0% found this document useful (0 votes)
289 views19 pages

Commerce Project 2

The document outlines the organizational structure of Samsung and Sony, highlighting how each company aligns its operations to enhance efficiency and innovation. Samsung employs a product-type divisional structure, allowing semi-autonomous divisions to respond to market changes, while Sony utilizes a matrix structure to manage its diverse operations across various industries. Both companies emphasize the importance of adapting their organizational frameworks to remain competitive in a rapidly evolving business environment.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
289 views19 pages

Commerce Project 2

The document outlines the organizational structure of Samsung and Sony, highlighting how each company aligns its operations to enhance efficiency and innovation. Samsung employs a product-type divisional structure, allowing semi-autonomous divisions to respond to market changes, while Sony utilizes a matrix structure to manage its diverse operations across various industries. Both companies emphasize the importance of adapting their organizational frameworks to remain competitive in a rapidly evolving business environment.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 19

ORGANISATIONAL STRUCTURE

Organizational structure is the framework that determines how activities such as


task allocation, coordination, and supervision are directed within an
organization. It establishes the hierarchy, defines roles and responsibilities, and
outlines the reporting relationships between different levels of management and
employees. A well-structured organization enhances efficiency, promotes
accountability, and streamlines decision-making processes, ensuring that the
company achieves its objectives effectively.
Organizations can adopt different structures based on their size, industry, and
strategic goals. The most common types include functional, divisional, matrix,
flat, and hierarchical structures. A functional structure groups employees
based on their expertise, such as finance, marketing, human resources, and
operations. This approach enhances specialization, efficiency, and coordination
within departments. However, it may lead to communication barriers between
departments.
A divisional structure organizes employees into independent divisions based
on product lines, geographical regions, or customer segments. Each division
operates like a separate entity with its own resources and leadership. This
structure is beneficial for large organizations that manage diverse product
portfolios or serve different markets. However, it can lead to duplication of
resources and increased operational costs.
The matrix structure is a hybrid model that combines elements of both
functional and divisional structures. Employees report to multiple managers,
typically one from their functional department and another from a project or
product team. This structure promotes collaboration and resource sharing but
can create confusion and conflicts due to dual reporting relationships.
A flat structure minimizes hierarchy and promotes open communication,
making decision-making faster and more flexible. It is common in startups and
small businesses where agility and innovation are key. While this structure
encourages employee involvement and quick responses to change, it may lead
to challenges in managing growth as the organization expands.
A hierarchical structure, also known as a top-down structure, follows a clear
chain of command with multiple levels of authority. Decisions flow from the
top management down to lower-level employees. This structure ensures clear
roles and responsibilities but can slow down decision-making and limit
innovation due to bureaucratic processes.
Organizational structures also influence workplace culture, employee
motivation, and overall productivity. A rigid structure with excessive
bureaucracy may lead to inefficiency and resistance to change, whereas a
flexible structure encourages adaptability and innovation. Many modern
organizations are moving towards more dynamic and decentralized structures to
stay competitive in a rapidly changing business environment.
Technology has also played a crucial role in reshaping organizational structures.
With the rise of remote work and digital communication, companies are
adopting network-based structures, where teams collaborate across different
locations using virtual tools. This shift allows organizations to leverage global
talent and improve operational efficiency.
Choosing the right organizational structure depends on various factors such as
business objectives, company size, industry demands, and leadership style.
Companies must periodically evaluate and refine their structures to ensure they
remain efficient, competitive, and aligned with their long-term goals. A well-
planned structure not only improves workflow and communication but also
enhances employee satisfaction and overall organizational performance.
SAMSUNG
Samsung, founded in 1938 by Lee Byung-chul in Taegu, Korea, began as a
small trading company with 40 employees, exporting goods like dried Korean
fish and vegetables. The name "Samsung" translates to "three stars" in Korean,
symbolizing something powerful. Throughout the 1950s and 1960s, Samsung
diversified into various sectors, including life insurance and textiles. In the late
1960s, Samsung entered the electronics industry, marking a significant shift in
its business focus. The company produced its first black-and-white television
during this period. This move into electronics laid the foundation for Samsung's
future growth and global recognition.
