Samsung's organizational structure can be described as a hybrid structure, combining elements of both a hierarchical and a flat structure.
At the top of the hierarchy is the chairman and CEO, followed by the president and other senior executives. These top-level executives are responsible for making strategic decisions and setting the overall direction of the company.
Beneath the senior executives are the various divisions and business units of the company, such as the mobile division, the consumer electronics division, and the home appliance division. Each division is led by a president or vice president, who is responsible for the performance of their respective division.
Within each division, there are further layers of management, with managers responsible for specific teams or projects. However, Samsung's structure is not purely hierarchical, as there is also a significant amount of horizontal communication and decision-making within the company.
Samsung has a decentralized structure, with each business unit given a high degree of autonomy and decision-making power. This allows the company to be flexible and responsive to the needs of its various markets and customers.
Overall, Samsung's organizational structure is designed to be agile and responsive to the needs of the business, while still maintaining a strong hierarchy and clear lines of communication and decision-making.
Samsung Organisational Structure
Besides, Samsung also aims to achieve one of the top five brands in the world by 2020 and established three strategic approaches in management which are creativity, partnership and talent. This company had previously met with a lot problems and business crisis due to lack of organizational skills and strategies. In 2010, it produces 30 nm-class DRAMs and 20 nm-class NAND flashes which were the first time in the world. Consequently, fatigue are accumulated when employees are working under such great pressures that known as organizational fatigue. The overall performances of Samsung Electronics organization are controlled by Audit Committee. Even the important strategic decision and sizable investment decision have to be examined by the office first. All directors are prohibited from engaging in business activities within the same industry without the approval of the board.
Organizational Structure and Leadership in Samsung Company
Moreover, employees of Samsung Electronics have to comply the Global Code of Conduct, which consists of a number of principles. The communication channel of Samsung Electronics is formalized. Office of Secretaries takes the leading role in Samsung as they carry out coordination whenever there are conflicts happen. This structure has enabled Samsung to minimize earnings volatility during periods of economic downturn and maintain stable growth through bold and preemptive investment in new technologies and facilities. Therefore, a good leadership is important to lead the company. Besides, we have a better understanding to recognize and differentiate these two organization models. Office of Secretaries takes the leading role as they responsible to solve the conflicts as well as help the chairman to control and direct the individual affiliates.
Since they have the authority to hire and fire the executives and employees in the organization anytime, the employees have to accept the tasks given by the managers and follow whatever they said. The company also became the second-largest mobile-phone maker beating Motorola in 2007 for the first time. The company is divided into five sectors, which are Digital Media, Semiconductors, Telecommunications, Digital Appliances and LCDs. If there is trouble reaching that common ground, or challenges within the team coordination, it may create a scenario where contributing members pick what works best for them, therefore neglecting what the other teams may require to get the job done. Then, the proposal is reviewed by the finance department, which is then passed to finance team of Office of Secretaries after CFO reports the proposal to CEO.
Samsung Electronics became the largest smartphone vendor due to sales of Galaxy SII and Galaxy Note devices. For example, according to principle 2-2-2 from the Global Code of Conduct, the company will ensure that any proprietary information acquired through its business activities shall be recorded and safely kept and managed as intellectual property. Samsung responds great to the cultural aspect that comes with the magnitude of its company by adding a major branch of divine Regional management to every location. As new technologies are being constantly introduced to the market, Samsung engineers strive to understand what customers need ahead of competitors and adjust their thinking to develop original and innovative products that will meet those needs as well as new technologies to lead the future market. Employees are constantly observed and monitored by top managers during their working period to ensure that they are not making any mistakes or violating the rules. Shortly after the success of the trading business, on March 1st, 1938, he founded Samsung Founder of Samsung, 2019. Before you read: a.
When the top managers are unable to control the lower-level activities, they themselves will substitute the rules and regulations. S Samsung executive team is made up of experienced effective followers. All employees and executives have to sign a pledge of compliance to agree of taking responsibility for any violation or misconduct. Figure 1 and figure 2 show the chain of command in the company, which extending from upper organizational levels to lower level that clarifies who reports to whom. Samsung makes various electronics such as TVs, smartwatches, smartphones, desktops, laptops, printers, and exports them internationally Korean Expose, 2017. Finally, the proposal is approved by Office of Secretaries and Chairman. Managing culture communications across the board.
