Discussion on the organization structure of Carl Ziess China medical division


Carl Ziess China medical devision now applies such an organization structure:

                    General Sales manager                           general marketing manager

product1       product1 sales manager                             product 1 marketing manager

product2       product2sales manager                             product 2 marketing manager

product3       product3sales manager                             product 3 marketing manager

....

Carl Ziess medical devision has a variety of product lines from high value laser treatment products which worths $600000 to low value optic lens, and different product lines targets non-related clincial departments such as ophthalmic department, opthopeadic department, pathology department , etc. The only common resouce for all the product lines is the brand, but this is a very populated brand because Carl Ziess provide lens to  digital camera venders like Sony, so actually there's no necessary need for general marketing to the medical industry. What matters is sales.

For the high-value lazer equipment, potential market in China is only 50-100 set/year, so the only important thing to do is sales. This need superb sales team who has experience in high-value equipment sales.  And because the sales team only sells 2 types of products, they can and should grasp all the product knowledges , so it's unnecessary to employ a sales support team.

For the low-value products, what matters is good channel structure plus good price structure which brings high margin for the dealers.Also sales should dedicate to the product and needless for sales-support team. There should be some marketing work such as attending the medical equipment exhibitions nationally and provincially.

If with current organziation structure, both general sales manager and general marketing manager should look after all diferent target markets,  this will make them confused and efficientless to make decision. And, the sales manager and marketing manager for the same product line have to report to 2 different bosses, which makes them difficult to cooperate, but easy to combat with each other. Thirdly, this organization structure sets many unnecessary positions in marketing which increases cost and lower-down organization efficiency.

Thus, in conclusion, Carl-Ziess China meidical devision should have a BU-based organization structure:

 BU 1(high value product,department1)  BU manager, regional sales manager, application team

BU2(middle value product,deparment 2)  BU manager, BU sales manager, BU marketing manager

BU3(middle value product,deparment 3)  BU manager, BU sales manager, BU marketing manager

BU4(low value product,deparment 4)  BU manager, BU sales manager, BU marketing manager

...

[email protected]