Moore XL System For Today Leaders Case Study

The evolution of Cisco from a university campus networking solution to a global technology leader has been a dynamic process. The speed of technological innovation means that managers are already talking about the “next new thing” during the launch of each new product or service. Parallel with the rapid technological evolution at Cisco are the changes in organizational structure. As Cisco expanded, visionary John Chambers was brought in as CEO, and he expanded the company into advanced technologies. By 2000, Cisco had attained a brief designation as the world’s most valuable company. Will the evolution of Cisco continue? And if so, what will it look like? Company history indicates that, just as a quick response is needed in the rapid evolution technology products and services, the company must remain aware of structural changes needed within the organization to maintain its leadership position.

  1. Discuss the organizational structure at Cisco Systems.
  2. What design changes were needed?
  3. How did globalization affect Cisco’s structure?
  4. How has Cisco’s structure continued to evolve?

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Sample Answer

 

 

Cisco’s organizational structure has evolved over time to meet the needs of the company as it has grown and expanded. In the early days, Cisco was a small, entrepreneurial company with a flat organizational structure. This allowed for quick decision-making and a close-knit culture.

As Cisco grew, it adopted a more hierarchical organizational structure. This gave the company the ability to manage its increasing size and complexity. However, this structure also made it more difficult for Cisco to innovate and respond quickly to change.

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In the late 1990s, Cisco began to adopt a more decentralized organizational structure. This gave business units more autonomy and allowed them to focus on their specific markets. This structure helped Cisco to maintain its innovative edge and to continue to grow.

In recent years, Cisco has adopted a more globalized organizational structure. This has allowed Cisco to better serve its customers around the world. The company has also adopted a more customer-centric approach to its business.

Here are some of the design changes that Cisco has made to its organizational structure over time:

  • Flattening the organizational structure: In the early days, Cisco had a tall organizational structure with many layers of management. This made it difficult for the company to make quick decisions and to respond to change. In the late 1990s, Cisco began to flatten its organizational structure, which gave the company more agility and responsiveness.
  • Decentralizing decision-making: Cisco has also decentralized decision-making, giving business units more autonomy. This has allowed Cisco to be more responsive to the needs of its customers and to innovate more quickly.
  • Empowering employees: Cisco has empowered its employees to make decisions and to take initiative. This has created a more innovative and entrepreneurial culture at Cisco.
  • Focusing on customers: Cisco has shifted its focus from products to customers. This has helped Cisco to better understand the needs of its customers and to deliver solutions that meet those needs.

Globalization has had a significant impact on Cisco’s organizational structure. In order to better serve its customers around the world, Cisco has had to establish a global presence. This has required Cisco to adopt a more decentralized organizational structure and to give its business units more autonomy. Cisco has also had to invest in cross-cultural training for its employees.

Cisco’s organizational structure has continued to evolve in recent years. The company has continued to flatten its organizational structure and to decentralize decision-making. Cisco has also continued to focus on customers and to invest in cross-cultural training.

The evolution of Cisco’s organizational structure is a reflection of the company’s commitment to innovation and customer service. Cisco has been able to maintain its leadership position in the networking industry by constantly adapting its organizational structure to meet the needs of the business.

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