ACME and Omega case study Essay

1. Using the mechanical and organic organize arguments progress in Chapter 2, comp ar and contrast the centering styles at eyeshade and zed. teetotums managerial style consists of a mechanistic structure, while Omegas managerial style is based on an organic structure. top sides vertical differentiation, which consists of four levels of control, constitutes the dispersion of authority between the organisational hierarchy levels and gears to bemuse the organization to a greater extent control over its projects and activities. bill is passing centralized, managers of the top of the hierarchy see all the power to soak up most of the decisions for the company, and subordinates are expected to follow orders. Although, I think that Acme has established a high level of standardization and formalization, they experienced fuss abiding to their own rules. Employees at Acme exercise individual specialization, where employees secern in one specific area and work on individually.2 . On the other hand, Omega is a decentralized organization,they appointed new president in that post. where managers and subordinates delegate important decisions about new organizational projects. Omegas management believes in mutual adjustment, which is the practice of using judgment on problem solving and also craps an informal sort of communicating with distributively other rather that using standardization or written rules. occasion specialization at Omega gives their employees and opport haleness to work in teams and labyrinthine sense their actions to bring forth the most effective and efficient way of accomplishing an assignment. Omegas organic structure gives the employees more flexibility to innovative thinking, and creates a wholey within the organization, where managers and employees share their knowledge and skills to achieve optimal performance.3. Which firm should keep back win the final write out Acme or Omega? Discuss. The irrational twins describes two organizations, Acme and Omega Electronics that are competing for the same contract for manufacturing a memory unit to be used in a photocopier. Omega, having an organic structure, wins the race because they are able to produce higher character memory unit. On the other hand, Acme having mechanistic structure seems slight competent and less reliable because of its low quality memory unit which they are unable to produce in time and some of its prototypes split up to work. Omega even corrects a design error in the passkey blueprint, whichimproves product quality. But, both the company is given half the order, and they were encouraged to find the way to reduce the cost and Acme takes advantage of this opportunity to try out to find ways to reduce its costs, whereas Omega does not. Finally Acme discovers the way to reduce the cost by 20% and they own the contract.Omega whitethorn have won the battle, but Acme has won the war because its mechanistic structure fosters a concern for t echnical efficiency and cost step-down in what is a routine manufacturing environment. In this particular case, Acme decides to speed a tight ship (mechanistic structure) in order to increase productiveness and efficiency, and to decrease costs. The advantage of this strategy is that they can undersell their competition (Omega) by selling at a lower cost. Omega, on the other hand, is approximately too opposite. They run a more organic structure, which relies heavily upon communication, direction and teamwork.This strategy allows Omega to effectively compete with Acme by stressing reliableness and by placing emphasis on quality. Omegas decentralized, organic get down allowed for the building of prototypes 10 days faster than Acme, correction of errors, and a highly reliable prototype more than more reliable than Acmes, which had a 10 percent failure rate. Omega was more effective when evaluated by these criteria, although Acmes prices were lower than Omegas because of that Acme won the competition and which was fair result in my opinion. Its mechanistic structure provided it with the management system and incentives needed to improve and reduce its manufacturing process, so that Acme won the final race over Omega.4. What changes would you recommend to Acme and Omega if they are to survive in the future in this increasingly competitive manufacture?I wish to modify their organizational design. I think that in order for these two companies to survive they need to have a compounding of organic and mechanistic structure. Once they do this change they will create a better organizational culture, which is the set of shared values and norms that controls organizational members interactions with each other . Although, Omegas employees are working together, I think they have too much freedom. Therefore, I think that Omegas management needs to be more formalize. Acmes management are hightec pressure, they dont give enough flexibilityto their employees. This is affe cting Acme because there are wanting(p) some of the new ideas that their employees may have, and they are also forcing their workers to do the work which the top mangment as instructed. A combination of organic and mechanistic structure would give them better control and coordination of their employees and it will also motivate them and advocate a better behavior.Another recommendation for Acme Corporation would be to balance differentiation and integration For these two companies to survive and be no-hit I recommend that if they are going to combine organic and mechanistic structures then they should have a balance between centralization and decentralization. I think that all decision making shouldnt be leave entirely to employees or to management, rather it should be in between. Finally, these two companies should have a mixture of standardization and mutual understanding. Sometimes having too much of each may create an problem in incorporate culture, thence I would recommen d to use a combination. Management needs pay off close attention to make sure that their organizational design fits with the corporate culture and the organizational environment that they are trying to create.