ORGANIZATIONAL ANALYSIS

Organizational Analysis

[Name of Supervisor]

Organizational Analysis

Introduction

The organization that is going to be accessed is Toyota Company. Toyota is considered as an international leader in the market of motor vehicles manufacturers. Business of Toyota has spread its wings all around the world. Toyota Motor Corporation (TMC) is a multinational company that manufactures vehicles. It has it's headquarter in Japan. Toyota is considered as the largest car manufacturer in Asia and second largest producer around the world. Toyota is mentioned in the list of three major Asian car manufacturers that are in competition with U.S. car manufacturers. It has been enjoying its leading position in the competitive market place. Through its subsidiary, Toyota offers its financial services that are also implemented in other fields. It is observed that Toyota implements the democratic leadership style in performing its dominant operations. The democratic leadership style is the most effective leadership style which is supposed to be the most suitable resulting in progress of the company. In democratic leadership style, employees are involved in decision making and they propose their innovative ideas for designing effective strategies for the company (Abramowicz, 2009).

Discussion

Organizational Structure of Toyota

The task of creating or improving the structure of an organization defines the effectiveness of managers' organizational design task. Organizational design is considered as one of the three tasks that are involved in the planning-organizing-leading-controlling (P-O-L-C) framework. Organizational structure is an influencing factor as it effects employee actions, work attitudes and behaviors (Vroom, 2006).

Organization structure is the name given to a framework in which all members work together in a team manner in order to achieve organizational goals for the progress of the company (Sprague, 2007). Hierarchy of an organization is represented by organizational structure. Organizational structure established by a company helps it employees to identify their roles and responsibilities and the relationship among them within the organization. Organizational structure is established on the basis of organizational height, span of control and utilization of line versus staff position. Organizational company works on the establishment of an organization structure that helps employees to perform their task effectively as well as help them building a strong relationship (Toyota, 2011).

Matrix Organization Structure

Matrix organization structure is followed by Toyota. The organizational structure of Toyota is designed to support team work. The main objective of Toyota Company is to set up an ideal organizational structure. It offers a clear understanding of the objectives and purpose of the company. Job descriptions in Toyota are divided according to the divisions, functions, groups and departments (Armenakis, Harris, G., & Mossholder, 1993).

Matrix structure divides product structures and authorities of functions. In the organizational structure of Toyota, most significant role is played by the leadership. At the bottom of organization, there are few layers of span of control in Toyota. In this structure, members of various groups work together and share their ideas in order to develop a new and innovative product line (Wanberg, & Banas, 2000). The main function of this structure is to divide roles and responsibilities to ...