Analysis of Aquarius Company’s Problems

A new organizational structure that takes into consideration the contextual variables in the case and the information flows is the divisional structure. This structure is suited to fast change in an unstable environment and provides high product or service visibility. A major problem that occurs in Aquarius is that each client account is coordinated by an account executive who acts as a liaison between the client and various specialists. Unfortunately this isn’t followed because sometimes the account executives don’t even know what is going on until a week later.

The divisional structure leads to customer satisfaction because product responsibility and contact points are clear. This in turn involves high coordination across functions which will make everyone check with the executive first to get approval before contacting the client. Coordination across functions will allow their services to adapt to the requirements of the individual clients and perform beyond their expectations. This structure would allow Aquarius to achieve their goals while increasing their organizational culture as a whole and being able to adapt more quickly to this unstable environment.

In my opinion I believe that a balanced matrix structure would be hard to implement and maintain. This is due to the fact that account executives as one side of the authority structure would often dominate over the specialists. In order for the account executive to do their job correctly they need everyone on their side and in coordination to run important information by them first.

Perhaps a better alternative would be a product matrix where the executives have primary authority and the specialists assign technical personal to the projects and provide advisory expertise as needed. With dual authority I feel that it would be frustrating and confusing for everyone, there needs to be a clear contact points. There would always be a need for frequent meetings to resolve any conflicts between the different authorities, it would simply just require to great of an effort to maintain the power balance.