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Problem Statement

Appex Corporation (Appex) was a highly booming entropy service provider in the fast-paced cellular telephone set industry. It sustained impressive revenue growth of 1600% over threesome years between 1986 and 1989, firearm increasing employee count by 600%. In rove to absorb these tonic employees efficiently, Appex re twistd several clock (see Appendix 1 for the chronology of restructuring events). Each restructuring, however, created new problems for the company as it sought to successfully integrate the new personnel and sack the organization efficiently and productively. However, it should be noted that Appex was relatively successful while implementing rapid organizational changes.

In August 1990, Appex utilize a divisional structure in response to problems created by the previous functional structure. In actuality, this structure was a ripple between a functional and divisional structure establishing an ICS and IS divisions (historical product-based categories) while maintaining separate divisions for Operations and Finance and HR. While this had the effect of up(p) company focus on cost, schedule, and responsibility, it was not without its limitations. In particular, the structure created two (practically) independent divisions.



While communion within the divisions was unimpeded, communication between the divisions was minimal. Ghosh, Appexs CEO, speculated that lack of communication was reducing the number of new product ideas. In addition, there were resource contention issues requiring focus to purchase additional resources for each division. Finally, as the divisions grew, they became less absolute to and less accountable to senior management.

Spaghetti Organization

For Octicon, the spaghetti experiment resulted in a number of product changes, increased growth and revenue. While innovation is a concern for Appex, growth and revenue increases have already been achieved under the previous...If you want to get a full essay, order it on our website: Ordercustompaper.com



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