The 1970s saw Samsung expanding into the shipbuilding and construction
industries, further solidifying its presence in various sectors. Samsung's entry
into the semiconductor industry in the 1980s marked a pivotal moment in its
history. The company began producing memory chips, which would later
become one of its most profitable ventures. This period also saw Samsung
investing heavily in research and development, aiming to innovate and stay
ahead in the competitive electronics market. In the 1990s, Samsung focused on
globalization, establishing research and development centers in the United
States, the United Kingdom, and Japan. This strategy aimed to tap into
international markets and attract global talent. The company's commitment to
quality and innovation during this period helped it gain a strong foothold in the
global market.
The early 2000s marked the launch of Samsung's Galaxy smartphone series,
which quickly became one of the world's best-selling smartphones. This success
solidified Samsung's position as a leader in the mobile phone industry. The
company also became a major supplier of microprocessors for other smartphone
manufacturers, showcasing its prowess in semiconductor technology. Since
2006, Samsung has been the top-selling global manufacturer of televisions,
reflecting its dominance in the consumer electronics market. The company's
product range expanded to include home appliances, laptops, and other
electronic devices, catering to a wide array of consumer needs.
ORGANISATIONAL
STRUCTURE
Samsung's organizational structure is primarily product-type divisional, aligning
its operations based on specific product categories. This structure allows the
company to focus on specialized areas, enhancing efficiency and innovation.
The main divisions include consumer electronics, which handles products like
televisions, home appliances, and other consumer-oriented electronics. IT and
mobile communications focus on mobile devices, networking equipment, and
related IT services, overseeing the development and marketing of smartphones,
tablets, and laptops. The device solutions division is responsible for components
such as semiconductors and display panels, supplying both internal needs and
external clients. Each division operates semi-autonomously, allowing for agility
and responsiveness to market changes. This divisional structure supports
Samsung's strategy of diversification and specialization, enabling the company
to maintain its competitive edge across various sectors.
At the executive level, Samsung's leadership includes Lee Jae-yong as executive
chairman, Jong-Hee Han as vice chairman and CEO of device experience,
Kyung Kye-Hyun as president and CEO of device solutions, and Hark-Kyu
Park as president and CFO of device experience. This leadership team oversees
the strategic direction and operational management of their respective divisions,
ensuring alignment with Samsung's overall mission and goals. Samsung's
organizational design facilitates a balance between centralized strategic
oversight and decentralized operational execution, promoting both consistency
in corporate vision and flexibility in addressing specific market demands.
HIERARCHY
Samsung Electronics operates under a hierarchical organizational structure
designed to manage its diverse business operations effectively. At the top level,
the company is led by Executive Chairman Lee Jae-yong, who oversees
strategic decisions and long-term planning. Supporting him is Vice Chairman
and CEO Jong-Hee Han, who also serves as the Head of the Device eXperience
(DX) Division, focusing on enhancing user experiences across Samsung's
product lines. Another key executive is President and Head of Mobile
eXperience (MX), Tae-Moon Roh, recognized for his expertise in smartphone
development and instrumental in the success of the Galaxy S-series.
At the middle management level, Samsung's organizational structure is divided
into product-based divisions, each managed by dedicated teams. These divisions
include Consumer Electronics, encompassing visual displays and digital
appliances; IT & Mobile Communications, covering mobile communications
and network services; and Device Solutions, focusing on memory and system
LSI (large-scale integration) components. Each division operates semi-
autonomously, allowing for specialized strategies tailored to specific markets
and technologies.
