MGT-501 Module 4 Organizational Design: Revlon, Inc.

Organizational Design: Revlon, Inc.
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Organizational Design: Revlon, Inc.
Revlon, an American multinational company that was established in 1932 (Revlon, Inc.,n.d.), has been one of the most efficient and productive cosmetic company across the globe thanks to its organizational structure. The chief technology officer, chief financial officer, chief compliance officer, chief human resources officer, chief marketing officer, chief manufacturing and supply chain officer, chief scientific officer, President International, President North America, and the President, Revlon Brand all report to the CEO (Revlon, Inc.,n.d.). The IT experts report to the chief technology officer, accountants, and financial analysts report to the CFO, and the company’s internal auditors and legal experts report to the chief compliance officer. Further, sales and marketing employees report to the chief marketing officer, the research and product development team report to the chief technology officer, and the procurement and logistics employees report to chief manufacturing and supply chain officer.
It has a hierarchic structure of control and communication between leaders and their followers are vertical. However, employees at Revlon have formed informal groups between members of different functional units. These informal groups come up in handy when something needs to be done urgently by someone from a different functional unit. They work amongst themselves at times to break the hierarchy and speed up the completion of their tasks. The following is the functional structure of Revlon Inc.
Given that Revlon has adopted a functional organizational structure, it is a highly specialized organization. Thus, each structural unit focuses on performing specific tasks. This is where the concept of differentiation comes in at Revlon. Specifically, Revlon has adopted horizontal differentiation which, according to Hatch (2018), allows a company to accommodate a high degree of specialization, which is the case with Revlon. In each of the functional/ structural units, the departments divide the human resources in smaller teams, and each team is tasked with a specific task or project to increase efficiency while promoting teamwork at the same time. For instance, the technology department at Revlon is tasked with all things technology and it ensures that all other departments have access to a secure information technology infrastructure. However, there two teams within this department, each with an assigned team leader. One team is responsible for the security of the company’s data. It ensures that there are firewalls and antiviruses in place and also ensures that employees are well-trained on security and privacy. The other team is responsible for networking activities. It ensures that the company’s network is effective in facilitating intra and inter-departmental communication. It also facilitates communication between the organization’s internal and external stakeholders through the company’s website. Similarly, the human resources department is specifically responsible for attracting and mobilizing human resources within the company. The teams within this department are assigned specific tasks such as employee payroll management and compensation issues. This is how horizontal differentiation is enhanced at Revlon.
However, this differentiation also means that each structural unit adopts a different approach in terms of leadership style and culture in order to effectively perform their specific function. This requires some moderate level of integration. Observing how Revlon deals with integration issues was an eye-opener for me because I understood how the role of integration in enhancing coordination and decision-making within the company. Revlon has adopted a direct role integrating mechanism, which is convenient for a company that requires moderate coordination between structural units (Hatch, 2018). As such, each functional unit manager/ leader facilitates and coordinates with managers in other functional units. E-mails are a major form of communication within the company. However, these individuals still follow the ...