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Organisational Structure of Avon Products


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Netra Shetty
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Organisational Structure of Avon Products - February 2nd, 2011

Check out Avon Products Organizational Structure – it defines how activities such as task allocation, coordination and supervision are directed towards the achievement of organizational goal.

Avon Products, Inc. (NYSE: AVP) is a US cosmetics, perfume and toy seller with markets in over 140 countries across the world and sales of $9.9 billion worldwide as of 2007.[4]


3
CEO
Andrea Jung
2
Director
Lawrence Weinbach
2
Director
Paul Pressler
2
Director
Gary Rodkin
2
Director
Don Cornwell
Director
Maria Lagomasino
3
Director
Paula Stern
Director
Ann Moore
3
Director
Fred Hassan
2
Director
Ann Hailey
3
Latin America & Eastern Euro...
Charles Herington
North America
GB
Asia Pacific, West Europe & ...
BG
2
CIO
Donagh Herlihy
Direct Selling & Innovation
JH
Legal
KR
2
Brand
Jeri Finard
Communications
NG
Insights & Marketing Intelli...
MS
Sales
SM
2
Supply Chain
John Owen
Human Resources
LA
3
CFO & Strategy
Charles Cramb
Talent Management
AL
Control
RF
Control
SH


The organization in focus is an international company that supplies catalysts, process technologies, and catalyst services for a wide range of refining applications. The company was highly successful in the past; however, its rigid departmentalization has left the organization with unhealthy inter-departmental relationships and unsatisfied customers and employees who could be considered victims of the company’s existing structure and culture. The culture at the company resembles a role culture, which is nothing but a bureaucracy with mechanistic rigid structures and narrow jobs. The span of control is too narrow, thus, creating many layers, which affected communication flow. The organization does not encourage innovation and risks taking, as the employees are not allowed to deviate from the policies of the company and their individual job descriptions. Thus, this produces inefficiency and dissatisfaction on the part of the employees.

The recommended structure is a matrix structure where in the employees shall be reporting to their functional and product heads. However, the organization must train and develop employees with the requisite skills and abilities as it inherently creates a state of constant conflict with its multiple-boss model and simultaneous pursuit of multiple objectives. This constant state of tension and conflict inherent in the matrix structure requires new skills and abilities in order to lead, manage, and perform effectively. The proposed cultural change follows the methods or interventions of Organizational Development, namely, interpersonal, group, intergroup, and organizational. Once the company is able to adapt to these changed culture and structure it is expected that the teamwork, interdepartmental cooperation and communication shall increase and employee morale and customer satisfaction could be enhanced and push the organization back to black.
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Last edited by yash_naik24; September 27th, 2014 at 11:02 AM..
   
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Business Education
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Re: Organisational Structure of Avon Products - June 9th, 2015

Hello Netra, This post is informative and effective to understand organisational structure but, there are many more facet to it. The best to understand and refer it as case study, it is always useful to study Pest analysis. Pest analysis is very interesting and informative provider. It involves studies on which you can be sure about your business and its effectiveness.

Pest analysis comprises of :

1)Political
2)Social
3)Economical
4)Technological
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