In recent years, Samsung has implemented measures to create a more flexible
and horizontal organizational culture. The company has reduced management
layers and introduced a merit-based promotion system, allowing talented
employees to advance more rapidly. This shift aims to attract and retain young
talent by fostering a work environment that emphasizes performance over
tenure. Additionally, Samsung has adopted practices to encourage open
communication and collaboration across all levels, moving away from
traditional hierarchical norms.
CENRTALIZATION AND
DECENTRALIZATION
Samsung operates with a strategic blend of centralization and decentralization,
ensuring efficient control while maintaining flexibility in its global operations.
The company's centralized authority is primarily concentrated at its
headquarters, where key decisions related to corporate strategy, financial
planning, research and development, and major investments are made. This
ensures that all divisions operate under a unified vision, aligning with
Samsung’s long-term objectives. Centralization allows the company to maintain
consistency in branding, quality control, and technological innovation across all
its business units. This top-down approach also facilitates efficient decision-
making for large-scale projects and global expansions, ensuring that resources
are allocated optimally and corporate policies remain uniform across different
regions.
While centralization plays a crucial role in maintaining cohesion, Samsung also
embraces decentralization to promote agility and innovation. Various divisions
and regional subsidiaries operate with a significant degree of independence,
tailoring their strategies to specific market conditions and consumer
preferences. This decentralized approach enables Samsung to respond swiftly to
changes in technology, competition, and regional demands. For instance,
marketing campaigns, product modifications, and sales strategies often vary
from one country to another, ensuring a better fit for local markets. In research
and development, Samsung’s innovation hubs across different countries work
on specialized projects, contributing to global advancements while catering to
local technological needs
This hybrid structure allows Samsung to leverage the advantages of both
centralized decision-making and decentralized execution, balancing global
efficiency with local adaptability. By keeping strategic control at the corporate
level while granting operational autonomy to various business units, Samsung
fosters innovation and competitiveness in an ever-evolving technological
landscape.
SCALAR CHAIN
Samsung's flow of information is structured to ensure seamless communication
between its centralized headquarters and decentralized business units. At the
top, strategic decisions, policies, and corporate objectives are formulated by the
executive leadership and then communicated downward to divisions,
subsidiaries, and regional offices. This top-down approach ensures that all
business units are aligned with the company’s long-term goals and corporate
standards. Communication is facilitated through internal digital platforms,
formal meetings, and reporting systems that allow executives to oversee global
operations while ensuring that critical directives reach every level of the
organization.
At the divisional and regional levels, a two-way communication system ensures
that information flows not only from the headquarters to the subsidiaries but
also in the reverse direction. Local offices provide feedback on market trends,
consumer preferences, and operational challenges, which helps shape corporate
strategies. This decentralized flow of information enables Samsung to remain
responsive to global market conditions while maintaining corporate oversight.
Departments such as research and development, sales, and marketing exchange
information across various regions, fostering collaboration and driving
innovation. Digital communication tools, enterprise resource planning systems,
and cross-functional meetings allow different teams to stay connected, ensuring
efficient knowledge-sharing and problem-solving.
By integrating both centralized control and decentralized communication,
Samsung ensures that information flows efficiently across all levels of the
organization. The company uses real-time data analysis, artificial intelligence-
driven insights, and automated reporting systems to enhance decision-making.
This structured yet flexible flow of information allows Samsung to adapt
quickly to industry trends, consumer demands, and technological advancements,
maintaining its competitive edge in the global electronics market.
SPAN OF CONTROL
Samsung’s span of control varies across different levels of management,
balancing efficiency with flexibility. At the top, the executive leadership,
including the chairman, vice chairmen, and CEOs of different divisions,
maintains a narrow span of control. This means that top executives oversee a
limited number of direct reports, allowing them to focus on high-level strategic
decision-making without being overwhelmed by day-to-day operations. This
narrow span ensures that critical corporate strategies, financial planning, and
technological advancements receive the attention they require, with clear
oversight over major business functions.
At the middle management level, Samsung adopts a wider span of control,
particularly within its product divisions, regional offices, and operational teams.
