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Aravind Eye Care System Retaining The Legacy Case Study Solution

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Aravind Eye Care System Retaining The Legacy Case Study Analysis

Background and Facts

Aravind Eye Care System Retaining The Legacy an office products store for tiny as well as average sized companies has recently been involved in preparing for a merging with its rival Residence Deport, which has actually affected effectiveness degrees in departmentswith the senior manager associated with lawful problems presented by the federal Profession Payment. With the Advertising and marketing Head putting forward the information of his departure from the company in one year, Jeannie Lewis, the current head of operations has actually been asked to take the duty in the near future. With difficulties in the kind of a prospective cultural change and low worker spirits, the organization is in need of a full reengineering effort at the advertising and marketing department.

Issue Statement

The possible cultural modification at the marketing department of Aravind Eye Care System Retaining The Legacy is increasing uncertainty in the working environment causing numerous challenges for the Jeannie Lewis that would be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant duty in affecting tactical choices considering that Stapes Inc. needed to desert its plans of combining with Office Deport after the Federal Trade Compensation's treatment at the same time. Given the truth that the store has a worldwide presence with branches in UK, UNITED STATES, Canada as well as Germany, political factors in each of these nations may have the ability to impact performance or critical goals. Federal Profession Payment's antitrust fit versus the merging used up important time of the organization's senior management suggesting that 'political' factors can have significant effects for an international business.

Economic Factors: Financial factors such as the development of small companies in the worldwide circumstance suggest that Aravind Eye Care System Retaining The Legacy is prospering in a setting where there is prospective growth of companies. Along with this, reality that shop consumers are mainly seeking office products for home offices suggests that the market has an increasing fad of business owners as well as home based services.

Social factors: Social fads in the economic situation reveal that customers are seeking comfort in addition to eye-catching prices. Marketing research demonstrates how the client for Aravind Eye Care System Retaining The Legacy does not have recognition regarding locating remedies which can use a combination of comfort and also low costs.

Technological factors: Technology plays a crucial duty in Aravind Eye Care System Retaining The Legacy's organisation approach especially as the organization is piloting Modern technology facilities which would certainly use technology sales as well as support in the type of memory upgrades, peripheral installments. (Recap of BUG in appendix 2).

OB Issues as well as Effects.

A number of underlying Business Behavior issues can be seen in Aravind Eye Care System Retaining The Legacy's case as highlighted in this section.

Worries regarding cultural change: There is concern regarding a social modification that would certainly happen once Todd Krasnow leaves from his placement as the Executive Vice Head Of State of Advertising And Marketing with the majority of the team member already showing unhappiness over this prospective step. This anticipated adjustment has actually produced stress and anxiety in the work environment which has actually been paired with the previous tension of preparing the company for a prospective merging with House Deport.

Demanding Work Environment for Newcomers: There is shortage of personnel that can match the demanding environment of a hectic organization. Not only does this result in difficulty in finding the appropriate individuals, it puts tension on new hires as can not hold up against the rate as well as stress that the organization anticipates them to bear.

Dual Coverage Lines: Beginners locate this business society troublesome and challenging to handle particularly as populated line connections are implied to be weaker generally as well as objective setup as well as efficiency evaluation is still done by the solid line manager. This means that newbies might lose clarity concerning their particular roles and also purposes especially as dotted line reporting does not maintain them in straight interaction with the solid line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower rather than Bridget Coles despite the fact that it had actually been guessed that the latter would certainly take Krasnow's setting came as a blow to her morale. Lewis might have been qualified as well as appropriate for the work yet the reality that Kransnow's separation would certainly make Coles a straight report to Lewis might have been the reason for Coles' resignation from solutions.

Anxiety & Work Insecurity: Anxiety as well as insecurity can be identified as 2 major worries that Lewis would be taking care of specifically as the merger has now be cancelled and two senior executives of the marketing department would certainly be leaving. The entire duty of the division would be falling on Lewis's shoulders who would certainly not just be in charge of brining concerning a social adjustment yet would certainly additionally need to confirm herself in her new role.

