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Organizational Structure Of Dell

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4.0 Organization of firm Dell. Inc. has experienced tremendous growth since Michael Dell founded the company with only $1,000 in his University of Texas dorm-room. Today in this society, Dell has global revenues with nearly $50 billion and with the employs more than 55,000 individuals. 4.1 Formal Structure (Organizational Charts) Formal Structure is the official organization of a business that is typically hierarchical in nature. Formal structure can be known as organizational structure. Organizational structure is the vertical and horizontal configuration of departments, authority, and jobs within a company. The formal structure can be found in the organizational charts of the company and it includes the title and their job in the organization. …show more content…

In decision-making process, there’s eight steps in it: identification of a problem, identification of decision criteria, allocation of weights to criteria, development of alternatives, analysis of alternatives, selection of an alternatives, implementation of the alternatives and evaluation of decision effectiveness. The board of directors usually sets up five committees. Dell’s functional structure included employees grouped together by the common skills and task performance to organize the value chain activities. The value chain activities are controlled by the managers. From the factory floor to the executive office, all employees are empowered to make decision to improve their work and performance of Dell. Upper manager of Dell are not required for the implementation of ideas. Dell adapted to the need to include data about cash liquidity and profitability into daily decision making. During the company’s early years, the decision-making process were pervaded by unconventional thinking and new …show more content…

With this involvement of the managers helps dell to establish and allows dell to maintain one of Dell’s critical competitive advantages. It allows a rapid decision making because all the managers know what’s going on in the organization. IF any problem that suddenly pop-up, there’s no research needed and often have all the information in their hands. Managers can make decision in a fast way and won’t waste time on making decision. (Michael

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