Caselet Code : CLSDM008
Publication date : 2005
Subject : Sales and Distribution Management
Industry : Telecom
Length :
 4 Pages
Price :  Rs. 100 (Detailed Pricing Info)

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Abstract

The caselet discusses the organizational changes made by Nokia in the wake of competition in 2002 and the impact on its business. It also discusses the organizational restructuring made in 2003 and gives a brief description of new business units formed as a result of restructuring. Finally, it gives an insight into the possible benefits for Nokia from the new organizational structure.

Issues:

» Restructuring as a tool for growth
» Importance of flexibility in organization structure
 
Key words:

Nokia, Mobile Phones, Multimedia, Mobility, Logistics, Technology, Horizontal Functions, Restructuring, Folding Models.

Questions for Discussion:

1. Nokia divided its mobile phone business into nine units in 2002. Again in 2003, the top management announced a restructuring of the organization. Discuss the reasons that led to restructuring Nokia's organizational structure in 2003.

2. "With our flexibility and the new structure we are truly in the best position to bring the benefits of mobility to everyone and to take the opportunity of the next growth wave in this industry." Mention the benefits that Nokia expected to derive by restructuring its organization.