Information and resources for completing the organizational system analysis (A case study of Starwood Hotels Resorts Worldwide Inc.)
List of tables
Table 1 Hierarchical Structure of Starwood Hotels Resorts Worldwide Inc.9
Organizational structure is a concept of systems of grades of status and authority inclined towards subordination of entities that work together and contribute to serve a common goal and objectives (Rachel, 2010). Organizations have different clustered sub-units. Organizational structure varies in different ways and fashion depending on the objectives and surrounding of the company. These systems determine operational and performance approach used in any business entity. Organizational structure also allows allocation of duties and responsibilities for different functions and processes to companys departments and sections.
Kelly (2009) defines organizational structure as a plan for the methodical arrangement of duties and responsibilities within an organization. Organization structure entails departmentalization and wide span control like the one applied by Starwood Hotels Resorts Worldwide Inc. The powers and authority are usually centralized and entails a lot of formalities. Most organization consists of both vertical and horizontal structures. Vertical structures begin from the top management to the subordinates while horizontal structures lie within the departments.
Types of systems
There are various organizational systems that companies apply in their operational practices, which include but not limited to pre-officious systems, officious systems, post-officious, and divisional systems (Braha Bar-Yam, 2007). Additional organizational systems are matrix systems, functional systems, teams, networks, and virtual systems. Many organizations use the matrix system that involves the human resources in line with purpose and merchandise. The matrix system is further categorised as feeble matrix, impartial matrix, and robust matrix, depending on the organizational goals (Braha Bar-Yam, 2007).
Starwood Hotels Resorts Worldwide Inc. use both efficient and divisional systems in the operations. Their workforces in the purposeful units specialize on identified assignments, which improve the overall performance of the company. The divisional system is applied by the company through the categorising the operational services within and along the value chain. This is done both regionally and globally as reflected on the companys global acquisition, mergers, and procurement strategies (Heckscher Donnellon, 1994).
Starwood Hotels Resorts Worldwide Inc. operates in divisions that engross the possession and resort units. The resort units are responsible for international chain of possessed, hired, and amalgamated companies that are managed by the mother organization (Paasschen, 2009). The company branded their global hotels and resorts such as Element, Aloft, Sheraton, Le, Mridien, Westin, St. Regis, and The Luxury Collection, among others. The company evaluates their financial and other performances through the revenue collected from their operational activities. This segmentation assisted the company to gain more competitive advantage through global acquisitions, mergers, and effective management of risks (Paasschen, 2009).
Strengths and weaknesses of systems
The companies structures differ depending on their goals, resources, output and operational strategies. For instance, the Chief Executive Officer may be the head of a company followed by the central managers or unit heads, and finally the general workers. Large organizations such as Starwood Hotels Resorts Worldwide Inc. have a complex hierarchy of management and operations. This is basically to ensure efficient performance of their business units locally, regionally, and globally. Since the company spans in approximately one hundred countries worldwide, their management hierarchy is very sophisticated (Wichers, 2010).
Starwood Hotels Resorts Worldwide Inc. operates globally, which attribute to their extensive combination of both vertical and horizontal hierarchical system. The companys President and Director is Frits van Paasschen, Chief Executive Officer is Heyer Steven, the vice chairman and Chief Finance Officer is Vasant Prabhu. Barry Sternlicht is the Chief Design Officer, and also holds the position of CEO and chairman of Starwood Capital Group (Starwood Press Club, 2010).
The Groups Board chairman is Bruce W. Duncan. The executive committee fall under the Board of Directors, and comprises of Audit Committee, headed by Thomas O. Ryder, Compensation Committee, headed Adam M. Aron. Stephen R. Quazzo heads both the Nominating Committee and the Corporate Governance Committee of Starwood Hotels Resorts Worldwide Inc. Below is the hierarchical system of the Group (Starwood Press Club, 2010).
Table 1 Hierarchical Structure of Starwood Hotels Resorts Worldwide Inc
System employment opportunities
Starwood Hotels Resorts Worldwide Inc. faced the challenges of integrating advanced technologies with their operational strategies to improve sales and marginal returns. Since the company is continuously advancing into global opportunities, online services play an integral role in marketing, advertising, and sales services. This called for the recruitment of individuals with great expertise in hospitality execution in order to mitigate possible risks and uncertainties. The Group also provide employment and internship opportunities for new graduates and continuing students of the hotel and hospitality discipline (Starwood Hotel Resorts Worldwide Inc., 2010 b).
Work Integrated Learning is very imperative in introducing and developing the learner into the job environment. Learners get the prospect of professional capabilities before the completion of their programmes. The system of the Starwood Hotels Resorts Worldwide Inc. allows learners to get acquainted with their diverse operations within and along their value network. The students are either taken for paid internships or voluntary work, which in turn assist in developing their knowledge, skills, and expertise in the hotel and hospitality field (Starwood Hotel Resorts Worldwide Inc., 2010).
Conclusion
An organizations system analysis involves a solitary firm with various operational segments such as Starwood Hotels Resorts Worldwide Inc. There are different systems that are used by both emerging and established companies, which include bureaucratic and divisional structure among others. Starwood Hotels Resorts Worldwide Inc. exercised their global strategy such as acquisitions and amalgamation, hence spanning over a hundred countries worldwide (Kelly, 2009).
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