Question

Structuring Global Coordination Many transnational firms use lateral steering groups as part of their global coordination. For this week's discussion, you are the HR director of such a transnational firm that has a manufacturing business divided into six major trades being established in India while the corporate headquarters is in San Diego, California. While there are many management design options available to you (i.e., internal boards, formal or informal, functional councils, product development committee, a regional board, or a single person that has vertical functional responsibility for the whole operation), discuss the challenges in using the Lateral Steering Group management design.

Select one of the four critical operational domains (resource utilization, global competence manager, global account manager, and alliance manager) that require lateral leadership, and explain how you will incorporate lateral steering into the transnational firm.

Answer 1

There Are given challenges can be faced for Lateral steering

1:Ego clash between top management.

2.Multiple level of approvals needed for the operation which will suffer the operations in delay process.

3.Internal politics can be started which is harmful in long term goals.

4.Delay in decision making for any action

5.More meetings require

6.More Funds require to manage all the top leaders.

Resource utilization domain needs lateral leadership because resource utilization is the biggest challenge for any firm resource can be anything like manpower,machine,method,material etc so utilizing the all resources in a efficient way is not an easy task so if we will have a Lateral leadership for resource management then cost of the operations will go down and more profit can be made through this.

Lateral Steering is important in a transnational firm because if there will be only one kind of people so the innovative ideas will die and if any firm wants to stay long in market they should adopt innovative ideas which will come from lateral steering.