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Functional regions of a business

Outcome 1

Avril Montgomery

1) Open up System

An open up systems way is an enterprise approach that emphasizes commercially supported routines, products, specifications and criteria. Motorola is an wide open system. Using this approach assists their permanent success. They could produce an appropriate result as they know the value of gaining type from their area. As a global leader in a wide range of technologies, the most crucial aim of Motorola is to maintain their position. Motorola is knowledgeable to the fact that technology grows rapidly and to be able to gain access to these technologies customers will require the latest modern products. They try to distinguish themselves from other competition by creating cutting edge designs that meet up with the expectations of the customers. The introduction of the worldwide marketing campaign 'Mobile Me' which includes ground breaking design and cellular features has arranged them aside from their challengers. Their range of Bluetooth cordless devices improves the mobile experience for customers. Motorola is aware of the effect mobile phones and other electronic digital products have on the environment. They apply specialized skills to diminish negative effects to the environment at each level of the product life cycle. Among their goals with regard to the surroundings is to create products which contain minimal amounts of poisonous chemicals or to lower them out completely.

2) Structure

During the 1980's, credited to other cellular phone companies such as Nokia, Samsung and Sony creating strong competition, Motorola battled to maintain. In order to change the slump in sales, top managers at Motorola made a decision to increase the quality. This change was needed due to global competitors and changing technology. The program was to shoot for zero defects in the development. Motorola implemented something called Six Sigma. Six Sigma is a company management strategy which attempts to recognize and get rid of the causes of defects and errors in the produce and business process. The program was stretched out from procedures to the other practical areas - sales and marketing, personnel and human resources.

Reorganising into four business areas during 2005, allowed Motorola to boost their respond to the needs of the customers and environmental changes that contain taken place. As 58% of the company's total sales were made up from cellular devices, Motorola views this as a significant contributor with their organisation.

3) Organisational concepts

Motorola's structure is based on their products, these are:

  • Linked home solutions
  • Connected home solutions
  • Government and enterprise range of motion solutions
  • Networks

Motorola's functional areas are:

  • Research and development
  • Sales and marketing
  • Workers and individuals resources

Functional areas were set up by Motorola to support the merchandise areas. Marketing is a very important area as the views of customers can be obtained to determine what they want. It is essential for the marketing and the research and development areas to interact to meet up with the needs of the clients. Technology is actually advancing meaning the research and development area must stay forward to include these developments in their design. To modify to environmental changes, it is necessary for all functional areas to work together.

4) Advantages of Motorola's structure

  • Continual development of knowledge in dealing with Motorola's sophisticated products
  • The composition allows Motorola to react quickly to environmental changes. This enables the business to respond to technical change.
  • This form of composition allows Motorola to be extremely client orientated

Disadvantages of Motorola's structure

  • As the emphasis is the product, Motorola may have a problem of coordination
  • They may be an noticeable redundancy of work rather than much co-operation between product areas
  • Professionals may concentrate on their type of work to the disadvantage of the company as a whole.

5) Internal stakeholder

Motorola's business device is been able by Ronald Garriques. He's in charge of the mobile devices business device and has the authority to steer the business unit for determining the technique for mobile devices. He must guide the mobile device business to achieve success otherwise he'll be in charge of any failure and also have to simply accept that responsibility. He has power in the organisations formal framework. In terms of the informal framework of the company however, his specialist is limited as this is generally governed by a group of individuals. His electric power could be undermined by the band of individuals, which could perhaps be damaging to the business.

External stakeholder

Greenpeace is an internationally campaigning organisation that acts to improve attitudes and behaviour, to protect and conserve the environment. As an external stakeholder in Motorola they might well have a big effect on the formal composition of Motorola. Although Greenpeace haven't any electric power in the formal company, they have influenced Motorola's behavior in terms of the surroundings as Motorola have a policy and dedication regarding this issue. They are able to exert some extent of specialist, by persuading Motorola to train their staff on environmental issues and getting them to have an environmental plan. Through education programs, they have the energy to influence groups of individuals, making them alert to the harmful effects that the chemicals in mobile devices has on the environment.

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