Teacher Incentives Case Study Help


Home >> Chicago Booth >> Teacher Incentives >>

Teacher Incentives Case Study Analysis

Background and Facts

Teacher Incentives a workplace products retailer for tiny and also moderate sized businesses has actually just recently been involved in preparing for a merging with its rival House Deport, which has impacted effectiveness degrees in departmentswith the senior manager associated with lawful issues put forth by the federal Profession Payment. With the Advertising and marketing Head advancing the information of his departure from the business in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the duty in the near future. With obstacles in the form of a prospective social modification as well as reduced employee spirits, the company wants a complete reengineering effort at the advertising department.

Issue Declaration
Porter's 5 Forces Analysis
The potential social modification at the advertising and marketing department of Teacher Incentives is raising uncertainty in the workplace leading to different difficulties for the Jeannie Lewis who would be replacing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant role in impacting strategic choices since Stapes Inc. needed to desert its strategies of merging with Workplace Deport after the Federal Profession Compensation's treatment in the process. Offered the reality that the shop has a worldwide existence with branches in UK, USA, Canada and Germany, political consider each of these nations might be able to influence performance or critical goals. Federal Profession Compensation's antitrust match versus the merger used up valuable time of the company's elderly monitoring recommending that 'political' factors can have significant implications for an international service.

Economic Factors: Economic factors such as the development of small businesses in the worldwide situation suggest that Teacher Incentives is prospering in an environment where there is prospective development of companies. Along with this, fact that shop customers are mostly looking for office supplies for office recommends that the marketplace has a climbing fad of business owners and home companies.

Social factors: Social trends in the economic climate reveal that clients are searching for comfort as well as eye-catching prices. Market research demonstrates how the customer for Teacher Incentives lacks understanding concerning finding services which can use a mix of comfort as well as affordable.

Technological factors: Innovation plays an important duty in Teacher Incentives's company method especially as the organization is piloting Modern technology centers which would certainly offer technology sales as well as assistance in the kind of memory upgrades, outer installments. (Summary of BUG in appendix 2).

OB Issues and also Manifestations.

Numerous underlying Organizational Behavior problems can be seen in Teacher Incentives's case as highlighted in this area.

Uneasiness about cultural adjustment: There is concern about a social modification that would certainly happen once Todd Krasnow leaves from his placement as the Exec Vice President of Marketing with a lot of the team member already revealing unhappiness over this potential action. This anticipated adjustment has actually created tension in the office which has actually been combined with the past anxiety of preparing the company for a possible merger with Residence Deport.
Pest Analysis
Demanding Task Setting for Newcomers: There is scarcity of employees that can match the stressful atmosphere of a fast-paced company. Not only does this cause trouble in discovering the ideal people, it places tension on brand-new hires as can not withstand the speed and stress that the company expects them to bear.

Double Reporting Lines: Newbies locate this organizational society difficult and also tough to handle especially as dotted line relationships are indicated to be weaker in general and objective setting as well as efficiency assessment is still done by the strong line supervisor. This indicates that beginners might shed quality about their particular functions and goals specifically as dotted line reporting does not keep them in direct communication with the strong line supervisors.

Animosity From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor as opposed to Bridget Coles even though it had been guessed that the last would take Krasnow's placement came as a strike to her morale. Lewis might have been capable and suitable for the task but the reality that Kransnow's separation would make Coles a straight record to Lewis may have been the factor for Coles' resignation from services.

Worry & Task Instability: Worry and instability can be determined as 2 major concerns that Lewis would be handling specifically as the merging has now be terminated and two elderly executives of the advertising department would certainly be leaving. The entire obligation of the department would be falling on Lewis's shoulders that would not simply be in charge of brining about a cultural adjustment but would certainly likewise have to prove herself in her new duty.

Incompatible Management Design of Leader: Lewis's administration style and its incompatibility with the marketing department's duty can also be viewed as an OB difficulty especially as she has been utilized to taking care of concerns in the operations department where personnel are instructed to focus on processes and get them right. The marketing division on the various other hand can be viewed as a group of individuals that are made use of to being supported by Krasnow that focused much more on output than processes.

Interdepartmental Arguments: Interdepartmental differences in between three departments, marketing, merchandizing and also procedures specifically over the appropriation of the marketing mix can be recognized as another OB issue. Although the advertising and marketing division does not share the very same vision as the various other 2 departments regarding the aloocation of the marketing mix twoards promos and advertsing, the merchandizing and procedures divisions do not agree over the advertising mix allocation amongst one another either.

Disintegration in Marketing Division: Disintegration between the marketing and advertising divisions can be identified as one more OB problem which could require additional interest. The fact that the advertising and marketing sections in the advertising division are disconnected is stopping both divisions from acquiring from each various other's experience and also expertise. Assimilation of marketing with merchandising and procedures would certainly end up being more difficult if the advertising and marketing department itself is degenerated which can be another prospective OB concern.

