Dodlas Dilemma Case Study Solution


Home >> Chicago Booth >> Dodlas Dilemma >>

Dodlas Dilemma Case Study Solution

Background and Facts

Dodlas Dilemma an office products merchant for tiny and also average sized organisations has recently been involved in preparing for a merger with its competitor House Deport, which has affected performance levels in departmentswith the senior supervisor involved in lawful difficulties presented by the federal Trade Compensation. With the Advertising and marketing Head advancing the information of his separation from the business in one year, Jeannie Lewis, the current head of operations has been asked to take the function in the future. With difficulties in the kind of a prospective cultural change as well as low employee morale, the company needs a complete reengineering initiative at the advertising department.

Trouble Declaration

The potential cultural change at the advertising and marketing division of Dodlas Dilemma is increasing unpredictability in the working environment causing different obstacles 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 role in affecting tactical choices because Stapes Inc. had to abandon its strategies of merging with Workplace Deport after the Federal Profession Compensation's treatment at the same time. Given the truth that the shop has a worldwide presence with branches in UK, UNITED STATES, Canada as well as Germany, political factors in each of these countries may be able to influence efficiency or tactical goals. Federal Trade Payment's antitrust suit against the merging occupied useful time of the organization's senior administration recommending that 'political' factors can have severe implications for an international company.

Economic Factors: Financial factors such as the emergence of local business in the international circumstance recommend that Dodlas Dilemma is prospering in a setting where there is possible development of businesses. Truth that shop customers are mostly looking for office supplies for residence workplaces recommends that the market has a climbing pattern of business owners as well as home based services.

Social factors: Social trends in the economic situation show that customers are looking for comfort along with appealing rates. Market research shows how the client for Dodlas Dilemma lacks recognition regarding finding remedies which can use a mix of convenience as well as inexpensive.

Technological factors: Innovation plays a crucial duty in Dodlas Dilemma's service strategy particularly as the organization is piloting Innovation centers which would certainly supply technology sales and assistance in the form of memory upgrades, peripheral installments. (Summary of PARASITE in appendix 2).

OB Issues and Manifestations.

Numerous underlying Business Behavior concerns can be seen in Dodlas Dilemma's case as highlighted in this area.

Worries concerning social change: There is concern regarding a social adjustment that would certainly occur when Todd Krasnow leaves from his placement as the Executive Vice President of Advertising with the majority of the team member already revealing discontent over this prospective step. This expected change has created anxiety in the work environment which has actually been combined with the past stress of preparing the firm for a potential merging with Residence Deport.

Demanding Task Atmosphere for Newcomers: There is lack of employees that can match the difficult atmosphere of a fast-paced organization. Not only does this lead to trouble in finding the best people, it puts anxiety on new hires as can not withstand the rate as well as pressure that the company expects them to birth.

Twin Coverage Lines: Novices find this business culture cumbersome and also tough to handle especially as dotted line partnerships are implied to be weaker as a whole and objective setting and also performance examination is still done by the strong line supervisor. This implies that newbies can lose quality regarding their respective roles as well as objectives specifically as dotted line reporting does not keep them in direct interaction with the solid line managers.

Resentment From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor instead of Bridget Coles despite the fact that it had been speculated that the last would certainly take Krasnow's placement came as an impact to her morale. Lewis might have been qualified and proper for the task yet the reality that Kransnow's departure would certainly make Coles a straight record to Lewis might have been the reason for Coles' resignation from services.

Anxiety & Job Instability: Concern as well as instability can be identified as 2 significant issues that Lewis would certainly be taking care of specifically as the merging has now be cancelled as well as 2 elderly execs of the advertising and marketing division would certainly be leaving. The entire responsibility of the division would certainly be falling on Lewis's shoulders who would not simply supervise of brining about a social adjustment but would likewise need to confirm herself in her new duty.

Incompatible Administration Design of Leader: Lewis's administration design and its conflict with the marketing division's function can likewise be seen as an OB challenge particularly as she has actually been utilized to handling problems in the procedures department where personnel are taught to focus on processes and also obtain them. The advertising division on the various other hand can be viewed as a team of individuals who are utilized to being supported by Krasnow that focused more on outcome than processes.

Interdepartmental Differences: Interdepartmental arguments in between 3 divisions, advertising, merchandizing as well as procedures specifically over the appropriation of the advertising mix can be determined as an additional OB problem. The advertising and marketing division does not share the exact same vision as the other 2 departments relating to the aloocation of the advertising and marketing mix twoards promotions and advertsing, the merchandizing and operations divisions do not concur over the advertising and marketing mix allotment among one another either.

Fragmentation in Advertising Department: Disintegration between the marketing and advertising departments can be recognized as an additional OB issue which might require additional interest. The reality that the marketing and advertising areas in the advertising and marketing department are detached is stopping both departments from acquiring from each other's experience and experience. Integration of marketing with merchandising as well as procedures would come to be harder if the advertising and marketing division itself is broken down which can be one more prospective OB concern.

Dodlas Dilemma Analysis

Various theories have been used to clarify the situations to get further quality concerning the circumstance handy.

