Organisational Dilemmas And Decisions

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Organisational Dilemmas and decisions

Organisational Dilemmas and decisions

Company History

Schlumberger Limited is the world's largest oilfield services corporation with operations in approximately 80 countries. Currently based in Houston, Texas,[3] Schlumberger was founded in 1926 by French brothers Conrad and Marcel Schlumberger. The Schlumberger recorded the first-ever electrical resistivity well log in Merkwiller-Pechelbronn, France in 1927. Schlumberger now supplies the petroleum industry with services such as seismic acquisition and processing, formation evaluation, well testing and directional drilling, well cementing and stimulation, artificial lift, well completions and consulting, and software and information management. The Schlumberger is also involved in the groundwater extraction and carbon capture and storage industries. Schlumberger has roughly 77,000 employees of more than 140 nationalities.


Several organizational structures exist in the business world but which one is more effective and efficient? This question is faced by many business owners. 'Structure defines responsibilities, relationships and communication channels in an organization.' (Payne, 2007).The best way to determine which structure might work is by doing benchmarking analysis to see what other companies chose for their structure and why. 'Strategy needs to match structure if the organization is to achieve a competitive advantage. Structure affects an organizations internal communications and controls. Strategy is influenced heavily by culture' (Payne, 2007).

Schlumberger is a Schlumberger that produces a set of software technologies for connecting information, people, systems, and devices. After studying the website of Schlumberger I came to the conclusion that this Schlumberger uses a flat structure. Reading about Board Committees, I've learned that Schlumberger's Board has five committees an Antitrust Compliance Committee, an Audit Committee, a Compensation Committee, a Governance and Nominating Committee, and a Finance Committee, each of which is responsible for its group (division) companies activities, this helps me to conclude that this Schlumberger uses a flat structure and its decentralized. Decisions are made within the division and reported directly to Board of Directors.

This Schlumberger is a 'virtual' for several reasons. Some of the reasons are Schlumberger has offices world wide according to the Schlumberger Worldwide Home page. It has offices in more than 90 countries ( I counted) and its customers can place an order over the internet, phone and by fax ? in order for the Schlumberger to be able to provide such services, it must have a network of outside specialists that all are linked and able to communicate with each other. 'Organizations succeeding at virtual collaboration have designed appropriate business and knowledge processes, created thoughtful policies, and monitored process implications and outcomes. They understand the pace at which virtual collaboration is comfortably absorbed by the organization and have deployed the necessary infrastructure to support repeated successes' (Research and Markets, 2008). I believe Schlumberger has dual-authority structure. It offers variety family products, such as office, windows, servers, developer tools, games, etc. All these products are supported by different groups though they are able to connect and communicate to each other easily, in other words two ?boss employees of two different family groups might work together on a product to ...
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