Dejouanys Strategy over CGE Essay Example | Topics and Well Written Essays - 1000 words - 1

Dejouanys Strategy over CGE - Essay ExampleDejouanys management call was not so highly decentralized that it allowed decision making at lower levels. Rather it follows the multi stratumal structure, where the division of labor is created between the top managers and division managers, such that it is the division managers who focus on the operational inside information of the functional departments, while the top managers are able to concentrate on strategic decisions and long-range planning.(Vivendi).Dejouany selected case people who were well versed in the developing opportunities in a particular area of business, put change into those cash-strapped businesses in order that the Company could benefit overall from the potentials inherent in those markets.In engage his goals of diversification of CGE from a primarily water-based business into a diversified entity which dealt with real estate and health fright among other businesses, Dejouany followed the internal capital market model of diversification. The diversification of CGI was undertaken in order to make practise of the internal capital market. Since CGE was a cash-rich business, with vast cash resources accruing from its monopoly in the water business, it was able to enter into the assorted type of agreements with cash-strapped businesses for mutual benefit. One kind of agreement the Company entered into were agreements where it did not have to invest cash but merely managed the assets of municipalities water supplies.