Middle managers oversee multiple departments and teams, ensuring that
projects align with both corporate objectives and market demands. This wider
span promotes efficiency by reducing excessive layers of hierarchy and
enabling quicker decision-making. Departments such as research and
development, marketing, and sales benefit from this structure, as it fosters
collaboration and knowledge sharing across different teams and regions. The
use of digital communication tools, enterprise software, and performance
tracking systems helps managers maintain oversight over multiple teams while
ensuring accountability.
At the operational level, Samsung’s span of control is broad, particularly in its
manufacturing units, customer service centers, and retail operations.
Supervisors manage large teams, ensuring that production targets, customer
interactions, and service quality meet corporate standards. This broad span
allows for cost-effective management of large workforces while ensuring that
day-to-day operations run smoothly. By maintaining a balanced approach to
span of control at different levels, Samsung optimizes leadership efficiency,
enhances communication, and ensures smooth coordination across its global
operations.
CHANNEL OF
COMMUNICATION
Samsung’s channel of communication integrates multiple formal and informal
methods to ensure efficient information flow across its vast global operations.
The company primarily follows a hierarchical communication model, where
information is transmitted from top executives at the headquarters to middle
management, who then relay it to lower-level employees. This formal channel
ensures that strategic decisions, corporate policies, and business objectives are
consistently communicated across all divisions and subsidiaries. Regular
executive meetings, official reports, corporate announcements, and structured
digital communication platforms help facilitate this downward flow of
information, maintaining alignment across the organization.
In addition to the top-down approach, Samsung also encourages upward
communication, where employees and regional offices provide feedback to
senior management. This is done through structured reporting systems,
performance reviews, employee engagement surveys, and digital collaboration
tools. Research and development teams, market analysts, and sales units
regularly communicate insights and data from local markets to headquarters,
enabling Samsung to make informed strategic decisions. The company also
fosters cross-functional communication between different departments, allowing
innovation and problem-solving through interdepartmental collaboration.
Samsung also utilizes digital communication platforms, enterprise resource
planning systems, and artificial intelligence-driven analytics to streamline
internal communication. These tools allow real-time information exchange
across different time zones and business functions, ensuring that employees at
all levels have access to relevant data for decision-making. By combining
hierarchical, upward, and cross-functional communication with advanced digital
systems, Samsung ensures a smooth and efficient flow of information,
supporting its global operations and maintaining a competitive edge in the
technology industry.
SONY
Sony Group Corporation, headquartered in Tokyo, Japan, is a multinational
conglomerate renowned for its diverse range of products and services, including
electronics, gaming, entertainment, and financial services. Founded in 1946 by
Masaru Ibuka and Akio Morita as Tokyo Tsushin Kogyo (Tokyo
Telecommunications Engineering Corporation), the company initially focused
on developing telecommunications and measuring equipment. In 1958, the
company rebranded as Sony, a name derived from the Latin word "sonus"
(sound) and the colloquial term "sonny," reflecting a youthful and innovative
spirit.
Over the decades, Sony has introduced numerous groundbreaking products that
have significantly influenced consumer electronics. In 1950, it launched Japan's
first magnetic tape recorder, the G-Type, followed by the country's first
transistor radio, the TR-55, in 1955. The company continued its innovative
streak with the release of the Trinitron color television in 1968 and the iconic
Walkman portable cassette player in 1979, revolutionizing personal
entertainment. Sony further cemented its position in the entertainment industry
by co-developing the compact disc format in 1982, leading to a new era in
digital music.
