Employee Layoffs Essay, Research Paper

Organizational Structure In 1997 McKesson Corporation sold PCS INC. to

Eli Lilly Company. It was a time when all employees were unsure of what

was in store. Were there going to be layoffs, major changes or status quo?

As it turned out, there were few changes that impacted the day to day life of

the employees. In 1998 PCS was once again sold to Rite Aid Corporation.

We are about to embark on this activity again as Advance Paradigm has

purchased us from Rite Aid Corporation. Once the sale is complete, we will

become Advanced PCS. PCS employees are familiar with organizational

change. What type of organizational structure will work? I have been asked

this many times during my tenure at PCS. I will explain whether benefits or

difficulties will arise from each type. I believe there are various types in use

throughout PCS today. The focus of my paper will be in my department,

Materials Management, Corporate Mail Services. An organizational network

is a system of interconnected or cooperating individuals according to Gary

Dessler in Management, Leading People and Organizations in the 21st

Century. PCS utilizes both formal and informal networks throughout the

organization. In my department an informal network exists between the small

groups. There are three managers, one assistant vice president, a vice

president and several analysts and buyers. Analysts and buyers interact when

keeping the data of the system in sync. We don’t have any formal relationship

to each other but are dependent on the expertise of each. Within the data

group, there is a formal network made up of a manager and two analysts.

Purchasing has a manager and several buyers. These two groups are very

formal and structured. Problems are reported to the manager and passed up

the line if necessary. Throughout PCS there is an electronic network. The

company is spread out over four local campuses and nine regional offices.

E-mail is the communication method of choice. The sales group is electronic

and meets formally each quarter with the sales managers and directors. Even

within my department, for documentation, e-mail is the communication

method. Prior to working in Materials Management, the group I work with

would be defined as team based and boundaryless. The person in charge

wanted to build a self managed team that would function without boundaries.

Our team, RECAP III, was made up of employees from each department in

the company. Gary Dessler defines boundaryless as having fewer boundaries

than traditional structural mechanisms. Standard operating procedures and

process flows began to be created both for the core business and RECAP III

as well. What PCS needed to do was to ?build the organization around the

new software and the software around the customer? (Executive Edge, 1996,

p. 2). These changes were to be made to meet the needs of the customer,

based on what they told us what they wanted. I have tried to bring this

strategy to Materials Management. I began creating Standard Operating

Procedures. For this department having been together only one year, there

was little to no documentation. I have looked for ways to make the workflow

easier and communication easier. ?You must lay a proper groundwork,

involving those who will be affected by the change and obtain commitment

from the relevant stakeholders? (Pfeiffer & Company, 1993, p. 5). Also

involved in Materials Management are employees in two mail order facilities

who have been independent. The corporate group was taking back control of

all data. People were being locked out of the system. Inquiry was the rule of

the day. Standardization began and everyone as beginning to see this was for

the best. PCS uses many different types of organizational structures yet we

are lead by the traditional. The CEO passes the company plans, goals and

strategy to all employees. The company also respects the voice of the

employee. Every three years all employees complete an independent survey

and then the results are passed back to us. I believe every company at one

time or another uses all types of organizational structures. In many

occupations I?ve had during my working life, I have been involved in each of

them. My hope is to someday take the knowledge I?ve gained and use it

wisely in an organization of my own. References Dessler,Gary. (1998).

Management: leading people and organizations in the 21st century.

Bibliography

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Jersey: Prentice Hall. Harai, O., & Imarato, N. (1996). An Interview with

Orin Harari and Nicholas Imparato, Authors of ?Jumping the Curve?

Creating a Great Organization [Online]. Available:

http://ww.smartbiz.com.html Nolan, T., Goodstein, L. & Pfeiffer, J. (1993).

Changing Organizations and People [Online]. Available:

http://ww.smartbiz.com.html