An organization chart clarifies authority relationships, the span of supervision, the division of work, and departmentalization. It probably does not adequately portray the working relationships between the employees.
Consider this scenario. A company develops, produces, and sells a variety of products throughout the world. Sales have been growing about 5 percent per year. Projections reveal that no new employees will need to be added in the foreseeable future.
• Construct an organizational chart for this company using job titles and employees listed in Team Skills Builder 8-2: Reorganizing a Company on page 276 of the text.

• Include rationale for why you constructed the structure the way you did.

Team Skill Builder 8- 2: Reorganizing a Company Divide the class into groups of four or more students. Following is a list of job titles for the organization as well as the number of people in each position. The company develops, produces, and sells a variety of product thoughout the world. Sales have been growing about 5 percent per year. Projections reveal that no new employees will need to be added in the forseeable furture. Job Title Number of Employees Production worker 120 Production supervisor 7 Vice President- Production 1 Vice President- Finance and Accounting 1 Accountant 3 Secretarial 6 Human Resources Manager 1 Personnel Specialist 2 Salesperson 20 Regional Sales Managers 6 Vice President- Marketing 1 President 1 Production Staff Specialist 2 Chemists 6 Technicians 9 R & D Supervision 4 Vice President- Research & Development 1