In the 1990s, Sony expanded into the gaming sector with the launch of the
PlayStation console in 1994, which celebrated its 30th anniversary in December
2024. The PlayStation brand has since become a cornerstone of the gaming
industry, with successive consoles like the PlayStation 2, PlayStation 3,
PlayStation 4, and the latest PlayStation 5, released in 2020. As of its 30th
anniversary, the PlayStation 5 had sold 40 million units, underscoring Sony's
enduring impact on the gaming world. Beyond electronics and gaming, Sony
has established a formidable presence in the entertainment industry through its
subsidiaries, Sony Pictures Entertainment and Sony Music Group, producing
and distributing films, television shows, and music worldwide. The company's
diversified portfolio also includes financial services, such as insurance and
banking, primarily in the Japanese market. This multifaceted approach has
positioned Sony as a global leader, continually adapting to technological
advancements and consumer preferences while maintaining a commitment to
innovation and quality.
ORANISATIONAL
STRUCTURE
Sony Group Corporation operates under a matrix organizational structure that
integrates function-based groups, product or business divisions, and geographic
segments. This structure enables the company to manage its diverse operations
effectively across various industries, including electronics, gaming,
entertainment, and financial services. In April 2021, Sony transitioned from
Sony Corporation to Sony Group Corporation, adopting a holding company
structure to grant greater autonomy to its business units. This reorganization
aimed to enhance agility and responsiveness within each segment, allowing for
more specialized strategies and operations.
As of April 1, 2025, Hiroki Totoki will assume the role of CEO, succeeding
Kenichiro Yoshida, who will continue as chairman. This leadership transition
reflects Sony's ongoing efforts to strengthen its position in the global market
and adapt to evolving industry trends. Sony's organizational structure,
characterized by its matrix design, functional and business divisions, geographic
considerations, and a holding company framework, enables the corporation to
navigate the complexities of its various business domains. This approach fosters
innovation, maintains a competitive edge, and ensures effective management
across its global operations.
HIERARCHY
Sony's organizational structure is a well-balanced matrix that integrates
function-based groups, product divisions, and geographic segments, allowing
the company to operate efficiently across its diverse business areas. At the top
level, the company is led by Chairman Kenichiro Yoshida, who has played a key
role in Sony’s strategic direction. Effective April 1, 2024, Hiroki Totoki will
take over as CEO, focusing on growth strategies, including strengthening
intellectual property and semiconductor businesses. Key executives such as
Kimio Maki, the Representative Director and President, and Lin Tao, the first
female CFO set to assume her role in 2025, are instrumental in guiding the
company’s business functions. Other notable leaders include Hideaki Nishino,
CEO of the gaming division, responsible for PlayStation’s market leadership,
and Kazuo Kii, overseeing sales, marketing, and engineering operations.
At the middle management level, the company is structured into multiple
business units. Sony’s core divisions include Game & Network Services, led by
Sony Interactive Entertainment, Music managed by Sony Music Group, and
Pictures under Sony Pictures Entertainment. Additionally, Electronics Products
& Solutions, Imaging & Sensing Solutions, and Financial Services operate
under independent management teams to enhance efficiency. This level also
includes Senior Vice Presidents such as Shigeru Kumekawa, who leads Sony
Marketing Inc., and Mami Imada, who oversees Corporate Communications,
Brand, and Sustainability efforts. These executives ensure that Sony’s long-term
strategic goals are effectively translated into business operations across various
markets.
At the operational level, Sony's workforce includes engineers, product
developers, sales professionals, and factory workers responsible for executing
day-to-day activities. This level is crucial in research and development,
manufacturing, customer service, and product marketing. Sony’s function-based
groups further enhance efficiency by dividing responsibilities into finance, legal
compliance, human resources, and sales and marketing. The company’s
structure also accommodates geographic divisions, including Japan, the United
States, Europe, China, and other international markets, ensuring localized
management of business activities.
CENTRALIZATION AND
DECETRALIZATION
Sony Group Corporation operates with a blend of centralization and
decentralization to effectively manage its diverse business operations across
multiple industries. This balance allows the company to maintain a strong
corporate vision while enabling flexibility within its business units. The
centralization aspect of Sony’s structure is primarily seen in its strategic
decision-making, financial management, and overall corporate governance. The
top management, including the CEO, board of directors, and executive officers,
oversees the company's major strategic initiatives and ensures alignment with
long-term corporate objectives. They set the overall direction of the company,
allocate resources across different divisions, and implement policies to maintain
consistency across global markets. This level of control helps Sony ensure that
all of its subsidiaries and business units adhere to the core values and strategic
priorities of the organization. While financial management and resource
allocation remain centralized, Sony also centralizes brand management and
global corporate policies to ensure a unified image and reputation across
international markets.
