The Scotts Company Note To The A Case What Happened In 2000 2003 Case Study Analysis


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The Scotts Company Note To The A Case What Happened In 2000 2003 Case Study Analysis

Background and Facts

The Scotts Company Note To The A Case What Happened In 2000 2003 a workplace materials retailer for little as well as medium sized organisations has actually recently been involved in planning for a merging with its rival House Deport, which has impacted effectiveness degrees in departmentswith the senior manager associated with legal issues presented by the government Profession Payment. With the Marketing Head putting forward the news of his separation from the firm in one year, Jeannie Lewis, the present head of operations has been asked to take the role in the near future. With difficulties in the kind of a possible social change and low employee spirits, the company is in need of a total reengineering initiative at the advertising and marketing division.

Trouble Declaration
Porter's 5 Forces Analysis
The potential social adjustment at the advertising and marketing division of The Scotts Company Note To The A Case What Happened In 2000 2003 is raising uncertainty in the workplace leading to various obstacles for the Jeannie Lewis who would certainly be replacing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant function in impacting calculated decisions given that Stapes Inc. had to abandon its plans of combining with Office Deport after the Federal Profession Payment's treatment in the process. Offered the truth that the shop has a global visibility with branches in UK, UNITED STATES, Canada as well as Germany, political factors in each of these countries may have the ability to influence efficiency or tactical goals. Federal Trade Commission's antitrust match versus the merging took up valuable time of the organization's senior administration suggesting that 'political' factors can have major effects for an international business.

Economic Factors: Financial factors such as the introduction of small companies in the global circumstance suggest that The Scotts Company Note To The A Case What Happened In 2000 2003 is flourishing in an atmosphere where there is potential development of organisations. In addition to this, truth that shop consumers are mainly trying to find workplace materials for office recommends that the market has an increasing pattern of business owners as well as home organisations.

Social factors: Social patterns in the economic situation show that clients are seeking benefit along with attractive prices. Marketing research shows how the client for The Scotts Company Note To The A Case What Happened In 2000 2003 lacks recognition about discovering solutions which can supply a combination of benefit as well as low costs.

Technical factors: Innovation plays a vital duty in The Scotts Company Note To The A Case What Happened In 2000 2003's company method specifically as the company is piloting Technology centers which would provide technology sales and also assistance in the type of memory upgrades, outer installments. (Summary of BUG in appendix 2).

OB Issues and also Manifestations.

A number of underlying Business Actions problems can be seen in The Scotts Company Note To The A Case What Happened In 2000 2003's case as highlighted in this area.

Uneasiness concerning social adjustment: There is worry regarding a cultural modification that would certainly take place once Todd Krasnow leaves from his setting as the Exec Vice Head Of State of Marketing with most of the staff members already showing unhappiness over this possible relocation. This predicted modification has actually produced tension in the office which has actually been coupled with the past anxiety of preparing the firm for a prospective merger with Residence Deport.
Pest Analysis
Difficult Work Atmosphere for Newcomers: There is shortage of employees that can match the stressful environment of a busy company. Not only does this bring about difficulty in discovering the right people, it puts stress on brand-new hires as can not hold up against the pace as well as stress that the company anticipates them to birth.

Dual Reporting Lines: Novices find this business culture cumbersome and challenging to deal with particularly as dotted line relationships are implied to be weak generally and objective setting as well as efficiency examination is still done by the strong line supervisor. This means that novices might shed clearness about their particular functions and also purposes specifically as dotted line reporting does not maintain them in straight communication with the solid line managers.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower rather than Bridget Coles despite the fact that it had been guessed that the latter would take Krasnow's setting came as an impact to her spirits. Lewis may have been capable and also proper for the job but the fact that Kransnow's departure would make Coles a straight report to Lewis might have been the factor for Coles' resignation from services.

Anxiety & Task Insecurity: Worry as well as instability can be recognized as 2 significant issues that Lewis would be handling particularly as the merger has actually currently be cancelled as well as two elderly executives of the advertising and marketing department would certainly be leaving. The entire duty of the division would be falling on Lewis's shoulders that would certainly not simply be in charge of brining regarding a social adjustment however would also need to show herself in her brand-new duty.

Incompatible Management Design of Leader: Lewis's administration design and its incompatibility with the advertising and marketing division's duty can likewise be viewed as an OB obstacle specifically as she has actually been utilized to taking care of problems in the operations division where workers are taught to focus on processes and also obtain them right. The advertising division on the other hand can be viewed as a group of individuals that are used to being supported by Krasnow who focused more on outcome than procedures.

Interdepartmental Arguments: Interdepartmental disagreements between three divisions, marketing, merchandizing as well as operations specifically over the appropriation of the advertising mix can be identified as one more OB problem. The advertising division does not share the exact same vision as the other 2 departments concerning the aloocation of the advertising and marketing mix twoards promotions as well as advertsing, the merchandizing and also operations divisions do not agree over the advertising mix appropriation among one an additional either.

Disintegration in Marketing Department: Disintegration in between the marketing and advertising divisions can be determined as another OB issue which might require more interest. The truth that the marketing and advertising areas in the marketing department are disconnected is protecting against both departments from getting from each various other's experience as well as knowledge. Combination of marketing with retailing and also operations would come to be harder if the advertising and marketing division itself is broken down which can be another prospective OB concern.

