ABSTRACT

Galbraith and Nathanson claim that major changes in strategy be accompanied by changes not only in organization structure but in processes, reward systems and people. The organization structure and its functioning as supporting investment objectives, management strategies and implementation strategies. The marketing strategy is also shown as an implementation strategy as it constitutes one of the strategies that implement corporate strategy. As a firm grows from a 'one-man-band' with a single product line, it adopts a functional organization. A major factor in determining how far the multidivisional company should remain centralized depends on the extent to which the different products or businesses are related in manufacturing or marketing. America failed to learn from the British and adapt an organizational structure that enabled the Royal Navy and the RAF to 'make use of all the intelligence at their disposal, to analyze it swiftly and disseminate it immediately to those who needed it'.