Organizational Structure of Dell Company
The core company being analyzed in this paper is Dell Company. Dell Company was founded in 1984 by Michael Dell. Dell Corporation has a functional organizational structure. Functional organizational structure helps different functional components and departments at Dell Company to share ideas to promote strength of the organization (Usman, 2012). At the top most postion of the structure is the Chief Excutive Officer, Michael Dell. There are several directors serving under the Chief Executive Officer.
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The Chief Executive Officer at Dell Company oversees the activities of variuos departments including the Public Group department, Finance department, Marketing department, Dell Sevices department, Enterprise Group department, Small and Medium Group department, Strategy department, Dell.com department, Legal department and Human Resources department. Since Dell is an international company, these heads of all departments work together to ensure that operations in all stores worldwide are operating smoothly (Kraemer and Dedrick, 2002). Figure 1 shows the organizational structure if Dell Company. Examples of companies with fuctional organizational structures are Apple Inc shown in figure 2 and TBS Managed Services shown in figure 3.
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Finance department plays a very significant role in defining the organizational structure of Dell Inc. Being a global company, Dell feels that its success depends on how well its finances are managed in all its stores. For this reason, the company has structured its organization to have the Chief Finance Officer report directly to the Chief Executive Officer. This way, the company ensures that all financial information that reaches the Chief Executive Officer does not pass through so many people in order to avoid manipulation. In view of the importance of the finance department to Dell Company, the company feels that this department is the most important when listed with other functions such as marketing, operations and human resources (Hernaus, Aleksic and Klindzic, 2013).
Since its inception in 1984, Dell Company has been growing at a rapid rate. Growing business marketing will therefore help Dell Company to retain old customers and even attract new ones for its innovative products. For this reason, the company has structured its organizational to have the Head of Marketing Department report directly to the Chief Executive Officer (Hernaus, Aleksic and Klindzic, 2013).
Effective flow of operations is critical for Dell Company as it helps the company to make products available at the right time to consumers. This explains why Dell Company has structured its organization to have Head of Operations Department (Strategy in this case), report directly to the Chief Executive Officer. This helps the company to ensure availability of all the necessary raw materials at all times (Hernaus, Aleksic and Klindzic, 2013).
Human Resources has been ranked as the least important because Dell Company feels that issues concerning employees should be addressed after ensuring that all other departments in the organization are in the right order. This results into easy flow of work as employees will be able to perform their duties without hitches. Since flow of operations depend on the availability and of Human Resources, Dell Company has made Head of Human Resources Department to report directly to the Chief Executive Officer (Hernaus, Aleksic and Klindzic, 2013).
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