The reorganization always raises substantial problems organizations have to overcome to complete the reorganization successfully. In this regard, Dell Computers is likely to face the same difficulties other companies face in the course of the reorganization. At the same time, Dell’s reorganization was driven by the desire of the company to enhance its marketing position and to improve its organizational performance because the existing organizational structure failed to accelerate the further development of Dell. In fact the company has to become more flexible and capable to respond to challenges in the business environment fast and effectively. The reorganization aimed at the increase of flexibility of the company and at the improvement of its responses to current business challenges.
Obviously, the reorganization is better for Dell than any other possible solution of its problems. In fact, such alternatives as merger, for instance, will deprive Dell of its independence in policies conducted by the company, whereas many employees are likely to lose their jobs. Instead, the reorganization means the optimization of the organizational structure and employees’ performance.
Therefore, the reorganization should bring positive outcomes for the company and improve its marketing performance without loss of its brand, independence, or change of the course of its development.
However, the reorganization faces some barriers. In this regard, it is worth mentioning the uncertainty of employees in their future after the reorganization. Hence, employees may oppose to the reorganization. In addition, employees need to learn their new functions and positions in the company after the reorganization that needs time and efforts from the part of employees.
Nevertheless, the reorganization can bring positive outcomes to Dell.
Restructuring the Top of an Organization Michael Dell.