Fred Meyer Organizational Structure Essay

1226 Words Jun 13th, 2013 5 Pages
The Process of Fred Meyer’s Organizational Structure Selection
MGT230
January 29, 2013

The Process of Fred Meyer’s Organizational Structure Selection Introduction According to Bateman and Snell, “Two fundamental concepts around which organizations are structured are differentiation and integration” (2011, pg. 227). Differentiation refers to the different units that work on different kinds of tasks with the use of different skills and work methods in an organization. These differentiated units are combinedand coordinated into an overallproduct for the purpose of achieving the organization’s mission as the result of integration. The two fundamental concepts indicate how the organization
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Through an organizational design, the organizational functions and organizational structure evolve from the advancement and direction of the company. This process starts with the focus and mission of the organization to layout the appropriate organizational design. Fred Meyer is geared toward thinking like a customer to figure out what customers want and providing the best possibleprice resulting in the type of organizational design focused on departmentalization. There are different types of departmentalization including product, customer, and process of activities in addition to the core qualities of an organization. The product departmentalization design of the company is identifying their competitive position against other retail stores on a department-by department basis in providing the best possible price. Next, the customer departmentalization design of the company is evaluating the demographic profiles of the customers to implement thinking like a customer. Then, the process departmentalization design of the company is examining how and why customers shop within different departments to focus on the requirements of product, service, and customer (Smith &Albaum, 2005). These types of departmentalization contribute to the organizational design and the organizational functions focused on Fred Meyer’s

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