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PRESENTATION ON DYSON

 Critical Review of Dyson’s Present Organization Structure.

 Critical Evaluation of Dyson’s Cultural Challenges.

 Evaluation of Dyson’s Information And Knowledge


Management.

Group Members:
o Dhyanesh
o Furqan
o Manaza
o Mikin
o Shemema
TABLE OF CONTENTS
Introduction:
o A Brief introduction about Dyson
o History of Dyson

Organization Structure of Dyson


o Critical Review of Dyson’s Business Structure
o Advantages & Disadvantages
o New Structural Options for Dyson

Cultural Challenges
o Critical Review of Cultural Challenges
o Possible Action to overcome them

Information And Knowledge management


o Critical Evaluation of Information And Knowledge
o Possible Actions to overcome them
INTRODUCTION

 About us: Dyson is an Electric Domestic Appliances


Manufacturing Company. The first factory was
established at Malmesbury Wiltshire in year 1995.
 History: G-Force' was the name given to Dyson's first
widely-available vacuum cleaner in the year 1983. But
the fact is it was not sold under the Dyson name.
 Size of the Company: Dyson generated profit of £87M
in 2007 and sales of £3Bn in 2007. the company has
approximately 2000 staff.
INTRODUCTION CONTINUE…
Geographic: Dyson shifted its Production unit to Malaysia
in year 2002, while the R&D remains in UK..Dyson is
operating in 50 countries around the world.

 Influence: The Dyson is influence by culture, innovation,


information & knowledge.
PROPOSED STRUCTURE

Option 1
Comparison of Present Structure
Advantages Disadvantages
Cost Effective Communication gap between head
(e.g. Labour, logistical, production, office & branch offices (e.g. Some
raw material in Malaysia, China) area & branches are decentralized
Decision Making Success and failure depends upon
(e.g. Decentralization in Malaysia & one person (e.g. R&D centralized)
China, that’s why easy to make
decision in relevant activities)
Accurate decision on innovation & Potential Conflict & confusion
creativity (e.g. all branch managers dealing
(e.g. R&D decisions are taken by tom with same thing at headquarters
management) except New Zealand and Australia
Reduce the pressure on senior Expensive training cost on
management employee (e.g. because of
(e.g. Asia region is decentralize) centralized R&D, production
employee need training about new
invention)
Proposed Structure (Divisional )
B.O.D

C.E.O

R&D

ASIA EUROPE AUSTRALIA/


AMERICA NEW
NORTH/SOUTH ZEALAND
MALAYSIA CHINA

Legal &
Legal & Secretariat
Secretariat Sales &
Marketing
Production/Sales
Finance
Finance
Procurement
Procurement
IT
IT
HR
HR
Comparison of proposed structure
Advantages Disadvantages
Flexible and responsive to change Lack of goal congruence
(e.g. each unit focuses on its (e.g. R&D is centralized, decision is
environment and there is making slow)
coordination among different
function within the division)
Copes with diversity & demand Inter divisional coordination may
(e.g. branches can easily cope local suffer (e.g. because of
culture) decentralization and proper training)
Clear Responsibility for product Limited control over regional
(e.g. managers are responsible for operation (e.g. communication gap
their own resources) between head quarter & branches)
Developing Senior Executives Employees in different division may
(Senior managers gain broad range feel that they are competing with
of experience in running one another.
autonomous units))
PROPOSED STRUCTURE: (SAME AS PRESENT STRUCTURE)

Option 2
REASONS OF HAVING CURRENT
STRUCTURE
1. R&D is their biggest strength according to Sir James Dyson.

(e.g. as they are on the top because of high innovation which depends on R&D)

2. They have minimized their manufacturing cost.

(e.g. product plants in Malaysia and China)

3.Unique Marketing and sales strategy.

(e.g. products are being displayed in museums)

4. Relocation of production unit has benefited Dyson.

(e.g. Highly skilled work continued to be performed in UK


Dyson’s Present Culture
 CORPORATE CULTURE
1. Principal assets of company is Customer Satisfaction
2. Global organization.

 TASK CULTURE
1. Spend huge amount on R&D before giving final Product in
market.
2. Continuously working for improvement of product.

