Board of Directors | President Executive Committee Legal Financial GM Acceptance Staff Corporation Department Chevrolet General Advisory Statt Sheridan Division Oldsmobile Division Buick Division Cadillac Division GM Export Division Company Canadian Division GM Truck Samson mn Tractor Division Scripps Booth Corp. Oakland Inter- yn — company Parts Division FIGURE 7.1 General Motors Corporation: organizational structure, 1921yw eS Ga (a) ons ‘organizing a (b) Hierarchy: ten interactions four interactions FIGURE 7.2 How hierarchy economizes on coordinationTABLE 7.1 Mechanistic versus organic organizational forms Feature Mechanistic forms Organic forms Task definition Coordination and control Communication Knowledge Commitment and loyalty Environmental context Rigid and highly specialized Rules and directives vertically imposed Vertical Centralized To immediate superior Stable with low technological uncertainty Flexible and broadly defined Mutual adjustment, common culture Vertical and horizontal Dispersed To the organization and its goals Dynamic with significant technological uncertainty and ambiguity Source: ‘Adapted from Richard Butler, Designing Organizations: A Decision-Making Perspective (London: Routledge, 1991): 76.Board of Directors President's Council Corporate Functions North Delphi GM Intemational Hughes American Automotive Acceptance Operations Electronics Operations systems Corporation GM Europe err | Small Vehicle Development Gar Sales, and | and Technical ‘Asian and Group Marketing Cooperation san a Group Group By Gelaiits )perations Latin American, African, and Middle East Operations FIGURE 7.3 General Motors Corporation: organizational structure, 1997Corporate Executive Office Chairman & CEO Corporate Staff Od Technology Infrastructure @ Aviation Enterprise Solutions Healthcare @ Transportation Industrial & Commercial Appliances © Consumer Electronics © Electrical Distribution @ Lighting Energy Infrastructure Energy © Oil & Gas © Water & Process Technologies GE Capital @ Aviation Financial Services © Commercial Finance Energy Financial Services © GE Money @ Treasury NBC Universal je Cable }@ Film /© International Network Je Sports & Olympics FIGURE 7.4 General Electric: organizational structure, 2009K Q soounosay uewinyy Bulwuela “ OR ny x XS Anes lar Aayes ‘Yeo slp hfs tig i GOS CE GE TOR ae | Upstream (land Gas) ae Hl Ble Downstream | Supply Marketing |) [2 ee ate iE Manufacturing ~ Teg cae cea Metals: Otter FIGURE 7.5 Royal Dutch Shell Group: pre-1996 matrix structureCorporate Guidelines Draft Discuss Revised Approval Business with Business P Plans Corporate Plans / pyc jorate an Corp PI Forecasts/ Scenarios/ Planning Assumptions Capex Annual Performance Budget aera Performance Targets FIGURE 7.6 The generic strategic planning cycle