The flow of information within Sony follows a combination of top-down and
bottom-up communication. Strategic directives and policies are communicated
from corporate headquarters to business units, ensuring alignment with
overarching corporate goals. At the same time, business divisions have
mechanisms for reporting their operational insights, market trends, and
customer feedback back to the corporate leadership, enabling informed
decision-making at the highest levels. This bidirectional communication ensures
that Sony remains adaptive and responsive to industry changes while
maintaining strategic consistency. Additionally, Sony leverages cross-functional
collaboration and digital communication tools to facilitate coordination between
its divisions, ensuring a seamless exchange of ideas and expertise across
different sectors. By integrating elements of both centralization and
decentralization, Sony achieves a structure that promotes efficiency, innovation,
and agility in a competitive global market.
SCALAR CHAIN
Sony Group Corporation's scalar chain follows a hierarchical yet flexible
structure that allows for clear authority while maintaining agility across its
diverse business units. At the top of this chain is the Chief Executive Officer,
who holds the highest decision-making authority and is responsible for guiding
the overall strategic direction of the company. The CEO works closely with key
executives, including the Chief Financial Officer and other senior leaders, to
oversee corporate governance, policy formulation, and financial planning. These
top executives ensure that the company's broad objectives are effectively
implemented across various divisions while maintaining corporate consistency.
Directly beneath this executive leadership, Sony operates through a series of
specialized business divisions, each managed by its respective leadership teams.
These divisions include key sectors such as gaming, music, entertainment,
electronics, imaging and sensing solutions, and financial services. Each division
has its own president or senior executives who report to the corporate
headquarters but operate with a degree of independence to make decisions
relevant to their industry. This decentralized approach ensures that each
business unit can quickly adapt to market changes and maintain a competitive
edge in its respective sector while still aligning with the overall corporate
strategy.
The scalar chain within Sony also incorporates multiple levels of management
within each business division, including regional managers, functional
managers, and department heads who oversee specific operations. These mid-
level and lower-level managers play a crucial role in executing corporate
strategies, supervising teams, and ensuring that day-to-day business activities
align with the broader organizational goals. Sony's communication structure
allows for both vertical and lateral information flow, ensuring that directives
from top executives reach operational levels effectively while feedback from

business units
SPAN OF CONTROL
Sony Group Corporation's span of control varies across its different business
segments, reflecting a balance between centralized oversight and decentralized
decision-making. At the top executive level, the span of control is relatively
narrow, with the CEO and other top executives directly overseeing a select
group of high-level managers responsible for different business units. This
ensures that strategic decision-making remains focused and that critical
company-wide policies are executed consistently across all divisions. Given
Sony's diverse range of operations spanning gaming, entertainment, electronics,
and financial services, a narrower span of control at the executive level helps
maintain clarity and alignment with corporate objectives.
Within Sony’s business divisions, the span of control broadens depending on the
nature of the operations. In highly technical and research-driven sectors such as
imaging and sensing solutions or gaming development, managers typically
oversee specialized teams with a narrower span of control, allowing for greater
attention to detail, technical oversight, and innovation. This structure enables
managers to work closely with skilled employees to ensure quality and
precision in product development. In contrast, divisions like sales, customer
service, and manufacturing have a wider span of control, where a single
manager oversees multiple teams or large groups of employees. This is more
efficient for operations that require standardized processes and routine tasks,
allowing for streamlined decision-making and operational efficiency.
