Cross Border Mergers and Acquisitions and Some Recent Trends in this Field
Cross Border Mergers and Acquisitions Cross border Mergers and Acquisitions or M&A are deals between foreign companies and domestic firms in the target country. The trend of increasing cross border M&A has accelerated with the globalization of the world economy. Indeed, the 1990s were a “golden decade” for cross border M&A with a nearly 200 […]
Disaster Recovery and Business Continuity – Planning Phase
Disaster Recovery and Business Continuity plans if well planned and implemented can help mitigate risks and loss to the business. With increasing competition and complexity of systems and reliance on IT technology, Organizations are focusing in this area to ensure they do not lose out on the business operations in the event of any disaster […]
Kar Lo Duniya Mutti Mein: The Game Changing Case of Reliance Jio
The Game Changing and Disruptive Entry of Reliance Jio The entry of Reliance Jio into the Indian Telecom sector has been if not anything, disruptive and game changing. Starting with the sheer scale of its operations wherein it leveraged its existing network of stores and outlets to sell new connections to the consumers, to its […]
Introduction to Business Continuity Management
We all need the support services that we often take for granted to be available to us 24/7 and whenever needed. Right from the telephone that we use to the internet connection, any downtime that this service faces is viewed unfavorably by us. But, given the uncertainties of the 21st century where a minor dislocation […]
Is Dubai Really Tax Free ?
Expats want to flock to Dubai. Apart from the high quality of life, the foremost reason for such enthusiasm for Dubai is the fact that Dubai is a tax-free nation. There is no income tax on income generated in Dubai. Also, there is no sales tax on the majority of goods and services. Therefore, there […]
Managing businesses in highly competitive environment and in global scenario is highly complicated. What has made the global giants like IBM, HP, Dell, CISCO, GE, DHL, Fedex and many more companies hugely successful is the fact that they have built their Organizations on standard business processes that are refined and fine tuned to each local country requirements.
Business process and Organizational design have provided them with the ability not only to control global operations but more importantly to provide the same superior quality and commitment as well as service to the customers all across the world. This is essentially the differentiating factor that makes a Dell or an IBM stand apart from the rest of the competition.
In order to offer complete control over the product and service to its customers, IBM used to manage the service support in house globally.
In recent times of course, IBM sold its Laptop and Desktop business to Lenovo and outsourced the entire service business to Geodis Logistics. However IBM has ensured that the business processes and controls are retained and interfaced with its functional units.
This outsourcing of the parts management, delivery and service has been possible only because the entire function is defined, managed and controlled via specific business processes. IBM has not only devised detailed business processes to manage its business operations, but spends an equal amount of time and focus on auditing the business processes to ensure the process is followed, the processes are valid and the business risks arising out of process failures are identified and managed.
Continuously the Organization evaluates its processes, removes redundancy and keeps strengthening the business processes in line with the changes in its business.
Understanding how the business processes and business functions are organized in such a set up validates the significance of the business process to the Organization. Though the departments are managed by functional managers, the functions related to a particular business report to the Business Unit head.
Thus the business unit has sales as well as service functions reporting into the head. The service unit involves the technical service engineers, the sales support staff, the parts distribution managers forming one unit to service the business unit. In addition, each of these functions would be managed by and reporting to each functional head such as Head of Service Delivery, Technical Solutions Head as well as Inventory and Logistics Manager etc.
The Organizational design includes horizontal work flow with vertical staffing structure. It is the Business Process and systems that ensure smooth and seamless overlapping, integration and optimization of the functions and aligning all groups on dual reporting system and ensuring that every function is focused on the end customer.
The service parts managers are functionally responsible for procurement, inventory and logistics of the service parts components. Overriding this functional expertise is the need for the Parts Managers to be in line with the local Customer needs, the local Country situation, the Customer criticality and field support requirements and plan his function accordingly.
When Customer fulfillment becomes the primary objective even for the inventory controller and the Parts service group, every single function in the Organization gears up to work together with the single aim of servicing the customer. When this happens at a Organizational and global level, the Organization naturally becomes a global leader.
Managing global markets, different countries, different types of customers, providing superior quality and service reliability to every single customer consistently and sourcing millions of parts from across the globe, managing multiple production bases, managing innovation and product quality besides managing thousands of employees and managing the changes both internally and externally to emerge as global leaders has been made possible due to the Organizational design and functioning depending upon on Business processes and systems to manage the business operations.
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