Structural and Cultural Strengths and Weaknesses

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There are evidence of new emerging notions of organizing effectively not really replacing the older approaches but "superimposed on them; it states that an organization's purpose is to get results outside, that is to achieve performance in the market" (Drucker,1997, p4). I concur with this notion and in order to achieve performance it begins with the way the corporate structure is designed and the type of corporate culture adopted. A corporation's internal structure and culture plays a significant role in today's competitive and uncertain business climate; both elements are viewed by organization theorist and practitioners as two ingredients essential for business success (Galbraith, 2002). A corporation's structure is defined simply as the sum total of the ways in which it divides its labor into distinct tasks and then achieves coordination among them (Mintzberg, H., cited in Scott, 2007).

On other hand, a corporation's culture refers to the personality of the corporation. They include values, norms, assumptions, and tangible signs of the corporation members and their behaviors ( McNamara, 2000). The emerging notions of organizational performance link both the structure and culture as important elements for effective business integration. The corporate structure can be an internal strength if management is able to align its human resources with the core capabilities and financial resources of the corporation. It is important for employees to be equipped with knowledge and skills and provided the opportunities to engage in activities that lead to economic value and competitive advantage for the corporation. The way the corporate structure is designed enables the corporation to maximize its ability to create innovative products, ensure quality customer service, or to have a presence ...