3.6

Question 1

what internal factors could cause changes in a businesses organisational structure

Answer 1

introduction of new technology
change in management/leadership
organic growth
response to poor performance
external growth

Question 2

what external factors could cause changes in a businesses organisational structure

Answer 2

developments in technology
market changes
changes in consumer tastes
new legislation
changes in the workforce
changes in the economy

Question 3

what are the issues with changing organisational structure

Answer 3

• maintaining company culture
• motivating staff during expansion
• increased labour costs with hiring new staff
• training of new staff

Question 4

what are the issues with poor business performance

Answer 4

• need new objectives and a new direction
• new strategies to compete (ansoffs)
• what is necessary to improve performance, delayering

Question 5

what are the issues with new ownership

Answer 5

• role duplication therefore redundancies made
• clash of culture
• issues with communication

Question 6

what are the benefits with transformational leadership

Answer 6

• reinvest itself to achieve competitive advantage
• business culture will challenge managers to develop new ways of thinking
• encourages development of new ideas

Question 7

what are the issues with external factors

Answer 7

respond by increasing R&D
introduce more innovation
change corporate objectives

Question 8

what are the 3 factors that influence how successful change can be

Answer 8

size of the organization
time/speed of the change
resistance to change