Reorganizing the Woody Company -MGT 330-

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Reorganizing the Woody Company � PAGE \* Arabic �1�

Reorganizing the Woody Company: A Strategy for Growth

University of Phoenix



Woody Company is a small sole-proprietorship that specializes in the manufacture of high quality bar stools. Currently, three types of bar stools are marketed with increases in standing orders currently reaching $750,000. Mr. Woody has decided to expand his organization to and aggressively pursue the market, but realizes that issues with defective wood from his suppliers, manufacturing quality defects and problems associated with late delivery of his finished product has impacted his profit margin (Bateman & Snell, 2007, p. 317). My assistance has been solicited to optimize the organizational structure, recommend pay structure and determine work allocation within the company.

Organizational Structure

A small company is, by definition, one that employs less than 500 employees (Hatten, 2007, p. 5). This is only relevant from the prospective that being a small business by definition allows for certain assistance from the Small Business Administration and tax code specifications.

More importantly, the small business is a mindset of operation that will capitalize on the potential strength of flexibility and responsiveness that can only be exercised with a company that "can move fast, can provide quality goods and services to targeted market niches, and can inspire greater involvement from their people" (Bateman & Snell, 2007, p. 298). Mr. Woody has provided a mission and vision statement for his company that states the following: "To manufacture world-class products that are competitive in the world market in quality, reliability, performance, and profitability (and) to create a culture where pride, ownership, employment security, and trust are a way of life" (Bateman & Snell, 2007, p. 317). What follows is a plan that will meet these expectations and provide opportunity for increased growth.

Some of the...