DEPARTMENT OF MANAGEMENT STUDIES

COURSE :Management Principles, Concepts & Applications.

TOPIC : Case study on “ORGANISING FOR SUCCESS”

GROUP NUMBER - 3
Presented by:
1. Ajay Kumar G.K
2. Madhuchandan. A
3. Goutham R.S
4. Dhanush S.P
5. Kiran. S
6. Nagbhushan Singh
 CASE STUDY ON
“ORGANISING FOR SUCCESS”
Ranjith Madan has just been hired as Vice president of sales and
marketing for ‘D.D.Laboratories’ a medium size manufacturer of
barometric gauges and weather instruments D.D.manufactures,
distributes and sells products designed for both land and marine use.
Land instruments are adapted to marine use on boats, docks, light house
and sea planes. Their corrosion is prevented by
special heavy galvanizing process. Market
surveys show that the market for such measure-
ment devices is growing rapidly throughout the
country.
 D.D.laboratories is attempting to break into the military market for
both land and marine models. This market has the potential to become
larger than the civilian market, but it can be very uncertain because of
political influences on expenditures (i.e. defense budgets).
Manufacturing plants are in Mangalore which service and
distribute to the states of Karnataka, Kerala, Goa and Maharashtra and
at Vijayawada which meet the need of eastern states. Madan has been
given complete authority by the president of D.D. laboratories to
reorganize the marketing department into any structure that will
maximize profitability.
Questions:
1. What organisational structure do you think will be the best to
organise D.D. laboratories marketing department? Draw an
organisation chart and justify your answer.
2. Design an alternate organisational structure and discuss its
advantages and disadvantages.
Answer for 1st question
In the case it is mentioned that Ranjith Madan has the complete
authority to reorganize the marketing department into any structure
in order to maximize the profit. According to me the best
organisational structure that will be the best to organise D.D.
laboratories marketing department is “Geographic division structure”
because of the following reasons:
• The company provides service to different states of the country
such as Karnataka, Kerala, Goa, Maharashtra etc. So by adapting
this type of organisational structure company can reach all the
customers of different states and can design the gauges as per the
customers need.
• And however the company is attempting to break into the
military market for both land and marine models it is essential to
work on this type of structure in order to cover the all main
places of the country.
• This type of structure offers greater flexibility to D.D. laboratories
with many divisions, allowing each one to operate as its own
company with one or two people reporting to the vice president of
the company or upper management staff. Instead of having all
programs approved at the very top levels, those questions can be
answered at the divisional level.
• As we know that D.D laboratories manufactures and distributes
products designed for both land and marine use it has to cover the
all the region of the states including dry lands and the sea ports so
geographical divisional structure will be the suitable one in order to
increase the sales and maximize the profits for the company.
• According to the market survey the market for corrosion resistive
weather instruments is growing rapidly throughout the country in
order to compete with the other manufacturers this type of
organisational structure can be adapted in order to incur high
profits.
Diagram:
President

Vice President
Sales & Marketing

Sales Mgr. Sales Mgr. Sales Mgr. Sales Mgr. Sales Mgr.
(Karnataka) (Kerala) (Goa) (Maharashtra) (Eastern States)

Sales Sales Sales Sales Sales

Officer Officer Officer Officer Officer

Sales Sales Sales Sales Sales

persons persons persons persons persons
 Answer for 2nd question
The alternate organisational structure that can be used for D.D.
laboratories is product organisational structure:

Diagram:
President

Vice President
Sales & Marketing

Sales Mgr. Sales Mgr.

( Land instruments) (Marine instruments)

Sales Officer Sales Officer

Sales Persons Sales Persons

Advantages:
• If the D.D laboratories follow this type of organisational structure it
can have a particular product lines that will be substantially
different and can target the few of the major customers those who
make good profit for the company.
• The company can segment the market into the customers willing to
buy land instruments and marine instruments and depend upon the
demand of the products, manufacturing the type of products can be
planned by the production department of the company.
• By following this type of organisational structure D.D laboratories
can meet the customers need more effectively and can make profit
to the organisation.
Disadvantages:
• Duplicating functions and resources, example:- a different sales
team is required for the different product and different divisions of
the D.D. laboratories.
• There are chances of losing central control over each separate
division in product based organisational structure of the company.
• Over emphasizing divisional goals, rather than organisational
goals of the company.

Conclusion:
In order to make the profit to the D.D. laboratories Geographical
organisational structure will be the suitable organisational structure.