Phoenix MGT 526 Organizational Chart

MGT/526 v1

Wk 2 – Apply: Organizational Analysis

MGT/526 v1

Page 2 of 2

Wk 2 – Apply: Organizational Analysis

Instructions

Complete the worksheet based on your chosen organization. Use Business Source Complete and your selected company’s website, annual report, and other available sources.

Part 1: Organization Information

Organization

Northrop Grumman is one of the largest companies in the world today and it operates in the defense industry employee more than 90,000 employees. The organization is involved in areas such as aeronautics, defense, space, and cyberspace. The organization today has generated revenue of more than $30 billion annually. It is among the Fortune 500 companies and one of the largest companies in the United States. It is today a leader when it comes to defense such as the development of long-range missiles and bombers that can carry both conventional and nuclear weapons. The company works in partnership with several bodies such as NASA in the production of rocket boosters. In the defense industry, the company is a leader in the production of intercontinental ballistic missiles. There are several security services that it provides to independent companies as well as governments all over the world. The company is present in cyber, control, command, systems, solutions, products, logistics, as well as surveillance. Northrop Grumman has various segments such as Technology Services, Mission Systems, Aerospace Systems, and Innovation Systems.

The company operates in the defense and aerospace industries. This industry is a core part of the world economy. The company is in competition with several other companies that are in the industry together with those in international defense. the major competitors that it has are General Dynamics, Boeing, Allen Hamilton, Lockheed Martin, and BAE systems. There are several industry characteristics that can lead to either success or failure in the operations. In the industry today, there are fewer firms which are in intense competition with long operating cycles. The competition in the industry leads to intense bidding for the limited chances that are there. The few chances are rewarding and worth billions of dollars. There are several protests which arise during tendering. The nature of the competition and bids results to these organizations working together in partnerships when one wins the tenders. They come together temporarily when there are projects which require the extensive manpower and capacity. Companies end up working as subcontractors for each other. The peer companies are in intense competition all over the world since they are the main ones in the globe.

Mission and Vision

Mission	Our Corporate mission is to provide policy guidelines and strategic direction for the implementation and interpretation of the Federal government initiatives and public law mandates. In addition, we ensure consistent application of the prescribed Northrop Grumman initiatives, policies and procedures across the enterprise.
Vision	Our vision is to be the most trusted provider of systems and technologies that ensure the security and freedom of our nation and its allies. As the technology leader, we will define the future of defense - from undersea to outer space, and in cyberspace.

Organizational Initiatives

One of the organizational initiatives for the company is the Small Business Subcontracting Program. The initiative is designed to give the small businesses a practical chance to participate as team members and suppliers on various programs for the company. The potential suppliers are taken through a formal process whereby they are introduced to capabilities of Northrop Grumman. The process also enables the company to understand these potential suppliers to determine whether they are fit for the organizational. The small businesses are eventually given the chance to become subcontractors for the organization. The second initiative is the Small Business Innovation Research Program (SBIR). The SBIR is created to amplify the role of the small businesses in research and development which is funded by the federal government. The initiative ensures that there are collaborations in R&D with the small businesses in a partnership that is meant to improve research in the marketplace. The organization funds and provides technical support to all participants.

Organizational Plans

Type of Plan	Description	Type of Manager
Workforce development planning	The organization is working today to ensure that it has a high performance and diverse workforce. It aims at creation of a team of satisfied and loyal employees. The company is working towards ensuring that it is exceeding equal employment opportunity goals through having programs to bring more minorities on board and supporting their education.	Transformational manager
Product and services planning	The organization is working towards ensuring that it has a better product mix. The company is working towards making sure there are more services and goods compared to what the customers want. It is working towards having better designed products and discover ways of keeping the costs low and investing more in research and development.	Functional manager
Expansion plans	The management is making plans to grow its operations. The company is working towards having more small businesses on board to make sure that there is expansion of the range of subcontractors. There is also licensing so as to improve operations.	Visionary manager

SWOT Analysis

Internal Factors	Strengths Diversity in labor force. More than 30 years of experience. One of the largest defense contractors. Strong manufacturing capacity. Investment in research and development. Global presence. Weaknesses High human resources turnover. Limited customer base. Technological challenges. Insufficient manufacturing sites
External Factors	Opportunities Collaboration with small businesses. Research and development into new areas. New markets in developing countries. Training and collaboration with other companies. Strategic acquisitions. Threats Overregulation by governments. Terrorism Increasing cost of raw materials. Strong competition from more established companies. Harsh political climates. Cyber threats

Part 2: Evaluation

When looking at the SWOT analysis, there are several unmet needs present in the market. When looking at the products, there are markets in developing countries which are yet to be exploited by the organization. There is a chance to go to developing countries to escape from the harsh competition in the develop world. There are countries which can require the defense capabilities of the company. There can be delivery of the services through the small business’s partnerships. There is a competitive advantage that comes in because of its initiatives in partnering with the small businesses to increase capacity. There is a strength in the core partnerships which are there with other organizations to increase capacity and to improve research and development. One competitive business initiative is to partner with small businesses in the developing world so as to expand into these areas.

Timeline
Task	Period
Scouting for Small Business	12 months
Establishing contact	3 months
Investment in research and development	36 months
Partnership in manufacturing	36 months
Subcontracting	72 months

References

SWOT Analysis https://books.google.co.ke/books?id=JL9DE4P9GRAC&pg=PA163&dq=northrop+grumman+SWOt+analysis&hl=en&sa=X&ved=2ahUKEwjMwvbI2oTsAhUrBGMBHVOcDMgQ6AEwAXoECAAQAg#v=onepage&q=northrop%20grumman%20SWOt%20analysis&f=false

Shuai, X., & Chmura, C. (2018). Are social networks a double-edged sword? A

case study of defense contractors. Economic Development Quarterly, 32(3), 210-224.

Mahoney, C. W. (2019). Acquire or Expire: Publicly Traded Defense Contractors,

Financial Markets, and Consolidation in the US Defense Industry. Defense and Peace

Economics, 1-18.

Car, R. (2020). An Examination of the Financial Sensitivity of the Defense Industry to Spending Strategies of the United States Government.

Copyright 2020 by University of Phoenix. All rights reserved.

Copyright 2020 by University of Phoenix. All rights reserved.