The role of organisational structure in successful global brand management: A case study of the Pierre Smirnoff Company

Abstract

While articles and books have largely focused on the strategic issues around brands and branding, much less attention has been focused on the people who manage them, and in particular, the organisational structures within which they operate. This paper is a case study which explores the role of organisational structure in the global management of the Smirnoff brand, the world's number one brand of vodka. It is set against a background of an increasingly turbulent, global environment where one of the key responses has been to ‘downsize’ or delayer the management hierarchy. The research identifies a series of factors which have enabled Smirnoff to compete successfully in the global environment including strong leadership, a clear, global brand strategy and a relatively flat organisational structure that has allowed a ‘loose-tight’ dynamic to operate between the international regions and Head Office, London. A number of general points are drawn from the case study which have implications for other companies operating in a global environment.