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Organizational Design For Small Businesses Research Paper

Examples of these start-ups include the literally hundreds of process outsourcing companies throughout the BRIC nations that have specialized in Sarbanes-Oxley (SOX) compliance initiatives. These start-ups are taking a very process-centric view to innovation. Their ability to tailor financial systems in companies to be in compliance to government requirements is their greatest strength. The resources necessary to accomplish this require a centralized workforce of well-educated solution architectures and process improvement expertise, most often with Six Sigma quality management experience. This type of skill set is prevalent in the manufacturing-centric regions of China and India, albeit expensive compared to the typical wage levels in these nations. Because of the value of process-centric knowledge, start-ups who concentrate on process-centric innovation often build practices or teams of experts with deep expertise, and often create career paths for junior associates that put them onsite at customers. An example of this would be the growth of business process Indian outsourcers including Infosys, HCL and others who have their Sarbanes-Oxley practice located in India, and send their analysts to the U.S., Europe or Asia to work on-site with clients for weeks or months to get the process re-engineering complete. This is a resource-based strategy to creating a practice-based organization that can assist in creating more immediate value at the customer site (Morris, Kuratko, Allen, Ireland, Schindehutte, 2010). When product-based innovation is the basis of a new venture, the organizational structure is more oriented towards the sales function, less to a highly structured production organization (Wonglimpiyarat, 2010). Product-driven new ventures...

The net effect is that the organizational structure moves in the direction of customer and market segmentation first, and over time transitions to a functional structure.
References

Bessant, J. And Tidd, J. (2007), Innovation and Entrepreneurship, John Wiley & Sons.

Dushnitsky, G., & Shapira, Z.. (2010). Entrepreneurial finance meets organizational reality: comparing investment practices and performance of corporate and independent venture capitalists. Strategic Management Journal, 31(9), 990.

Joseph P. Eshun Jr. (2009). Business incubation as strategy. Business Strategy Series, 10(3), 156-166.

Chien-Huang Lin, Ching-Huai Peng, & Danny T. Kao. (2008). The innovativeness effect of market orientation and learning orientation on business performance. International Journal of Manpower, 29(8), 752-772.

Khaire, M.. (2010). Young and No Money? Never Mind: The Material Impact of Social Resources on New Venture Growth. Organization Science, 21(1), 168-185,306.

Manolova, T., Manev, I., & Gyoshev, B.. (2010). In good company: The role of personal and interfirm networks for new-venture internationalization in a transition economy. Journal of World Business, 45(3), 257.

Morris, M., Kuratko, D., Allen, J., Ireland, R., & Schindehutte, M.. (2010). Resource Acceleration: Extending Resource-Based Theory in Entrepreneurial Ventures. Journal of Applied Management and Entrepreneurship, 15(2), 4-25.

Wonglimpiyarat, J.. (2010). Commercialization strategies of…

Sources used in this document:
References

Bessant, J. And Tidd, J. (2007), Innovation and Entrepreneurship, John Wiley & Sons.

Dushnitsky, G., & Shapira, Z.. (2010). Entrepreneurial finance meets organizational reality: comparing investment practices and performance of corporate and independent venture capitalists. Strategic Management Journal, 31(9), 990.

Joseph P. Eshun Jr. (2009). Business incubation as strategy. Business Strategy Series, 10(3), 156-166.

Chien-Huang Lin, Ching-Huai Peng, & Danny T. Kao. (2008). The innovativeness effect of market orientation and learning orientation on business performance. International Journal of Manpower, 29(8), 752-772.
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