| Abstract | According to a government decision, J/V Vietsovpetro and its subsidiaries including ME
Division will be transforming into Limited Liability Company under Vietnamese Business
Law. Besides, ME Division shall expand its activities by providing services for other
companies outside Vietsovpetro to compensate shortage of income due to deduction of crude
oil production.
Based on reviewing the literature on concepts of organizational transformation change, the
definition, characteristics and problem in design and implementation of organizational
structure change are defining. This study gives an overview of ME Division including
company background, structure, corporate strategy, business strategy, initial organizational
structure change plan. In addition, the organizational structure of ME Division is analyzing. A
comparison of various organization structures has conducted. This study explains why
changing the ME Division to a market-oriented company is the best way to follow for the
company. Moreover, a suitable organization structure is designing for that purpose.
With an expanded market and a respective organization structure, the ME Division can, on the
one hand, exploit the effects of economy of scale and on the other hand, achieve maximum
efficiency in responding to market changes. Consequently, the company can create more jobs
and has good revenue and profit. Employees will be satisfied. The Company will successfully
shift to sustainable growth and business. |