Scenario: Amazon has a functional organisational structure that focuses on business functions for determining the interactions among the different parts of the company. Amazon’s corporate structure is best characterized as global function-based groups (most significant feature), a global hierarchy, and geographic divisions. This structure seems to fit with the size of Amazon’s business—43% of 2016 retail sales were in the United States. Seven segments, including information technology, human resources and legal operations, and heads of segments, report to Amazon’s CEO. “Senior management team include two CEOs, three Senior Vice Presidents and one Worldwide Controller, who are responsible for various vital aspects of the business reporting directly to Amazon CEO Jeff Bezos.” The strategic goal underlying this structure is to facilitate Amazon.com to successfully implement e-commerce operations management throughout the entire organisation Based on what you have learnt in the unit during discussion on the case study, What are other external considerations that are set to challenge the way companies design their internal organisation? How the external changes are communicated with the internal stakeholders?

Question

Scenario: Amazon has a functional organisational structure that focuses on business functions for determining the interactions among the different parts of the company. Amazon’s corporate structure is best characterized as global function-based groups (most significant feature), a global hierarchy, and geographic divisions. This structure seems to fit with the size of Amazon’s business—43% of 2016 retail sales were in the United States. Seven segments, including information technology, human resources and legal operations, and heads of segments, report to Amazon’s CEO. “Senior management team include two CEOs, three Senior Vice Presidents and one Worldwide Controller, who are responsible for various vital aspects of the business reporting directly to Amazon CEO Jeff Bezos.” The strategic goal underlying this structure is to facilitate Amazon.com to successfully implement e-commerce operations management throughout the entire organisation

Based on what you have learnt in the unit during discussion on the case study, What are other external considerations that are set to challenge the way companies design their internal organisation? How the external changes are communicated with the internal stakeholders?