The Scotts Company Note To The A Case What Happened In 2000 2003 Analysis

Numerous theories have been utilized to describe the conditions to get more quality regarding the scenario at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, most supervisors think that subordinates are passive and lazy, have little ambition and resist adjustment. The difficult variation of this theory stressed threat, limited controls, dangers and penalties. Gradually it creates low performance, subtle sabotage and rivalry (Bargain, 2003). Although the situation at The Scotts Company Note To The A Case What Happened In 2000 2003 is not completely following Theory X, it can be seen that brand-new hires are discovering this setting rather difficult which may at some point lead to a better disposition of the management in the direction of Theory X. As per McGregor's supported sight, which he called Concept Y, the vital task of the administration is to arrange business problems to ensure that people can achieve their own goals best by directing their efforts towards organizational benefits. If individuals find no fulfillment in their job, the monitoring would have little choice yet to count on theory X as well as exterior control (Bargain, 2003). Even while evaluating Lewis's monitoring style, concept X may have appropriated in the procedures department to some extent yet the Advertising and marketing department would certainly call for dependence on Theory Y in order to get the imagination as well as creativity from the teams.

Tuckman's Teamwork Theory: As much as Lewis's worry concerning bringing harmony between the advertising and marketing and marketing department is concerned, this would originally lead to contrast as talked about by Bruce Tuckman in his 'Teamwork Theory'. By incorporating the advertising as well as advertising department's work, there might be the exact same preliminary separate which could lead to the 2nd stage of 'storming' where the teams challenge one another.

When people are offered with change, they enter stage one and so there may be feelings like sadness, unpredictability, frustration, rage, worry, denial and disorientation.The situation at the advertising division of The Scotts Company Note To The A Case What Happened In 2000 2003 is comparable so Lewis can get comfortable with the concept that it is not phenomenal behavior. It is during this stage that Lewis will have to give guidance to the division so that they can locate a feeling of instructions. It can be seen exactly how Krasnow has actually currently made this change much easier by making Lewis get included in the division a year before his actual departure.
Vrio Analysis
Abraham Maslow in his Theory of 'Requirements Pecking order' (appendix 5) has reviews the significance of 'safety requires as being a reduced degree requirement of a human for causing inspiration. As seen in the pyramid shared in appendix 3, we can see how 'the need to really feel secure as well as out of threat' is at the 2nd degree of needs. Before a staff member can be made to develop emotionally, he requires to have his 'Physical 'and 'Safety' needs met.

SWOT Analysis for The Scotts Company Note To The A Case What Happened In 2000 2003 Case Study

Ramification of Analysis.

The OB analysis has checked out various concepts to comprehend exactly how to cope with the existing scenario handy. The adhering to 3 alternatives have been proposed to aid Lewis handle the organizational challenges in the marketing department. Each of these alternatives has actually been proposed for easing the change needed to bring the advertising department in line with the demands of the market as well as for making the social change that would adhere to when the current leader leaves.

Combination of marketing and advertising features. Separating Adverting and Production features. Assimilation of Advertising with Workflow.

Evaluation of Alternatives.

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

The advantage of this strategy is that it will incorporate the two functions while lowering the requirement for hiring an extra source for marketing. Lewis would be heading the advertising division as well as in any kind of case her replacement would certainly be required for the current duty that she is carrying out. The drawback of this option is that external hiring might cause animosity from internal personnel who might be considering the position of EVP after Lewis takes over Krasnow's placement.

Separating Adverting and Manufacturing: Provided the competitive stress and high top quality job required from the advertising and marketing company, it is suggested that Lewis should allow the manufacturing system to be a different function from the marketing system. Since most marketing agencies had these two functions as different units, it makes even more feeling to adhere to the standard.

Assimilation of Marketing with Workflows: Given that Lewis is already taking care of the advertising and operations departments simultaneously; it makes good sense to incorporate the two functions given that she has actually been efficiently taking care of both ends. The truth that the two departments already have major differences over appropriation of resources recommends that this integration might be able to bring about harmony particularly as Lewis would be heading both ends.However there are various drawbacks of this step particularly as it would certainly put excessive concern over Lewis's shoulders. The truth that Lewis needs to adjust her management design for the advertising and marketing division suggests that these 2 departments would be culturally diverse. Lewis may not be able to use one type of management style to both departments which could result in inadequacy in either one of the 2 functions.


An analysis of the 3 choices suggests that integration of advertising and marketing and also procedures would certainly not be a practical relocation due to the large differences between the 2 departments in spite of the fact that currently Lewis is dealing with both. While splitting up of the manufacturing feature may have been a desirable move for the advertising and marketing division, the truth that it would certainly suggest positioning a third function under Lewis's wing indicates this should be prevented.

Action Strategy.
Lewis will take over the role of EVP Advertising after Krasnow leaves.

Marketing and advertising functions would be merged.

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

Production function will stay part of advertising under advertising and marketing feature.

Lewis will divide herself from operations.

An autonomous management style with staff member empowerment will certainly be used in advertising and marketing department.

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

Backup plan.

If the assimilation does not work out as intended, a backup strategy would adhere to which would certainly divide the manufacturing function from the advertising and marketing feature to reduce the lots on the SVP of marketing and advertising. In case Judith Shapiro does not obtain hired, Lewis will certainly be heading the advertising and marketing department without an SVP. In that case the production function will absolutely be separated by placing it under an SVP manufacturing.