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Essay / Evaluation of Buckman Laboratories' Strategy to Increase Business Position
Buckman Laboratories: Knowledge and Information TechnologyBuckman Laboratories is a small, privately held company. The company itself is a laboratory that manufactures over 1000 specialty chemicals. It is a rapidly growing company. It has grown from a 50-gallon reactor in the basement of a small house to a global company serving industry in more than 80 different countries, with 1,200 employees and annual revenue of 300 million dollars. The company's CEO, Bob Buckman, transformed the company from an old pyramidal, bureaucratic command-and-control structure to one in which everyone in the organization has full access to information and in which no one tells employees what to do all the time. . When transforming the business, Buckman considered various factors, such as organization design, organizational structure, technology, and more. As a result, Buckman has been able to remain global, efficient and effective. Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”?Get an original essayHowever, transforming the company into a structure in which everyone would have full access to information and where no one would always tell employees what to do was not an easy task. Before the change, the company was based on an old pyramidal, bureaucratic, command-and-control structure. To make change happen, Buckman radically altered the six key elements of organizational design. Work specialization has shifted from high work specialization to lower work specialization, thereby increasing knowledge sharing among employees. It also makes employees more satisfied with their jobs and strengthens the relationship between them in achieving a common goal. Due to the rapidly changing environment due to increased competition brought about by globalization, the company needs to strengthen its geographic departmentalization. This is vital for the company, because by doing so it will strengthen its knowledge of local realities, thus creating products more suited to these realities. Rather, the departmentalization of processes is expected to remain strong due to the many different products sold by the company. It is important that each product is treated as a different business unit so as not to lose touch with the competitive market. The chain of command has evolved from a traditional chain of command to a more open chain where employees are empowered to make decisions that were previously reserved for management. . In fact, the concept of chain of command has become less relevant due to employee self-management and teamwork. It also leads to broader spans of control, which reduces costs, speeds decision-making, increases flexibility and gets closer to customers, all of which are necessary for businesses to survive in today's fiercely competitive markets. . This of course leads a company to strongly decentralize its structure. Thanks to Buckmans (KNetix) knowledge, contributions from managers to employees are necessary. A low level of formalization is also necessary in the structure because employees need freedom in the way they carry out their work. Since all employees are connected through KNetix, if one employee needs help or asks for advice through the forums, others should feel free to give advice to resolve the issue. Due to.