What Is the Microsoft Corporation's Organizational Structure?

by Shari Parsons Miller; Updated September 26, 2017
Group of Architects Planning on a New Project

Redmond, Wash.-based Microsoft Corporation announced an extensive reorganization of the company in July 2013. The new structure aligns the company under a single strategy, dubbed One Microsoft, which is intended to focus company-wide efforts and resources on products and services that offer the highest value to consumers and to the business.

Functional Structure

Prior to July 2013, Microsoft’s personnel and activities were configured around individual products. Under the One Microsoft strategy, the company is structured into nine key groups based on essential business functions. Each function spans all product lines. The main functional groups are Engineering (encompassing the Operating Systems, Devices and Studios, Applications and Services, and Cloud and Enterprise units), Dynamics, Advanced Strategy and Research, Marketing, Operations, Business Development and Evangelism, Finance, Human Resources and Legal and Corporate Affairs.

Corporate Governance

Microsoft's board of directors has 10 members as of publication, including company founder and technology adviser Bill Gates, CEO Satya Nadella, former CEO Steve Ballmer, and seven independent directors. The board oversees four committees: Audit, Compensation, Governance and Nominating and Regulatory and Public Policy. Nadella’s leadership team is made up of 12 executive vice presidents and a chief operating officer.

About the Author

Shari Parsons Miller has been a business writer since 1992. Her work has appeared in “Business Innovators-Internet & Computer Technology,” “Dallas Business Journal” and “Encyclopedia of Small Business.” Parsons Miller holds a Master of Arts in journalism from Cardiff University, Wales, U.K.

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