You are a CEO who is contemplating a reorganization of your company, and you have received conflicting opinions from two of your trusted reports. Presently, your company is a wholesaler with 45 regional warehouses that acquires products from manufacturers and distributes them to retailers and service establishments. You have over 100,000 SKUs (stock keeping units), ranging from ACE bandages to Ziploc bags. You have 825 field-based sales representatives who represent all of the products within a geographic area. One of the ideas that has been brought up by the Vice President of Marketing is to specialize the salesforce into three groups: fashion retail, general retail, and services. In this way, individual sales representatives would be able to specialize with greater expertise and product knowledge to better serve customers. The Vice President of Sales fears that many of her salespeople will leave due to the expanded geography that this change would require. 1. Which of these structures best describes your company before implementing the Vice President of Sales' idea?
You are a CEO who is contemplating a reorganization of your company, and you have received conflicting opinions from two of your trusted reports. Presently, your company is a wholesaler with 45 regional warehouses that acquires products from manufacturers and distributes them to retailers and service establishments. You have over 100,000 SKUs (stock keeping units), ranging from ACE bandages to Ziploc bags. You have 825 field-based sales representatives who represent all of the products within a geographic area. One of the ideas that has been brought up by the Vice President of Marketing is to specialize the salesforce into three groups: fashion retail, general retail, and services. In this way, individual sales representatives would be able to specialize with greater expertise and product knowledge to better serve customers. The Vice President of Sales fears that many of her salespeople will leave due to the expanded geography that this change would require. 1. Which of these structures best describes your company before implementing the Vice President of Sales' idea?
Foundations of Business - Standalone book (MindTap Course List)
4th Edition
ISBN:9781285193946
Author:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Publisher:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Chapter15: Using Management And Accounting Information
Section: Chapter Questions
Problem 1DQ
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You are a CEO who is contemplating a reorganization of your company, and you have received conflicting opinions from two of your trusted reports. Presently, your company is a wholesaler with 45 regional warehouses that acquires products from manufacturers and distributes them to retailers and service establishments. You have over 100,000 SKUs (stock keeping units), ranging from ACE bandages to Ziploc bags. You have 825 field-based sales representatives who represent all of the products within a geographic area.
One of the ideas that has been brought up by the Vice President of Marketing is to specialize the salesforce into three groups: fashion retail, general retail, and services. In this way, individual sales representatives would be able to specialize with greater expertise and product knowledge to better serve customers. The Vice President of Sales fears that many of her salespeople will leave due to the expanded geography that this change would require.
1.
Which of these structures best describes your company before implementing the Vice President of Sales' idea?
Geographic
Flat
Vertical
Product
Matrix
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