Kimberly Clark Essay

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CHAPTER 6 - CASE STUDY ESSAY Restructuring the Organizational Restructure at Kimberly-Clark 1. Why would Kimberly‐Clark executives restructure the company based on “grow, sustain, and fix” categories? What disadvantages might result from such a structure? Kimberly-Clark considered restructuring its corporation based on “grow, sustain, and fix” categories because, that would bring more focus and organization to each product, recognizing each of their strength and weaknesses. This could be the element of differentiation, which is an organizational structure in which the tasks are divided into subtasks and performed by individuals with specialized skills. For example, in the “grow” section of their categories, there are products like training pants, household towels and wipes, and Kleenex, which are the brands and sectors in which the industry is growing rapidly and had more demand. In these situations, the corporation could appoint managers that are good under turbulent situation and good with adaptation. By categorizing the products into “grow, sustain, and fix”, the corporation could successfully organize a structure and make a strategy based on the situations each product is in. In the case of Kimberly-Clark, “grow, sustain, and fix”, they made a choice to organize by different products. However, when the organization separates their units, it enhances the challenge of integrating their activities, which could be a disadvantage towards the company. 2. Was the organizational structure presented by Kimberly‐Clark executives in 2004 better than the first structure proposed? Why or why not? From my point of view, Kimberly-Clark reorganized structure in 2004 is better than the first, After all, the main reason why they changed the structure one year later was because the first approach was a big failure. The new way on the revise sales forecasted

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