The Heinz Company implements a divisional structure as their organizational design.

In a divisional structure, corporate divisions operate as autonomous businesses under the larger corporate umbrella. At Heinz there are three core divisions: Ketchup and Sauces, Meals and Snacks, and Infant/Nutrition (Sharply Focused Core Categories). These divisions all operate under the Heinz name, but are their own individual business units. The Heinz structure also contains horizontal boundaries, such as departmentalization. Despite these separate departments, Heinz seems to have different structures within their teams and task forces. According to the Cleland, Heinz uses three task forces independent of the normal organizational structure were established in the areas of procurement. Heinz primary forms of departmentalization are functional and product. Heinz can be seen using functional departmentalization on their Career website which states they 'offer a number of career choices in a wide range of functions including Marketing, Sales, Research and Development, Finance, Human Resources, and Information Systems' (Heinz-Diversity). As stated above Heinz also groups jobs by three core product divisions: Ketchup and Sauces, Meals and Snacks, and Infant/Nutrition. Both forms of departmentalization use cross-hierarchical teams. Heinz offers their employees the opportunity to build cross-functional partnerships, daily exposure to senior leadership, and an entrepreneurial environment where every employee can make an impact on the business (Heinz-Diversity). "Under the new initiatives, we have weekly meetings with broad-based teams that include product development, packaging, procurement, marketing, production planning, manufacturing, and our government regulations people," states Wayne Clearly, manager of packaging material systems at Heinz United States. "In the past we would get together on a bi-yearly basis, and usually people would just talk about the great things they have done. Now we are looking at things people are doing and looking at ways to make it

applicable to other products" (Ennen). According to Daft, Heinz is striving toward greater decentralization by giving frontline workers more authority and responsibility to define and direct their own jobs, often by creating self-directed teams that find way to coordinate work, improve productivity, and better serve customers. "Communication across and between our affiliates was actually discouraged for a long time," says Debora Foster, director of corporate communications. "Those walls have been broken, and we are really thinking globally. We are not only more decentralized but also more focused" (Ennen). The company of Heinz is a highly organic structure when it comes to how the company is structured and how goals are achieved throughout the company. Organic organizations focus highly on teamwork, and completing tasks through verbal communication (Burns). Also, organic organizations are formed through networks of teams rather than individual positions. At Heinz, employees have stated that whatever we do at Heinz is a team effort, and that past employees have given us the chance to get advice from their working experience (Heinz). The working environment is teamwork oriented, and each department works through teams to accomplish the goals of the company. This organic structure works best when the environment is relatively dynamic and uncertain (Burns). Employees are not promoted at Heinz, but are given the potential to explore their career and build their working skills. One employee at Heinz explains, It is up to you as the employee to determine where you want to go in the company (Heinz). Even if an employee is at a lower level in the company, others notice their decisions and ideas because of the teamwork displayed throughout Heinz. As Heinz is moving toward a more decentralized and organic way of doing business, employees are starting to have more empowerment to share their ideas, which promotes their strategic goal of being at the forefront of product development. Heinzs concentrated growth

strategy of expanding into new markets and products is successfully being pursued by the companys ability to be flexible and free flowing with information among departments. John McMurray, senior manager of research and development-ketchup and sauces states that, There is now clear management support. They have structured operations so that people feel confident to take creative risks (Ennen). As an organic and decentralized organization, Heinz is better able to face global competition, accelerated product innovations by competitors, and increased demands from customers for high quality products. For Heinz, it is important to continue working together as a team to get goals accomplished. When all employees are familiar with company strategies and ways of improving, it allows them to work more efficiently. As stated earlier, it is better to work with organic style instructions and move toward asking everyone for their opinions and suggestions in the proper running of the company. Their ways have been extremely successful over the years and it is best to continue this method and find ways to improve it. Heinz should also continue to think more globally and incorporate ways to ensure this organic style is appropriate for every county they associate with. Some countries have different styles of running a business, so it is imperative to make sure everyone is on the same page and understands Heinzs working structure within their business. Heinz is known for being a very powerful and strong company outside the United States and would benefit greatly if all international employees are comfortable working as a team and offering advice and help to those who need it. For this reason, I feel this suggestion is most important. Its global business is the reason its so successful and makes a large amount of its profits from overseas sales. If Heinz ever considers expanding to other countries in the future, they need to be successful in the current countries they operate and make sure their structure is continually updated and maintained.

Burns, Tom, and G. M. Stalker. "Mechanistic and Organic Systems." Management Methods | Management Models | Management Theories. Web. 06 Nov. 2010. <http://www.valuebasedmanagement.net/methods_burns_mechanistic_organic_systems.h tml>. Cleland, David I. Strategic Management of Teams. Canada: John Wiley & Sons, Inc. , 1996. Daft, Richard L. "Organization Size, Life Cycle, and Decline." Organization Theory and Design. 9th ed. Mason: Thomson South-Western, 2007. 337. Google Books. Web. 06 Nov. 2010. Ebert, Ronald J and Ricky W Griffin. Business Essentials, 6/E. Prentice Hall, 2007. Ennen, Steve. "A NEW KIND OF ANTICIPATION." Small Business Advice and Resources from AllBusiness.com. Food Processing, 1 Nov. 2000. Web. 06 Nov. 2010. <http://www.allbusiness.com/marketing-advertising/marketing-collateral/6953571.html>. Heinz. 2009 Corporate Social Responsibility Report. 2009. 4 November 2010 <http://www.heinz.com/CSR2009/social/business/ethics_compliance.aspx>. "Heinz - Careers." Discover the World of Heinz. Web. 06 Nov. 2010. <http://www.heinz.com/our-company/careers.aspx>. "Heinz - Diversity." Discover the World of Heinz. Web. 06 Nov. 2010. <http://www.heinz.com/our-company/careers/diversity.aspx>. "Heinz - History." Discover the World of Heinz. Web. 06 Nov. 2010. <http://www.heinz.com/our-company/about-heinz/history.aspx>. "Sharply Focused Core Categories." Discover the World of Heinz. Web. 06 Nov. 2010. <http://www.heinz.com/CSR2009/economic/core_categories.aspx>.