Sony’s span of control also depends on its organizational structure, which
includes elements of both functional and matrix models. Managers often have
dual reporting responsibilities, especially in cross-functional projects where
multiple divisions collaborate. This requires careful coordination to ensure that
decision-making remains effective without excessive bureaucracy. Sony
leverages digital communication tools, internal reporting systems, and clear
delegation of responsibilities to maintain an optimal balance, ensuring that both
top-down directives and bottom-up innovation contribute to the company’s
success. This flexible approach allows Sony to maintain strategic oversight
while empowering its managers to effectively lead their teams in a rapidly
evolving global market.
CHANNEL OF
COMMUNICATION
Sony Group Corporation employs a well-structured channel of communication
that integrates both formal and informal methods to ensure efficient information
flow across its vast global operations. At the highest level, communication
follows a top-down approach, where strategic decisions, corporate policies, and
key directives are communicated from top executives to business unit leaders
and then cascaded down to middle and lower management. This formal
communication ensures that all divisions align with Sony’s overall corporate
objectives, maintaining consistency in operations, branding, and long-term
strategic vision. The company uses official meetings, internal reports, email
communications, and corporate bulletins to disseminate important information
across different levels of the organization.
Simultaneously, Sony fosters a bottom-up communication approach that allows
employees at various levels to share insights, feedback, and innovative ideas
with higher management. Each business division, such as gaming, electronics,
and entertainment, has its own reporting structure where employees can escalate
concerns, propose new ideas, and contribute to decision-making processes.
Sony also emphasizes horizontal communication, particularly in its cross-
functional and project-based initiatives. Given its matrix organizational
structure, different business divisions often need to collaborate on product
development, marketing strategies, and technological advancements. Sony
facilitates this through interdepartmental meetings, shared digital platforms, and
cross-functional teams that enable seamless coordination between different
sectors. This approach ensures that expertise from various departments
contributes to the company’s innovation and competitiveness. Additionally,
informal communication plays a role in fostering teamwork and synergy among
employees. Sony encourages a collaborative work environment where
knowledge-sharing and informal discussions enhance productivity and
strengthen internal relationships. Through this well-balanced channel of
communication, Sony maintains operational efficiency while ensuring
flexibility and adaptability in a dynamic global market.
CONCLUSION
Sony and Samsung, as two of the world's leading multinational corporations,
have developed hierarchical structures that balance centralization and
decentralization while optimizing their span of control and scalar chain. Both
companies operate under a structured leadership framework where decision-
making authority is distributed strategically to maintain efficiency and
innovation. At the highest level, both corporations employ a top-down approach
for corporate governance, with the CEO and senior executives making critical
strategic decisions that are implemented across various divisions. However,
within their respective industries, they also allow a certain degree of
decentralization, particularly in business units that require agility and creative
freedom. This blend ensures that corporate objectives remain aligned while
allowing individual divisions to respond swiftly to market changes.
In terms of the span of control, both Sony and Samsung demonstrate flexibility
depending on the nature of their business operations. Highly specialized
divisions, such as semiconductor manufacturing at Samsung or gaming at Sony,
operate under a narrower span of control, allowing managers to focus on
detailed technical oversight.
The scalar chain in both organizations follows a clear hierarchical model,
ensuring accountability and structured communication. However, given their
global reach and diverse business segments, both companies integrate a mix of
vertical and lateral communication. While strategic directives flow from top
management downward, feedback and market insights are also communicated
from lower levels back to senior leadership. This dynamic enables both
organizations to remain responsive to consumer demands and industry trends.
By maintaining a structured yet adaptive approach to hierarchy,
decentralization, and management control, Sony and Samsung have positioned
themselves as industry leaders capable of navigating the complexities of a
competitive global market. Their organizational frameworks not only support
operational efficiency but also foster innovation, ensuring long-term
sustainability and growth.
panmore.com
edrawmind.wondershare.com
organimi.com
sony.com
samsung.com
ft.com
reuters.com
edrawmind.wondershare.com
organimi.com
sony.com
samsung.com
ft.com
reuters.com

You might also like