, in a
company