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Nick's internal analysis 6-3

Nick's internal analysis 6-3 - B Organization Structure...

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B. Organization Structure, Controls and Values 1. Define the firm’s organizational structure. Refer to Exhibit ___ for a complete visual structure. Jack in the Box’s organizational structure is set up in a matrix structure where the CEO is placed at the top and upper management and departments are split accordingly. Below management the employees are grouped by both their function and their operational group. This means that employees report to the manager of their functional area as well as their product area. Using the Jack in the Box mobile food truck venture as an example, groups of employees are both horizontally and vertically connected. In other words, groups from each department are set to work on individual projects. Employees from marketing, finance, operations, and other departments would all be grouped to work on the mobile food truck product. Because of this, they report to two different managers: horizontally to their product manager, and vertically to their department manager. Like all organizational structures, the matrix structure has its advantages and disadvantages. A few direct advantages include the option of picking and choosing specific individuals to work on a certain project they might excel in, having the different departments work directly together, and a better balance of time, cost and performance due to the makeup of the project teams. On the other hand, there are some disadvantages. One con is the possibility of disloyalty to one’s manager, group or team due to existing loyalties to the employee’s other manager or group. Another disadvantage includes difficulty to oversee employee work and progress because of independent teams doing individual assignments. A final disadvantage is that employees can get confused and frustrated when their managers have different goals and expectations. (www.jackinthebox.com) 2. Define the controls used in monitoring/appraising employee behavior and performance. According to many employee reviews at www.glassdoor.com, a website where employees can post reviews about what it is like to work for their company, Jack in the Box
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tends to put a lot of pressure on their workers. According to one Jack in the Box Regional Franchise Consultant, “You live and die by the report card” (www.glassdoor.com). This is interpreted to mean that what shows up on the employee performance reports strongly influences whether they stay or go. Another popular topic from glassdoor.com was that there was not much freedom from upper management. According to another Regional Franchise Consultant, Jack in the Box is “An okay place to work, if you don’t mind constant pressure” (www.glassdoor.com). Many reviews followed the same trend stating that upper management is constantly breathing down the employee’s necks and giving little freedom.
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