Sherman Computer Repair

Sherman Computer Repair New Direction
Cynthia Russell
August 16, 2010
Kenneth Hadzinski

Sherman Computer Repair New Direction
      Sherman Computer Repair (Sherman) is a small computer repair company that desires to move into computer assembly to fill the void left by a competitor called Synergetic.  Currently, Sherman has three locations where customers can bring broken hardware for repairs.  Each of the three locations employs a manager, three computer repair technicians, and a receptionist.  Sherman Computer Repair also offers in house repair service, employing 12 mobile technicians.  Sherman's impending move into the computer assembly industry is one that has far reaching implications for the company.  Sherman must hire a new professional workforce and acquire new technological expertise to make this move successful.  This paper will analyze Sherman's external environment, its impact on Sherman's new venture and what changes Sherman must make to its organization structure to make this change a success.
Sherman Computer Repair Organizational Design
      Organizational structure is the division of labor and the patterns of coordination, communication, workflow, and formal power that guide organizational activities. An organization's structure reflects the company's culture and power relationships and can establish new communication patterns and align employee behavior with the company's mission, vision and goals. The organizational structure enables effective communication and smooth workflow (McShane & Von Glinow, 2004).   Sherman's challenge is to redesign the work environment and organizational structure to move from the present departmental structure to the new team-based structure, developing new HR policies and programs to help employees make the transition. It is also necessary to improve current employee skill sets and/or hire new employees with relevant skills.
      A functional structure is a design that groups people because...