Estructura De Gm

GM Structure
The old GM historically had a Vertical organizational structure. This inflexible hierarchy, however, contributed to most of all the problems that the company has been facing asglobalization has increased competition. One of the biggest problems stems from GM owning many different companies that are centralized and all tied to the GM name. The higher levels of managementtraditionally have decided what is required for all subordinate levels with the CEO’s, CFO’s, and top executives making all decisions for middle management down to the individual dealerships. These executiveshave even tried to decide for customers not taking into account any of the feedback that customers, dealerships, or operational level managers provide. When the economy began to slow down and as thecustomers began to demand smaller, more economical cars, GM continued to push their fuel inefficient vehicles (Bloomberg, 2011)..

With their financial problems due to such a deficient companystructure, GM is now trying to focus more on consumer desires, not what executives assume is best. Many of GM’s well-known product lines have been sold off or phased out, including Hummer and Pontiac. Manyinsolvent operations were liquidated, several independent dealerships were closed, old factories were redesigned or closed, and union contracts were renegotiated.   GM got rid of as much liability aspossible, and implemented a “flatter horizontal management structure where individuals are accountable for decisions, and sales and service experts can better engage dealers and customers “(Luft, A.2010). A decentralized management approach is being implemented, with more responsibility and flexibility given to individual lower level managers. This has allowed GM to become more of a matrixorganization, where both functional and divisional organizational approaches are combined for a dynamic global management structure.  Allowing managers to make more important decisions at operational...