Select Two Small Businesses That Market Differently
Select Two Small Businesses That Market Two Very Different Products F
Select two small businesses that market two very different products, for example, a small manufacturer and a restaurant. Contact the manager of each business and conduct a fifteen-minute interview about the organizational structure that has been chosen. Ask each manager to describe the existing organizational structure (drawing an organization chart), explain why that structure was chosen, and reflect on the effectiveness and efficiency of the structure. Also ask each manager whether any thoughts have been given to changing the existing structure.
Exercise Instructions: You are required to submit a 2-Page (Title Page and Content Page), APA formatted paper with substantial content. Substantial content requires staying on topic and fully addresses the assignment in a clear, concise, and meaningful manner. The deliverable length of your response must be at least 2 pages (Title Page and Content Page). APA format should be used throughout. Exercises should reflect the student's original thoughts based on topics from the "Open Educational Resource" (OER) Course Textbook and/or other referenced sources. Direct quotes from references must be less than 20 words. Please review for sentence structure, grammar, and punctuation errors.
Plagiarized submissions may result in a "0" for the assignment. Late submissions will be deducted 5 points. All assignments should be based on the OER Textbook. For academic purposes, at least one APA-formatted reference is required related to the topic.
Paper For Above instruction
This paper explores the organizational structures of two small businesses that market vastly different products: a boutique bakery and a specialized electronics repair shop. Through interviews with the managers of these businesses, I will analyze their organizational charts, delve into why they selected their specific structures, and evaluate the effectiveness and potential for future change within these structures.
Introduction
Organizational structure plays a pivotal role in shaping the operational efficiency and strategic agility of a business. Small businesses, in particular, often select structures that align with their immediate needs, size, and growth ambitions. While larger corporations tend to adopt complex, hierarchical structures, small businesses often favor simpler models that facilitate flexibility, quick decision-making, and close-knit communication. This paper presents insights obtained from interviews with the managers of a boutique bakery and a specialized electronics repair shop, illustrating how their organizational structures serve their business goals, and how they perceive potential future changes.
Business 1: The Boutique Bakery
The boutique bakery operates in a competitive hospitality sector, offering specialty baked goods and catering services. The manager, Sarah, explained that their organizational structure is relatively flat, comprising a small team that includes bakers, a customer service representative, and a manager who oversees daily operations. The structure resembles a simple functional organization, with clear delineation of roles but minimal layers of management. Sarah drew an organizational chart illustrating a small hierarchy centered around her role, with direct reporting lines to the bakers and staff.
Sarah chose this structure because of its simplicity, cost-efficiency, and ability to promote close coordination among staff — essential qualities for a business where quality control and customer service are paramount. She emphasized that the flat structure allows for quick response to customer needs, flexible scheduling, and rapid implementation of new product ideas. Despite its advantages, Sarah acknowledged that as the business grows, she might need to formalize roles further or introduce supervisory layers to ensure operational consistency.
Business 2: The Electronics Repair Shop
The electronics repair shop specializes in fixing smartphones, tablets, and laptops. The manager, Tom, described their organizational structure as more hierarchical. It includes technicians, a parts manager, a customer service representative, and a general manager. The organization chart reflects a functional hierarchy with clear lines of authority, especially concerning technical tasks and inventory management.
Tom selected this structure because it facilitates specialization, accountability, and quality control. Technical staff focus on repairs, while inventory and customer interaction are managed separately. This structure improves efficiency by streamlining workflows and ensuring that skilled technicians are focused on their core tasks, while managerial oversight maintains service standards. Tom has considered switching to a more team-based or flat structure as the business expands, but he remains cautious about maintaining control and quality.
Assessment of Effectiveness and Future Considerations
Both managers expressed satisfaction with their current structures, citing efficacy in daily operations and responsiveness to customer needs. Sarah highlighted that her flat structure promotes teamwork and quick decision-making, which are critical in a small bakery environment. Conversely, Tom pointed out that specialization within his somewhat hierarchical structure enhances service quality and operational efficiency. However, both acknowledged the potential need for restructuring as their businesses evolve, particularly if they experience significant growth or diversification.
Sarah mentioned she might formalize her organizational roles, possibly adding supervisory positions or departments as her bakery expands. Tom expressed interest in developing a more team-oriented structure, encouraging collaboration among technicians, which could foster innovation and improve service offerings.
Conclusion
In conclusion, the organizational structures of small businesses are tailored to their operational needs, size, and strategic goals. The flat, simple structure of the bakery suits its current scale and emphasizes agility, while the hierarchical, function-focused design of the electronics shop promotes specialization and efficiency. Both managers recognize that growth may necessitate structural adjustments, emphasizing the importance of flexibility in small business management. Careful planning for future organizational changes can enhance the resilience and scalability of these small businesses.
References
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- Daft, R. L. (2018). Organization Theory and Design. Cengage Learning.
- Jones, G. R. (2013). Organizational Theory, Design, and Change. Pearson.
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- Schaper, M., & Pervan, S. (2017). Small Business and Entrepreneurship. Routledge.
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- McDonald, F., & Oates, B. (2015). Small Business and Society: Making a Difference. Routledge.
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