McGregor's Theory X & Y: According to Douglas McGregor's Theory X, many managers believe that juniors are easy and careless, have little passion as well as withstand adjustment. The tough variation of this concept highlighted threat, limited controls, dangers and penalties. Gradually it creates low productivity, subtle sabotage as well as competition (Deal, 2003). Although the circumstance at Dodlas Dilemma is not entirely complying with Concept X, it can be seen that brand-new hires are discovering this setting instead stressful which may ultimately result in a greater disposition of the monitoring towards Theory X. Based on McGregor's advocated view, which he called Theory Y, the crucial job of the administration is to set up organizational conditions so that individuals can accomplish their own goals best by directing their efforts in the direction of organizational benefits. If people find no satisfaction in their job, the administration would have little choice however to rely upon theory X and also exterior control (Deal, 2003). Also while examining Lewis's monitoring style, theory X may have been suitable in the operations department somewhat yet the Marketing department would require reliance on Concept Y to get the creativity as well as originality from the groups.

Tuckman's Synergy Theory: As much as Lewis's worry concerning bringing harmony in between the advertising and marketing and also advertising division is worried, this would initially lead to clash as gone over by Bruce Tuckman in his 'Synergy Theory'. By integrating the advertising as well as advertising and marketing department's job, there may be the same first separate which could lead to the 2nd stage of 'storming' where the teams test one an additional.

Bridges' Transition Design: According To William Bridge's concept (appendix 4), individuals are fairly uncomfortable with adjustment, which is noticeable by the circumstance at Dodlas Dilemma The situation can be seen as a normal program of life if is examined according to Bridge's concept where he discusses that people experience three stages of change when they experience modification. 'End, shedding and Releasing', The Neutral Area as well as 'The New Beginning' (Bridges, 2004). When individuals exist with adjustment, they enter phase one and so there might be feelings like despair, uncertainty, aggravation, temper, concern, denial and also disorientation.The scenario at the marketing division of Dodlas Dilemma is comparable so Lewis can get comfy with the concept that it is not remarkable actions. In the second phase, there might be a need to link the gap in between the new and old culture so Lewis may need to encounter this ordeal as soon as Krasnow leaves. There might be reduced spirits as well as reduced performance at this phase which must not be taken as a trouble. It is throughout this phase that Lewis will need to give support to the department to make sure that they can find an orientation. It can be seen how Krasnow has already made this transition simpler by making Lewis get associated with the division a year before his actual separation. As per Bridges' Model, stage 3 will cause visibility to knowing, High energy and dedication as individuals will embrace the change (Bridges, 2004).

Abraham Maslow in his Theory of 'Needs Pecking order' (appendix 5) has discusses the relevance of 'security needs as being a lower degree requirement of a human for setting off inspiration. As seen in the pyramid shared in appendix 3, we can see exactly how 'the demand to feel safe and out of danger' is at the 2nd degree of needs. Prior to an employee can be made to establish emotionally, he requires to have his 'Physical 'and 'Security' needs met.

SWOT Analysis for Dodlas Dilemma Case Study

Effects of Analysis.

The OB analysis has actually considered different theories to comprehend exactly how to deal with the current circumstance handy. The complying with three alternatives have been recommended to aid Lewis take care of the business difficulties in the advertising division. Each of these choices has actually been proposed for easing the transition needed to bring the advertising and marketing department according to the demands of the marketplace and also for making the cultural modification that would comply with as soon as the existing leader leaves.

Assimilation of advertising and marketing functions. Dividing Adverting as well as Production functions. Assimilation of Advertising with Procedures.

Analysis of Alternatives.

Judith Shapiro who has actually earlier been talked to by Lewis during the earlier merging days has proficiency in business-to-business advertising along with firm and also retail advertising experience. When Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising and marketing to manage both advertising and advertising functions.

The advantage of this technique is that it will certainly integrate the two features while decreasing the requirement for hiring an additional source for advertising. Lewis would be heading the advertising department as well as in any kind of case her substitute would certainly be needed for the present role that she is doing. The disadvantage of this option is that external hiring may produce resentment from inner workers who might be eying the placement of EVP after Lewis takes control of Krasnow's placement.

Separating Adverting and Production: Provided the competitive pressures as well as high quality work needed from the marketing agency, it is recommended that Lewis must allow the production device to be a separate feature from the marketing device. Because most marketing companies had these two functions as separate devices, it makes more feeling to comply with the standard.

Combination of Advertising with Operations: Given that Lewis is currently taking treatment of the advertising and also operations divisions at the same time; it makes feeling to incorporate the two functions considering that she has actually been efficiently taking treatment of both ends. The reality that Lewis has to adjust her monitoring style for the marketing division recommends that these two departments would be culturally varied.


An assessment of the three alternatives indicates that integration of advertising and marketing and also procedures would certainly not be a feasible action as a result of the substantial differences in between both divisions although that currently Lewis is handling both. While splitting up of the production function might have been a beneficial step for the marketing department, the fact that it would certainly mean putting a third function under Lewis's wing means this must be avoided. The assimilation of the advertising and marketing department is the very best option in terms of getting the optimum results from the department. An activity prepare for this option is discussed listed below.

Action Strategy.

Lewis will certainly take control of the duty of EVP Advertising and marketing after Krasnow leaves.

Marketing and advertising features would be merged.

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

Production feature will certainly remain component of marketing under marketing function.

Lewis will divide herself from operations.

A democratic leadership design with worker empowerment will be utilized in advertising and marketing department.

Open up door plan as well as focus on cross departmental communication will certainly be targeted at removing dissonance.

Backup strategy.

If the combination does not exercise as intended, a contingency plan would comply with which would certainly divide the production feature from the advertising function to decrease the lots on the SVP of advertising and marketing. In case Judith Shapiro does not obtain employed, Lewis will be heading the advertising division without an SVP. Because case the manufacturing function will absolutely be separated by placing it under an SVP production.