Conference 7.286::digital

2385.0. "Territories and geographies - where's the "flat management structure"?" by BUFFER::UNGUREANU () Tue Feb 23 1993 14:22

Can someone explain to me how the "territory structure" brings us closer to
the customer and flattens the management structure of the company?

My understanding of Bob Palmer's DVN was that we will have a transition from
geographies to territories, i.e. instead of US, GIA, Europe we will have 
Territory 1 through Territory 14, so management and communication channels will
become shorter and thus more effective by having e.g. a manager of a territory
like UK, Germany, France or Italy reporting directly to corporate, instead of
reporting to European HQ Geneva, as it is at the moment.
The new structure was supposed to bring larger span of control (14 territories
instead of 3 geograhies) and flatter management structures.

From the latest announcements - at least in SI/PS - it appears that
the "old" geographies are well and prosper BESIDES the territories. We have
announcements of "European CBU manager" as well as "Territory CBU manager",
and "Corporate CBU manager". So it appears that we have just added a layer
of management called "the territory", but have not reduced anything. I.e. a
country manager Spain does now have to report to the territory manager
"Western Europe", who reports to "European Manager" who reports to corporate...

Maybe someone can describe the advantages...

regards
Christian 

	re .0:

	Some of my own tentative thoughts...

	Dick Poulsen, Bobby Choonavala and Russ Gulotti sit on the
	Leadership Team as Area Sales/Support Managers. Obviously,
	if all the territories were represented, it would be a mob.

	Now Dick Poulsen can't just sit there in isolation. He needs
	a staff in order to achieve anything. But quite why they
	would announce area CBU managers does elude me.

	As to the area geography staff, I assume that over time the
	geographies will "wither away" until they are little more than
	facilities management. At that time it won't matter much to
	anyone how they organise themselves.

	/Tom