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- A network organizational structure is a system that involves interacting with internal and external parties to deliver a product or service1. Here are some examples of network organizations:
- Starbucks coffee chain is structured as a network of independently owned and operated stores, each of which licenses the Starbucks brand and sells its products2.
- Wavewood, a company in the fast-moving computer chip industry, forms two teams from multiple departments specifically to target current consumer needs and future product ideas3.
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.A network organizational structure is a system that involves interacting with internal and external parties to deliver a product or service. For example, suppose an organization designs shirts for customers and has leaders who rather focus on design than production or retail.ca.indeed.com/career-advice/career-development/…Examples of a network organization For example, the Starbucks coffee chain is structured as a network of independently owned and operated stores, each of which licenses the Starbucks brand and sells its products. This allows Starbucks to scale rapidly while maintaining control over its stores' quality and customer experience.www.aihr.com/hr-glossary/network-organization/Example of a network organization Here is an example of a networked organization: Wavewood is in the fast-moving computer chip industry. To stay ahead of its competition on new ideas, Wavewood forms two teams from multiple departments specifically to target current consumer needs and future product ideas.www.indeed.com/career-advice/career-developme… - People also ask
Learn what network structure is, how it works, and see examples of companies that use it. Find out the advantages and disadvantages of network structure for businesses. See more
An organization that has been using network structure is H&M (Hennes & Mauritz), a very popular brand that has followers world over. H&M has outsourcedthe … See more
- Clearer Focus
- If a firm lets go all other functions except its own core competency, it can have a …
- Lower Costs
- Setting up a department and running it is much more expensiv… See more
Network structure has its pros and cons, but weighing them, we can get on a stance that the benefits. This can help in outweighing the drawbacks and network structure. Firstly, if a firm can keep control over other firms that are being given the work responsibility. … See more
- Control and Reliability
- When a firm indulges in a network structure, it gets more spread out. As th…
- Lack of secrecy
- While pursuing a network organizational structure, when you o… See more
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