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Business Teams At Rubbermaid Inc Case Study Analysis

CASE ANALYSIS

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Background and Facts

Business Teams At Rubbermaid Inc an office materials seller for small and moderate sized services has recently been associated with planning for a merger with its competitor House Deport, which has impacted performance levels in departmentswith the elderly supervisor involved in lawful issues put forth by the government Trade Commission. With the Advertising and marketing Head advancing the news of his separation from the company in one year, Jeannie Lewis, the current head of operations has been asked to take the function in the near future. With challenges in the kind of a prospective cultural change as well as reduced worker morale, the organization needs a full reengineering initiative at the marketing division.

Issue Declaration

The possible cultural modification at the advertising and marketing department of Business Teams At Rubbermaid Inc is enhancing unpredictability in the workplace bring about various obstacles for the Jeannie Lewis that would certainly be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major role in affecting calculated decisions since Stapes Inc. had to abandon its plans of combining with Office Deport after the Federal Trade Payment's treatment while doing so. Given the fact that the store has an international existence with branches in UK, UNITED STATES, Canada and also Germany, political consider each of these countries may have the ability to affect performance or tactical objectives. Federal Trade Payment's antitrust suit against the merger took up beneficial time of the organization's senior management suggesting that 'political' factors can have severe implications for an international business.

Economic Factors: Economic factors such as the emergence of small companies in the international circumstance recommend that Business Teams At Rubbermaid Inc is prospering in an atmosphere where there is possible development of companies. Along with this, truth that store clients are primarily trying to find office products for home offices suggests that the market has an increasing fad of business owners as well as online services.

Social factors: Social trends in the economy reveal that clients are looking for comfort along with attractive costs. Market research demonstrates how the customer for Business Teams At Rubbermaid Inc lacks recognition concerning locating solutions which can use a combination of ease as well as low costs.

Technological factors: Modern technology plays an important duty in Business Teams At Rubbermaid Inc's service strategy particularly as the company is piloting Innovation centers which would offer technology sales as well as support in the form of memory upgrades, outer installments. (Summary of BUG in appendix 2).

OB Issues and Symptoms.

Several underlying Organizational Actions concerns can be seen in Business Teams At Rubbermaid Inc's case as highlighted in this area.

Apprehensions regarding social change: There is apprehension regarding a social modification that would certainly happen as soon as Todd Krasnow leaves from his position as the Executive Vice Head Of State of Advertising with most of the personnel currently showing unhappiness over this prospective action. This expected adjustment has created stress and anxiety in the workplace which has actually been combined with the past anxiety of preparing the company for a prospective merger with Home Deport.

Demanding Work Environment for Newcomers: There is scarcity of employees that can match the demanding environment of a busy company. Not only does this lead to problem in finding the right people, it puts stress on new hires as can not stand up to the speed as well as pressure that the company anticipates them to birth.

Double Reporting Lines: Novices find this business culture troublesome and also difficult to deal with particularly as populated line relationships are suggested to be weaker in general as well as unbiased setup and efficiency assessment is still done by the strong line manager. This suggests that novices might shed quality regarding their respective functions and also goals especially as populated line coverage does not maintain them in straight interaction with the strong line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower instead of Bridget Coles despite the fact that it had been hypothesized that the last would certainly take Krasnow's placement came as a blow to her spirits. Lewis may have been qualified and appropriate for the job but the fact that Kransnow's departure would certainly make Coles a straight record to Lewis may have been the factor for Coles' resignation from solutions.

Concern & Task Insecurity: Concern and instability can be determined as 2 major worries that Lewis would be dealing with specifically as the merger has actually now be cancelled as well as two senior execs of the advertising department would be leaving. The whole duty of the department would be falling on Lewis's shoulders that would not simply be in charge of brining about a cultural adjustment yet would also have to show herself in her brand-new role.

Incompatible Monitoring Design of Leader: Lewis's management design and also its conflict with the advertising and marketing division's role can additionally be viewed as an OB obstacle specifically as she has actually been utilized to handling concerns in the procedures division where employees are instructed to concentrate on processes and also obtain them right. The marketing division on the other hand can be viewed as a team of people who are utilized to being nurtured by Krasnow who focused extra on output than processes.

Interdepartmental Disagreements: Interdepartmental arguments between 3 divisions, advertising, merchandizing and also procedures respectively over the allocation of the advertising mix can be recognized as another OB issue. The marketing department does not share the exact same vision as the other two divisions concerning the aloocation of the advertising and marketing mix twoards promotions and also advertsing, the merchandizing and also operations departments do not concur over the advertising and marketing mix appropriation amongst one an additional either.

Fragmentation in Advertising And Marketing Division: Disintegration in between the marketing and advertising divisions can be identified as one more OB problem which could require more focus. The truth that the advertising and marketing sections in the marketing division are disconnected is protecting against both divisions from acquiring from each other's experience and also proficiency. Integration of advertising and marketing with merchandising and also procedures would certainly become harder if the marketing department itself is broken down which can be one more potential OB worry.

Business Teams At Rubbermaid Inc Analysis

Different concepts have actually been used to explain the scenarios to obtain further quality regarding the circumstance at hand.

McGregor's Theory X & Y: According to Douglas McGregor's Theory X, many supervisors believe that staffs are passive and careless, have little ambition and withstand adjustment. The difficult version of this theory stressed coercion, limited controls, hazards and punishments. In time it produces reduced efficiency, subtle sabotage and rivalry (Bargain, 2003). Although the scenario at Business Teams At Rubbermaid Inc is not entirely following Concept X, it can be seen that new hires are finding this environment instead difficult which may eventually cause a greater inclination of the administration towards Theory X. As per McGregor's promoted view, which he called Theory Y, the important job of the monitoring is to prepare business conditions so that individuals can achieve their own goals best by directing their initiatives towards business benefits. If people find no contentment in their work, the monitoring would have little selection however to rely on concept X and exterior control (Offer, 2003). Even while assessing Lewis's administration style, theory X may have been suitable in the procedures department to some extent yet the Marketing division would certainly need reliance on Theory Y in order to get the creativity and also originality from the groups.

