The technology appears well supported and aligned with the structure. The production
process is craft based and deliberately ambiguous. The functional structure
promotes specialization and professionalization of skills and knowledge. Specific tasks
that require flexibility and adaptability from the organization are given a wide berth.
Although a divisional structure overlays Steinway’s corporate activities, the piano
division’s structure is functional but not rigid, and there appears to be a cultural willingness
to be responsive to the craft and the artists they serve. In addition, the concert
bank program is important for two reasons. First, it builds loyalty into the customer
and ensures future demand. Second, it is a natural source of feedback on the instruments
themselves, keeping the organization close to the artist’s demands and emerging
trends in sound preferences. Finally, the well-developed human resources system supports
the responsive production and marketing functions as well as the global nature
of the enterprise.