Incompatible Management Design of Leader: Lewis's administration design and also its conflict with the marketing division's role can likewise be seen as an OB challenge especially as she has actually been utilized to managing issues in the procedures division where workers are educated to concentrate on procedures and get them. The advertising and marketing department on the various other hand can be viewed as a team of people that are utilized to being supported by Krasnow who concentrated a lot more on result than procedures.

Interdepartmental Arguments: Interdepartmental disagreements in between 3 departments, marketing, merchandizing and operations respectively over the appropriation of the advertising and marketing mix can be recognized as one more OB worry. Although the advertising department does not share the very same vision as the various other 2 departments regarding the aloocation of the marketing mix twoards promos and also advertsing, the merchandizing and also operations departments do not concur over the marketing mix allowance amongst each other either.

Fragmentation in Marketing Division: Disintegration between the advertising and marketing departments can be determined as one more OB problem which might need more focus. The truth that the marketing and advertising sections in the marketing division are detached is stopping both departments from obtaining from each various other's experience as well as proficiency. Integration of marketing with retailing and procedures would certainly come to be more difficult if the advertising division itself is degenerated which can be an additional prospective OB issue.

Aravind Eye Care System Retaining The Legacy Analysis

Various theories have been used to describe the conditions to obtain more quality regarding the situation available.

McGregor's Concept X & Y: According to Douglas McGregor's Theory X, the majority of managers think that subordinates are passive and careless, have little passion as well as withstand adjustment. The difficult variation of this concept stressed threat, limited controls, threats and punishments. Gradually it generates reduced productivity, refined sabotage and also competition (Offer, 2003). Although the circumstance at Aravind Eye Care System Retaining The Legacy is not entirely following Theory X, it can be seen that new hires are discovering this setting instead demanding which might ultimately cause a better inclination of the management in the direction of Theory X. Based on McGregor's advocated view, which he called Theory Y, the vital job of the management is to arrange organizational conditions so that individuals can accomplish their very own goals best by routing their initiatives towards business rewards. If people find no contentment in their work, the management would have little option however to rely upon theory X and external control (Bargain, 2003). Even while assessing Lewis's management design, theory X might have appropriated in the procedures department to some extent however the Advertising and marketing division would require dependence on Concept Y so as to get the imagination and also originality from the teams.

Tuckman's Synergy Theory: Regarding Lewis's problem about bringing consistency between the marketing and advertising division is concerned, this would originally bring about clash as talked about by Bruce Tuckman in his 'Synergy Theory'. (Tuckman, 1965). As per Tuckman's theory received appendix 3, during the initial phase of team growth, people might not bond, as they are hectic finding their location in the team. By integrating the advertising and marketing division's work, there might be the same preliminary disconnect which might lead to the second phase of 'storming' where the teams challenge one another. It is just throughout the 3rd phase or 'norming' when they would come with each other to share suggestions before the team can bring around synergy in the fourth phase 'executing'.

Bridges' Transition Design: According To William Bridge's theory (appendix 4), people are fairly awkward with modification, which is apparent by the circumstance at Aravind Eye Care System Retaining The Legacy The scenario can be seen as a normal course of life if is studied based on Bridge's concept where he describes that individuals experience 3 stages of transition when they experience change. 'Closing, shedding and also Releasing', The Neutral Area and also 'The New Beginning' (Bridges, 2004). When individuals exist with adjustment, they get in phase one and so there may be feelings like sadness, unpredictability, frustration, rage, anxiety, denial and disorientation.The scenario at the advertising division of Aravind Eye Care System Retaining The Legacy is comparable so Lewis can get comfortable with the concept that it is not amazing habits. In the second phase, there might be a demand to link the gap in between the brand-new and old culture so Lewis may need to encounter this challenge when Krasnow leaves. There may be reduced morale as well as reduced performance at this stage which must not be taken as a trouble. It is during this stage that Lewis will have to provide guidance to the department to make sure that they can discover a sense of direction. It can be seen exactly how Krasnow has actually currently made this change easier by making Lewis get associated with the department a year before his real separation. According to Bridges' Model, phase 3 will produce openness to learning, High energy and also dedication as individuals will certainly accept the adjustment (Bridges, 2004).

