Horizontal Structure and Business Reengineering

Assignment Brief

Answer the following two questions in two different paragraphs (One paragraph for each and each answer(paragraph) should be no more than ½ page, double-spaced). 

1. A horizontal structure organizes employees around core processes. Organizations shift to a horizontal structure during reengineering, or business process reengineering─ the redesign of a vertical organization
2. Describe which processes Microsoft may be reengineering and the stated reasons for it.
3. Review whether there are any issues of centralized versus decentralized control found in the case study. Describe the issues surrounding them.

Sample Answer

Microsoft’s Reengineering and Core Processes

Microsoft has undergone significant reengineering to shift from a traditionally vertical, product-focused structure to a more horizontal, process-oriented approach, particularly under CEO Satya Nadella’s leadership. One major process Microsoft has reengineered is product development and innovation, with a focus on cloud computing and services rather than solely on software products like Windows. This shift involves reorganising teams around customer needs and core business processes, such as developing integrated solutions for enterprise clients through Azure, rather than maintaining rigid product silos. Another reengineered process includes collaboration and communication, aimed at breaking down internal barriers and fostering cross-functional teams. This enables faster decision-making and responsiveness to changing market demands. The stated reasons for these changes include improving agility, fostering innovation, and enhancing customer-centricity in a competitive global technology market.

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