how should the company manage and organize its international activities?
TRANSCRIPT
HOW SHOULD A COMPANY MANAGE ITS INTERNATIONAL ACTIVITIES?
GLOBAL STRATEGY
EXPORT DEPARTMENT
GLOBAL ORGANIZATION
INTERNATIONAL DIVISION
GLOBAL STRATEGY TO MANAGE INTERNATIONAL OPERATIONS
1) EXPORT DEPARTMENT
Consists of Sales Manager and few Sales assistants.
This isn’t adequate when the company moves into Joint Ventures or Direct Investment
International Division
Geographical Organizations
World Product Groups
International subsidiaries
2) INTERNATIONAL DIVISION (IT CAN HAVE DIFFERENT KINDS OF OPERATIONAL GROUPS)
COUNTRY MANAGERS
REGIONAL VICE-PRESIDENTS (MIDDLE EAST, AFRICA, EUROPE ETC.)
DIVISION PRESIDENT
GEOGRAPHICAL ORGANIZATIONS
WORLD PRODUCT GROUP
President
Vice Presidents (responsible for
worldwide sales of each product group)
Corporate Staff Area specialist (Expertise on geographical areas)
INTERNATIONAL SUBSIDIARIES
SUBSIDIARY PRESIDENTS Reports to DIVISION PRESIDENT
3) GLOBAL ORGANIZATIONS
In Global Organizations top corporate management and staff plan worldwide manufacturing facilities, marketing policies, financial flows, and logistical systems.
The global operating units report directly to the chief executive or executive committee, not to thehead of an international division.
STRATEGIES BASED ON FORCES OF GLOBAL INTEGRATION AND LOCAL RESPONSIVENESS
GLOBAL INTEGRATION > LOCAL RESPONSIVENESS (GLOBAL STRATEGY)
LOCAL RESPONSIVENESS > GLOBAL INTEGRATION(PORTFOLIO OF NATIONAL OPPORTUNITIES)
LOCAL RESPONSIVENESS = GLOBAL INTEGRATION(GLOCAL STRATEGY)
THANK YOU
Created by Akash Yadav, IIT Kharagpur, during an internship by Prof. Sameer Mathur, IIM Lucknow.
www.IIMInternship.com