7-Eleven is a multinational chain of convenience stores operating as a franchise. The company, headquartered in Japan, currently operates more than 39,000 stores in 16 countries (7-11.com, 2012). The success of the company can be attributed to its matrix organization structure (The times100, 2012). The company operates under a highly decentralized matrix management structure that suits its numerous operations. At the helm of its management structure is a and a board of 9 directors and a chairman. The auditing office is answerable to the board and is an oversight body to the running of the company. The company president is responsible for the day-day running of the company.
Below the board, are seven senior vice presidents who manage departments. These are: Food and beverage related business, Marketing, The president’s office, Retail operations in China, Chain Store related businesses, Operations and Vertical business in Taiwan. Below the Senior Vice Presidents are four Vice Presidents. The vice presidents manage the Resources Integration Group, Public Affairs Group, Internal Audit Office and the Public Affairs Group. Below the vice presidents are the country directors responsible for overseeing the franchise operations within individual countries.
The country directors are assisted by departmental directors who head specific product lines such as coffee, dairy products, beverages, sandwiches, gasoline and prepared foods. The country directors run the Combined Distribution Centers (CDCs) and issue franchise licenses to entrepreneurs (franchisers). Owing to its diversified involvements, the management structure of 7-Eleven allows for outsourcing to allow for the provision of specific gods and services. The company structure can therefore be summed up as a matrix structure where various teams champion the company’s business course on various fronts ranging from beverages and sandwiches to gasoline. The full organizational chart for 7-leven is shown below.
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References
7-11.com (2012). Organizarional structure. Retrieved from
http://www.7-11.com.tw/company/about/download/E/E_20.pdf
The times 100 (2012). Organisation and management structures
http://businesscasestudies.co.uk/business-theory/people/organisation-and-management-
structures.html
