Deployment of a divisional structure in Germany after World War II

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In this paper, we consider the deployment of divisional structures using case studies of typical corporations from major industies, and examine the impact and role of US corporations and consulting firms in order to understand German characteristics of management organization structure. We will explore these deployments based on their relationship to the traditional attributes of German business management. Regarding various factors in which Germany differed from the US, circumstances behind decentralization, delegating authority to divisions, correlating general manager compensation to division results, and Germany's traditions of collegiate management and the board-majority system were important. This paper examine the deployment of a divisional structure after World War II through the early 1970s in relation to changes in business strategies, management systems and practices, and managers' traditional attitudes.
2013-03-00