 GEOCENTRIC CULTURE
1. The persons working in UK R&D Department finalize the
product.

 POLYCENTRIC CULTURE
1. Appoints People from the Host country to run Business.

 ETHNOCENTRIC CULTURE:
1. Follows British Culture.
Cultural Challenges Faced By Dyson

 INDIVIDUAL DECISION: Diversity in Production department is not


encouraged. as James Dyson’s own decision counts the most.

 LANGUAGE: Dyson stresses the English is spoken widely, but it is not


really the case as competent and semi-skilled workers are accustomed to
official language and thus it makes it difficult to orders from English
speaking UK heads.

 VALUES & BELIEFS: Dyson fails to appreciate cultural values due to


lack of cross-cultural competence, it risk its business when dealing with
suppliers, business partners and even employee turnover increases.

 Ethnocentrism: Adopting an ethnocentric approach by UK managers was


opposed to the Malay culture.
Possible Actions to Overcome
Cultural Challenges:
 Individual Decision Making: Employees ideas and
contribution should be considered while making a decision.

 Rewards: Appreciation and Higher Education to employees.

 Language: Dyson should employ the staff from the host


countries to minimize the language barriers.

 Belief and values: Dyson should innovate more new products


according to the requirements of the peoples in particular
country.
EVALUATION OF CURRENT
INFORMATION AND KNOWLEDGE
MANAGEMENT AT DYSON
Advantages
 Knowledge Sharing: Dyson ensures that the information
is shared between all the departments of the company.
This ensures the up to date info and consistency at all
level.
 Customer Feedback: Information of customer demand
and feedback is considered effectively to provide better
customer satisfaction.
 Daily news Bulletin: Dyson has a daily news bulletin
relating to the latest development and status of company
for all employees.
CONTINUE..
Disadvantages
 Lack of face to face discussion: Engineers have to
travel to Malmesbury to Malaysia or China to Finalize the
Product.

 Despite of having dedicated individuals and best


technology, Dyson has not been able to market its
product extensively.

 Premium Prices: The price structure is not very


competitive as all the products are of premium rates.
How culture impacts in the use of
Information and Knowledge Management
System (IMS)
Information Behaviours and values:
The capability to instil and promote behaviours and values in people for
the effective use of information.
Information technology practices:
The capability to effectively manage IT applications and infrastructure to
support operations, business processes, innovation and managerial
decision making.

 Dyson prevents any form of harassment in the workplace which


motivates employee and feel secure.

 Dyson creates healthy and safe working environment.

.
SUMMARY AND RECOMENDATION
1. As Dyson has centralized R&D in their structure and
creating innovative culture by sharing data using leading
technology.
2. Diversity of products on the basis of price which enable
Dyson to get the maximum market share.
3. To Make sure that relevant employees have access to
information and knowledge.
4. Dyson just need little modifications regarding more
decentralise approach that might be costly but needed to
keep global All British Image as well standard quality.
5. More integrated information and knowledge management
at all sector must be established that need to be free
from bias as well as updated.
References
 Mullins, L. 2007. Management and organisational behaviour. UK:
Pearson Education.
 Laffan, B. 1996. Information Management. [www]
http://www.anu.edu.au/mail-archives/link/link9606/0050.html (17th
march 2009)
 Sveiby, K. 2001. A knowledge-based theory of the firm to guide in
strategy formulation. Journal of Intellectual Capital, 2 (4), pp. 344-
358
 http://www.dyson.co.uk
 http://www.dyson.co.uk/insideDyson/search.asp
 http://www.dyson.co.uk/sitemap.asp
 http://www.dyson.co.uk/technology/
References cont’d….

 http://www.dyson.co.uk/technology/handDryerTech.asp
 http://www.dyson.co.uk/store/helpmechoose.asp?
feature=AllergySufferers
 http://en.wikipedia.org/wiki/List_of_Dyson_products
 http://news.bbc.co.uk/1/hi/business/1802155.stm
 http://www.press.dyson.com/uk/releases.asp?placement=PRESS
 http://www.dyson.co.uk/insideDyson/article.asp?
aID=dysonschool&disType

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