Ikea Organizational Structure

Then review some additional information about ikea on the internet.

Ikea organizational structure. Ikea apply the functional organizational structure. The ikea corporate structure is divided into two main parts. Ikea has a unique structure among major retailers. The type of organizational structure ikea has adopted suits to the functional figure in which a company produce its goods or services at a large volume and with a relevant low cost.

The present organizational structure of ikea illustrated in figure 1 above is the outcome of a major restructuring initiative that was introduced in 2016. Make sure you fully understand the concepts presented in chapter 9 of the textbook. Learn more about how ikea came to be starting from ingvar kamprad and our heritage to our vision to create a better everyday life for the many people as well as to even learn about our company s structure. For this critical thinking assignment you have been asked by ikea to make a suggestion for an organizational chart that ikea can consider to better support its international strategy.

That is why since 1982 the ikea group has been owned by a foundation in the netherlands. Most of ikea s operations including the management of the majority of its stores the design and manufacture of its furniture and purchasing and supply functions are overseen by ingka holding a private for profit dutch company. The founder of ikea ingvar kamprad wanted to create an ownership structure that stands for independence and a long term approach. Letâ s assume that some top ikea executives like and want to keep the current structure.

To complete the new proposed organization structure review the ikea case study from chapter 8 of your textbook. See for this structure however recently there has been pressure from a few ikea leaders to consider that the. The report illustrates the application of the major analytical strategic frameworks in business studies such as swot pestel porter s five forces value chain analysis ansoff matrix and mckinsey 7s model on ikea. Moreover the report contains analyses of ikea leadership organizational structure and business strategy.

Moreover we should say that ikea company successfully uses the functional structure which has as main objective the development of appropriate attitudes to workers. To improve the franchise system and clarify roles ikea range supply and production activities were transferred to the new inter ikea group headed by inter ikea holding b v. Get to know us better with all the details here.