Teacher Incentives Analysis

Various concepts have been used to discuss the situations to obtain additional clearness concerning the scenario available.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, a lot of managers believe that staffs are passive and also careless, have little aspiration and resist adjustment. The hard variation of this concept highlighted threat, limited controls, dangers and punishments. Gradually it generates low performance, subtle sabotage and also competition (Bargain, 2003). Although the circumstance at Teacher Incentives is not totally complying with Concept X, it can be seen that new hires are discovering this atmosphere rather difficult which may ultimately lead to a higher inclination of the administration towards Concept X. As per McGregor's promoted sight, which he called Theory Y, the vital job of the monitoring is to arrange business problems to make sure that individuals can accomplish their very own objectives best by guiding their initiatives towards business benefits. If individuals discover no contentment in their work, the administration would have little choice but to rely on concept X and also external control (Bargain, 2003). Even while evaluating Lewis's administration design, theory X may have appropriated in the procedures division somewhat but the Advertising department would certainly call for reliance on Concept Y so as to get the imagination and creativity from the teams.

Tuckman's Teamwork Theory: As far as Lewis's problem concerning bringing harmony in between the advertising and marketing as well as marketing department is worried, this would initially lead to conflict as reviewed by Bruce Tuckman in his 'Synergy Theory'. By combining the advertising and marketing and also advertising and marketing division's job, there may be the exact same preliminary disconnect which could lead to the 2nd phase of 'storming' where the groups test one another.

When individuals are presented with adjustment, they enter phase one and so there may be emotions like sadness, unpredictability, frustration, temper, fear, rejection and also disorientation.The situation at the advertising department of Teacher Incentives is comparable so Lewis can obtain comfy with the idea that it is not remarkable actions. It is throughout this stage that Lewis will have to give advice to the department so that they can locate a feeling of instructions. It can be seen just how Krasnow has already made this change easier by making Lewis get entailed in the division a year prior to his real departure.
Vrio Analysis
Maslow's Need power structure: The OB problem related to insecurity at the office has been set off first of all by the change in monitoring and also secondly by the reality that the merger will certainly no longer be launched. Abraham Maslow in his Theory of 'Demands Power structure' (appendix 5) has talks about the significance of 'security needs as being a lower degree requirement of a human for triggering inspiration. As seen in the pyramid cooperated appendix 3, we can see exactly how 'the requirement to really feel safe and unharmed' is at the second level of requirements. Prior to an employee can be made to establish psychologically, he needs to have his 'Physical 'as well as 'Safety and security' requires satisfied. This suggests that unless the employees are made to feel secure regarding their current employment status in Teacher Incentives they might not reach 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Teacher Incentives Case Study

Ramification of Analysis.

The OB analysis has actually considered various concepts to understand how to manage the present scenario available. The complying with three alternatives have been suggested to help Lewis manage the business obstacles in the marketing department. Each of these alternatives has been suggested for alleviating the transition required to bring the advertising division in line with the needs of the marketplace and also for making the cultural modification that would follow as soon as the existing leader leaves.

Assimilation of advertising and marketing features. Dividing Adverting and also Production features. Combination of Marketing with Operations.

Evaluation 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 agency and also retail advertising experience. As soon as Krasnow leaves, Lewis can employ Shapiro as an EVP for marketing to manage both advertising and marketing and also advertising and marketing functions.

The benefit of this strategy is that it will incorporate both functions while reducing the need for working with an additional source for advertising and marketing. In addition to this, Lewis would be heading the advertising department and in any case her substitute would certainly be needed for the existing duty that she is executing. The downside of this choice is that external hiring might bring about resentment from internal employees who might be considering the setting of EVP after Lewis takes control of Krasnow's position.

Separating Adverting as well as Production: Provided the affordable pressures and also high quality job needed from the marketing firm, it is recommended that Lewis ought to allow the manufacturing system to be a different feature from the advertising system. Considering that a lot of marketing firms had these 2 functions as different devices, it makes more sense to follow the norm.

Integration of Marketing with Workflows: Since Lewis is already looking after the advertising and also procedures departments at the same time; it makes sense to integrate both functions since she has been successfully looking after both ends. The fact that both departments already have significant differences over appropriation of sources recommends that this combination might have the ability to bring about consistency specifically as Lewis would be heading both ends.However there are various negative aspects of this move especially as it would place way too much burden over Lewis's shoulders. The reality that Lewis needs to adjust her monitoring style for the advertising department recommends that these two departments would be culturally diverse. Lewis may not be able to apply one kind of leadership design to both departments which could result in ineffectiveness in either one of the two functions.


An examination of the three choices indicates that integration of advertising as well as operations would not be a possible action due to the substantial differences in between both departments despite the fact that presently Lewis is managing both. While separation of the production function might have been a positive action for the advertising and marketing division, the fact that it would certainly imply placing a third function under Lewis's wing implies this should be prevented also. The combination of the advertising division is the most effective alternative in terms of getting the ideal arise from the division. An activity prepare for this option is reviewed listed below.

Activity Strategy.
Lewis will certainly take over the function of EVP Advertising after Krasnow leaves.

Advertising and Marketing features would be merged.

Judith Shapiro will certainly be worked with to take Lewis's location as SVP of advertising and marketing.

Production feature will certainly remain component of advertising and marketing under advertising feature.

Lewis will divide herself from operations.

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

Open door policy and emphasis on cross department communication will certainly be focused on eliminating disharmony.

Backup strategy.

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