Nokia ursprünglich ein finnischer Holzstoffhersteller, der sich zu einem Mischkonzern und ab den 1970er Jahren zu einem Telekommunikationsunternehmen wandelte galt ab Anfang der 1990er bis Mitte der 2010er Jahre als weltweit bedeutender Mobiltelefonhersteller und war von 1998 bis 2011 Marktführer in dieser Branche. You are free to use it for research and reference purposes in order to write your own paper; however, you must. Figure 1 – … Nokia’s organizational structure is horizontal and it allows for greater flexibility and speedy communication channels between different departments. With the current success in the international markets, Nokia should be thinking of a brand extension approach: brand extension is a marketing tool used to market products using the strength of an existing brand. The reduction in total revenues during the year 2009 was because the brunt of the crisis or the lowest point of the crisis was considered to be the third and fourth quarters of 2009. The operations of Nokia are managed under the direction of the Board. Nokia’s direct and major competitors include Motorola Inc, Cisco Systems Inc, Research in Motion, LM Ericsson Telephone Co., and QUALCOMM Inc. The large number of staffs at Nokia and different management and supervisory levels offers Nokia a tall organizational structure. As strategic tool, Nokia have realized the need to have an effectively managed human capital; a company requires both physical and human resources for its operations; human resources are the greatest asset that an organization can have; without it, no business transaction can take place. professional specifically for you? Describes the source of the risk of damage or injury. The other significant department is Markets which acts like a supply chain department for Nokia. No plagiarism, guaranteed! Purpose. IvyPanda. As of October 1, 2009 the organizational structure at Nokia was extremely mobile and flexible. The company uses derivative financial instruments such as foreign exchange options and forward foreign exchange contracts to manage hedging and reduce the exposure. The SWOT of Nokia discusses the strengths, weaknesses, opportunities and threats of Nokia which is one of the leading mobile handset manufacturer in the industry. The recent financial crisis which was coupled with economic downturn as well saw most industries and companies experiencing reduced profits or even losses. This is because countries such as India and China are experiencing large demand for mobile phones due to the rapid growth and development of infrastructure especially network infrastructure. December 6, 2019. https://ivypanda.com/essays/nokia-organizational-structure/. IvyPanda. 2007 was considered one of the best years in Nokia’s history not only did the stock do well but the company’s other major indicators were in green as well. Taylor, G.(2008). New York: Ross Publishing. Responsible for the operative management of Nokia. They came up with a smart devices division, mobile phones division, markets division and functional groups. It reported annual revenues of around €12.73 billion by conducting sales in more than 151 countries. The last day of trading of these SDRs was June 1, 2007. Safety message. Hazard type. Journal of Marketing, 72(2), 63-79. For the year 2010 Nokia expects its mobile device market share to be flat compared to 2009, a similar sort of expectation also exists for Nokia and Nokia Siemens Networks as the venture sees a minimal increase in euro terms for the mobile and the fixed infrastructure services market. Safety symbol. National culture learned very early stage of life and held deep insight every human being and changed very slowly over the period of time. The way authority and responsibility is organized at Nokia it shows that the company is exemplary in its approach towards corporate governance. Finally, the last major division is NAVTEQ; this unit is a provider of detailed navigational maps and digital map data automobile navigation systems, navigation systems for mobile devices, internet mapping applications and mapping solutions to government and other businesses. The new products are likely to b ea driving force for the company; Apple Inc. with the invention and invention of IPods and I-phones the company was able to control a niche market; a diversion from its main line of business that was desktops and computer software development. Neither the business group nor the horizontal department work independent, however they are interdependent with each other, the following chart shows the companies organizational culture: Each manager or departmental head is responsible for his area and is expected to work for the good of the entire firm. The Nokia Company is today one of the world’s leading high tech companies. As of October 1, 2009 the organizational structure at Nokia was extremely mobile and flexible. Nokia has businesses all over the world; this global presence means that assets and sales, liabilities and loans taken or completed in different parts of the world may be higher or lower in value when translated into the Euro or any home base currency. According to sources (Nokia, 2014) Nokia has been distributing dividends till the fiscal year 2011 NOK-US paid a high quality dividend, which represents a yield of 16.4% at the current price. Indicates the potential for personal injury (optional) 2. The org chart of Nokia contains its 200 main executives including Pekka Lundmark, Marco Wirén and Tommi Uitto. Though this cost is offset by the point that today’s financial markets are so dependent on each other that market risks are almost similar in virtually all countries and their stock markets. Overall companies are suggested to find an optimum equity and liability combination by working out the WACC at different levels. Organisation Structure Of Nokia Company. Our Group Leadership team is responsible for the operative management of Nokia. The 10 markets from which Nokia generated the highest amounts of sales revenues are listed below in decreasing order; with the highest written first and lowest stated last: China, India, the UK, Germany, the United States, Russia, Indonesia, Spain, Brazil and Italy; when combined these markets provided 52% of the total sales in 2009. Info: 3366 words (13 pages) Essay • It has introduced various innovative measures in its people process that helped achieve a positive employer image, create a platform for growth and development. The company faces stiff competition in the business oriented mobile phone market from RIM’s Blackberry series. *You can also browse our support articles here >. Nokia Corporation’s shares are listed on the following stock markets: NASDAQ OMX, (Helsinki), Frankfurter, and New York Stock Exchange. “Nokia-Connecting People”: this slogan is known all over the world. As demonstrated by Nokia, restructuring won’t cure an organization’s ills when approached from the same mindset that created the current problems. What is evident here is that consistently the Nokia stock has out performed the S&P 500 for most of the time period under discussion. Nokia Weakness. Organizational theory emphasizes that every organization has potential to become competitive in its industry if it organizes the assets, both physical and intangible, that it has. (2006). Nokia Mobile Phones had not been able to develop it’s organizational structures, management systems and competencies to cope with the growth they were going through.