Tuckman's Synergy Concept: As much as Lewis's worry concerning bringing consistency between the advertising and also advertising division is worried, this would at first lead to clash as discussed by Bruce Tuckman in his 'Synergy Theory'. By incorporating the advertising as well as advertising department's job, there may be the same initial disconnect which might lead to the second phase of 'storming' where the teams challenge one an additional.

Bridges' Change Design: As per William Bridge's theory (appendix 4), individuals are quite uncomfortable with adjustment, which is noticeable by the situation at Business Teams At Rubbermaid Inc The circumstance can be viewed as a normal course of life if is studied according to Bridge's concept where he describes that people experience three phases of change when they experience adjustment. 'End, losing as well as Releasing', The Neutral Zone and also 'The New Beginning' (Bridges, 2004). When people are presented with modification, they get in stage one therefore there may be feelings like despair, unpredictability, aggravation, rage, worry, rejection as well as disorientation.The scenario at the advertising and marketing division of Business Teams At Rubbermaid Inc is similar so Lewis can obtain comfortable with the suggestion that it is not phenomenal actions. In the 2nd phase, there might be a requirement to connect the space in between the brand-new as well as old culture so Lewis may need to encounter this ordeal as soon as Krasnow leaves. There might be reduced morale and low productivity at this stage which need to not be taken as a problem. It is during this stage that Lewis will certainly need to provide assistance to the division so that they can locate a sense of direction. It can be seen exactly how Krasnow has currently made this change easier by making Lewis obtain involved in the division a year prior to his actual departure. Based on Bridges' Design, phase 3 will bring about openness to learning, High power as well as dedication as individuals will welcome the modification (Bridges, 2004).

Maslow's Requirement hierarchy: The OB concern pertaining to insecurity at the work environment has been set off first of all by the modification in management as well as second of all by the truth that the merging will certainly no more be launched. Abraham Maslow in his Theory of 'Requirements Power structure' (appendix 5) has talks about the relevance of 'protection requires as being a reduced degree demand of a human for setting off inspiration. As seen in the pyramid cooperated appendix 3, we can see exactly how 'the need to feel protected and also unharmed' goes to the second level of demands. Before a staff member can be made to create emotionally, he requires to have his 'Physical 'and also 'Security' needs fulfilled. This suggests that unless the workers are made to feel protected about their existing employment status in Business Teams At Rubbermaid Inc they might not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Business Teams At Rubbermaid Inc Case Study



Effects of Analysis.

The OB analysis has checked out various theories to understand just how to manage the existing scenario available. The adhering to 3 choices have been suggested to aid Lewis manage the organizational obstacles in the advertising and marketing division. Each of these alternatives has actually been proposed for reducing the shift needed to bring the advertising and marketing division in line with the requirements of the market as well as for making the cultural adjustment that would certainly follow once the current leader leaves.

Assimilation of marketing and advertising functions. Separating Adverting as well as Manufacturing features. Assimilation of Marketing with Procedures.

Analysis of Alternatives.

Judith Shapiro that has actually earlier been talked to by Lewis during the earlier merger days has proficiency in business-to-business advertising and marketing along with firm as well as retail advertising and marketing experience. As soon as Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising to handle both marketing as well as marketing features.

The advantage of this strategy is that it will integrate the two features while minimizing the demand for hiring an additional source for advertising and marketing. Lewis would certainly be heading the advertising and marketing department as well as in any kind of case her replacement would certainly be required for the present duty that she is doing. The downside of this option is that exterior hiring might cause animosity from interior employees who might be considering the position of EVP after Lewis takes over Krasnow's setting.

Dividing Adverting and also Production: Given the competitive stress and high quality job called for from the marketing agency, it is advised that Lewis must allow the manufacturing device to be a different function from the advertising unit. Considering that most advertising companies had these two functions as separate systems, it makes more sense to follow the norm.

Assimilation of Advertising And Marketing with Operations: Considering that Lewis is already taking treatment of the advertising and marketing and procedures divisions at the same time; it makes feeling to integrate the 2 functions because she has been successfully taking care of both ends. The fact that Lewis has to adjust her management design for the advertising department suggests that these two divisions would be culturally varied.

Recommendation.



An analysis of the three alternatives indicates that combination of marketing and procedures would not be a possible action because of the vast distinctions in between both departments although that currently Lewis is managing both. While separation of the manufacturing function might have been a positive relocation for the advertising and marketing department, the reality that it would imply putting a 3rd function under Lewis's wing suggests this ought to be stayed clear of. The integration of the marketing division is the very best choice in regards to getting the ideal results from the department. An activity plan for this option is talked about listed below.

Activity Plan.

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

Marketing and advertising functions would be combined.

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

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

Lewis will certainly divide herself from operations.

A democratic management design with staff member empowerment will certainly be made use of in advertising and marketing division.

Open up door plan and emphasis on cross departmental interaction will certainly be focused on eliminating disharmony.

Contingency plan.

If the assimilation does not exercise as intended, a contingency plan would comply with which would certainly divide the production function from the advertising and marketing function to reduce the lots on the SVP of advertising and marketing. In case Judith Shapiro does not obtain employed, Lewis will be heading the advertising department without an SVP. In that case the production feature will certainly be divided by putting it under an SVP manufacturing.