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FMB&T Case Study
Transcript of FMB&T Case Study
FMB&T is a growing commercial and consumer retail bank based in California.
Marshall Pinkart - President & CEO
Ayishia Coles- Vice President & CIO
Company follows traditional vertical organization structure
Marshall receives e-mail from Ayishia-The relationship between IT & other units not clearly defined, leading to inefficiency & confusion.
Lack of coordination amongst departments.
Delegation of authority and responsibility within units is unclear.
IT Department is being flooded with poorly defined problems from other departments.
1. What are the main organizational causes of frustration that Ayishia Coles feels?
Based on Jim Harvey's speech structures
Submitted to: Prof. Kanti
Submitted By : Divya Thathu
FMB & T Case Study
Chapter 10 : Designing Adaptive Organizations
New Era of Management
Richard L. Daft
2.If you were Marshall Pinkard , how would you address both Ayishia’s request for clarification about her authority and responsibilities and the underlying problems her e-mail brings to his attention? Can the problems be addressed with minor adjustments, or would you need to consider a drastic overhaul of the bank’s organizational structure? What environmental and technological factors would influence your decision
Communication problem between units leading to complicating the existing problems.
Set up a meeting with the company executives and managers for all departments in the vertical- redefine the lines of authority for all managers. Clearly lay out the responsibilities for all the managers including Ayishia.
Motivate IT staff for creative inputs on utilizing IT to improve the company's business strategies.
Develop a new process for submitting queries to the IT Dept.
Let other departments be aware of the problems faced by IT. Encourage inter-department communication.
Long term solution : Needs complete restructuring. Company cannot perform its best with current structure.
3. Sketch a general chart for the type of organization that you think would work best for IT at FMB&T.
Current Organizational Structure (Functional)
Ayishia feels that her responsibilities are not clearly defined.
IT staff limited to applications work; feels underutilized.
No clear lines of authority.
Vague work requests presented to IT.
Recommended Organizational Structure (Divisional)