Maslow's Need power structure: The OB problem pertaining to instability at the workplace has actually been caused first of all by the modification in monitoring as well as secondly by the reality that the merger will certainly no more be started. Abraham Maslow in his Theory of 'Requirements Power structure' (appendix 5) has talks about the relevance of 'safety and security needs as being a lower level need of a human for causing motivation. As seen in the pyramid cooperated appendix 3, we can see how 'the need to feel safe and also out of danger' is at the 2nd degree of needs. Prior to a worker can be made to create mentally, he requires to have his 'Physical 'and also 'Safety and security' needs met. This suggests that unless the employees are made to really feel protected concerning their existing work condition in Aravind Eye Care System Retaining The Legacy they might not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Aravind Eye Care System Retaining The Legacy Case Study



Implication of Analysis.

The OB analysis has actually looked at numerous concepts to recognize exactly how to handle the existing circumstance at hand. The complying with 3 alternatives have been recommended to assist Lewis manage the organizational difficulties in the marketing department. Each of these choices has been suggested for easing the transition needed to bring the advertising and marketing division in accordance with the requirements of the marketplace and for making the cultural change that would certainly adhere to when the present leader leaves.

Integration of advertising and marketing functions. Separating Adverting as well as Production functions. Assimilation of Marketing with Procedures.

Examination of Alternatives.

Judith Shapiro who has earlier been spoken with by Lewis throughout the earlier merger days has proficiency in business-to-business advertising and marketing along with firm and also retail advertising experience. When Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising and marketing to handle both marketing and marketing functions.

The advantage of this method is that it will certainly integrate the two functions while decreasing the need for working with an extra resource for advertising. In addition to this, Lewis would be heading the marketing division as well as all the same her substitute would be needed for the existing role that she is executing. The downside of this alternative is that exterior hiring might produce resentment from inner personnel that might be eying the placement of EVP after Lewis takes over Krasnow's position.

Separating Adverting and Manufacturing: Given the competitive stress as well as high quality job called for from the advertising agency, it is advised that Lewis must permit the production unit to be a separate feature from the marketing unit. Because a lot of ad agency had these two features as different units, it makes even more feeling to adhere to the standard. In addition to this, both features may have the ability to focus on their core activates much more effectively. Nonetheless, the negative aspect of this method would be that extra costs would certainly have to be birthed for setting up different production features. In addition to this, a manufacturing head might need to be worked with which might boost expenses for the company.

Assimilation of Advertising with Workflows: Since Lewis is currently dealing with the advertising and marketing as well as procedures divisions concurrently; it makes good sense to incorporate both functions considering that she has been successfully dealing with both ends. The reality that the two divisions currently have significant differences over allocation of resources recommends that this integration might be able to cause consistency particularly as Lewis would be heading both ends.However there are numerous disadvantages of this step specifically as it would put excessive worry over Lewis's shoulders. The truth that Lewis has to adjust her management design for the advertising and marketing department suggests that these 2 divisions would certainly be culturally diverse. Lewis might not be able to apply one kind of leadership design to both departments which could result in ineffectiveness in either one of the 2 functions.

Suggestion.



An assessment of the 3 choices shows that integration of marketing and operations would certainly not be a practical step due to the large differences in between the two divisions in spite of the reality that currently Lewis is taking care of both. While separation of the production feature might have been a desirable action for the advertising and marketing division, the fact that it would suggest putting a third feature under Lewis's wing means this should be stayed clear of.

Action Strategy.

Lewis will take control of the duty of EVP Marketing after Krasnow leaves.

Advertising and Marketing features would be combined.

Judith Shapiro will be employed to take Lewis's area as SVP of marketing and advertising.

Manufacturing feature will certainly continue to be part of advertising under marketing feature.

Lewis will separate herself from operations.

A democratic management design with employee empowerment will be utilized in marketing division.

Open door policy as well as focus on cross department communication will certainly be focused on getting rid of dissonance.

Backup strategy.

If the assimilation does not work out as planned, a backup plan would follow which would certainly separate the production function from the advertising and marketing feature to lower the lots on the SVP of marketing and advertising. In case Judith Shapiro does not obtain employed, Lewis will be heading the advertising division without an SVP. Because case the production feature will definitely be separated by positioning it under an SVP manufacturing.