“Amazon.com is able to [provide customers with the range of books and convenient

Question

“Amazon.com is able to [provide customers with the range of books and convenient service] because of the way it has developed a structure to effectively manage its new information technology.

”Discuss how in 600 words how Amazon accomplished this through the adoption or adaptation of the six forms of structure presented below:

1.    Functional Structure

2.    Divisional Structure (product, market and geographic)

3.    Product division structure

4.    Product team structure

5.    Market Structure

6.    Matrix structure

7.    Network structure

Explanation / Answer

1. Functional Structure - Firstly understanding “primary roles required to make a decision.” Bain advises that companies on how to make necessary strategic decisions using its RAPID framework. It clarifies who is accountable for what.

2. Secondly - splitting the decision between two or more people, although I can think of a notable exception. Larry Page, Sergey Brin, and Eric Schmidt led Google GOOG -0.44% as a triumvirate for ten years. Normally a disagreement at this level would paralyze an organization unless the leadership has a clear decision-making framework.

3. Lastly, communicate in these settings that are set up from the existing data through appropriate medium, which should correspond to the decision’s complexity.

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