Anandam Manufacturing Company Analysis Of Financial Statements Case Study Help


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Anandam Manufacturing Company Analysis Of Financial Statements Case Study Help

Background and Facts

Anandam Manufacturing Company Analysis Of Financial Statements an office materials retailer for small as well as moderate sized companies has actually just recently been associated with preparing for a merging with its rival Residence Deport, which has affected efficiency degrees in departmentswith the senior manager associated with lawful difficulties presented by the government Profession Payment. With the Advertising and marketing Head putting forward the information of his departure from the business in one year, Jeannie Lewis, the present head of procedures has been asked to take the role in the near future. With challenges in the form of a prospective cultural modification and reduced employee spirits, the company wants a complete reengineering initiative at the marketing division.

Issue Statement
Porter's 5 Forces Analysis
The potential cultural change at the marketing division of Anandam Manufacturing Company Analysis Of Financial Statements is increasing unpredictability in the workplace leading to various obstacles for the Jeannie Lewis who would be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant role in affecting tactical decisions considering that Stapes Inc. needed to desert its strategies of combining with Workplace Deport after the Federal Trade Commission's treatment in the process. Offered the reality that the store has an international existence with branches in UK, U.S.A., Canada and Germany, political consider each of these nations may have the ability to impact efficiency or tactical goals. Federal Profession Payment's antitrust fit against the merging used up useful time of the company's elderly management recommending that 'political' factors can have major implications for a global service.

Economic Factors: Financial factors such as the introduction of small companies in the international situation recommend that Anandam Manufacturing Company Analysis Of Financial Statements is flourishing in an environment where there is potential growth of companies. Along with this, truth that shop clients are primarily looking for office materials for office recommends that the marketplace has an increasing pattern of entrepreneurs and online businesses.

Social factors: Social trends in the economic climate reveal that customers are seeking benefit as well as eye-catching prices. Market research demonstrates how the client for Anandam Manufacturing Company Analysis Of Financial Statements does not have recognition about finding options which can provide a mix of convenience and also low costs.

Technical factors: Modern technology plays a vital role in Anandam Manufacturing Company Analysis Of Financial Statements's business strategy particularly as the company is piloting Technology facilities which would offer modern technology sales as well as support in the kind of memory upgrades, peripheral installments. (Recap of INSECT in appendix 2).

OB Issues and Manifestations.

Numerous underlying Organizational Habits concerns can be seen in Anandam Manufacturing Company Analysis Of Financial Statements's case as highlighted in this area.

Uneasiness regarding social modification: There is apprehension about a social change that would occur as soon as Todd Krasnow leaves from his placement as the Exec Vice Head Of State of Advertising with a lot of the employee already revealing discontent over this possible step. This anticipated adjustment has produced anxiety in the office which has actually been coupled with the previous tension of preparing the company for a possible merging with Home Deport.
Pest Analysis
Difficult Task Setting for Newcomers: There is lack of employees that can match the difficult setting of a busy company. Not just does this bring about difficulty in finding the appropriate individuals, it places anxiety on brand-new hires as can not endure the speed as well as pressure that the company anticipates them to bear.

Dual Reporting Lines: Novices locate this business culture difficult and difficult to cope with particularly as populated line relationships are indicated to be weak in general and also unbiased setup as well as performance assessment is still done by the solid line manager. This implies that newbies could shed clarity about their respective functions as well as purposes particularly as populated line reporting does not keep them in straight communication with the strong 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 been guessed that the last would certainly take Krasnow's setting came as a blow to her spirits. Lewis might have been qualified as well as appropriate for the job however the fact that Kransnow's separation would make Coles a straight report to Lewis might have been the reason for Coles' resignation from services.

Concern & Task Instability: Worry as well as instability can be recognized as two significant issues that Lewis would certainly be dealing with especially as the merger has actually currently be cancelled and two elderly execs of the advertising and marketing division would certainly be leaving. The entire responsibility of the department would be dropping on Lewis's shoulders who would not simply supervise of brining concerning a social adjustment yet would also have to show herself in her brand-new role.

Incompatible Management Design of Leader: Lewis's administration style and also its conflict with the advertising and marketing department's function can likewise be seen as an OB obstacle specifically as she has actually been utilized to handling concerns in the operations department where employees are educated to concentrate on procedures and obtain them. The advertising and marketing division on the various other hand can be viewed as a team of individuals who are made use of to being nurtured by Krasnow that focused extra on output than processes.

Interdepartmental Disputes: Interdepartmental differences in between 3 departments, advertising and marketing, merchandizing and procedures specifically over the appropriation of the advertising and marketing mix can be determined as one more OB issue. The advertising department does not share the same vision as the other two departments pertaining to the aloocation of the marketing mix twoards promotions and advertsing, the merchandizing as well as procedures divisions do not concur over the advertising and marketing mix allotment amongst one an additional either.

Disintegration in Advertising Division: Fragmentation between the advertising and marketing divisions can be identified as another OB problem which might require more attention. The truth that the marketing and advertising sections in the marketing division are disconnected is preventing both departments from getting from each other's experience and also expertise. Integration of advertising and marketing with merchandising and operations would become harder if the marketing division itself is degenerated which can be an additional possible OB problem.

Anandam Manufacturing Company Analysis Of Financial Statements Analysis

Numerous theories have actually been utilized to discuss the scenarios to obtain further clearness concerning the circumstance at hand.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, a lot of supervisors believe that staffs are passive and also careless, have little aspiration and resist modification. The hard version of this concept highlighted coercion, tight controls, risks and also penalties. In time it produces low performance, subtle sabotage and rivalry (Bargain, 2003). Although the situation at Anandam Manufacturing Company Analysis Of Financial Statements is not totally following Concept X, it can be seen that brand-new hires are discovering this setting instead difficult which may eventually bring about a greater inclination of the administration in the direction of Concept X. As per McGregor's promoted sight, which he called Theory Y, the essential task of the management is to prepare organizational problems to ensure that people can attain their very own goals best by guiding their initiatives towards business rewards. If individuals discover no contentment in their work, the management would have little selection however to rely on concept X as well as exterior control (Bargain, 2003). Also while analyzing Lewis's administration style, theory X might have appropriated in the operations division somewhat however the Advertising division would certainly call for reliance on Concept Y in order to get the creative thinking as well as creativity from the groups.

Tuckman's Teamwork Theory: As for Lewis's worry regarding bringing harmony between the marketing and advertising division is concerned, this would initially bring about contrast as discussed by Bruce Tuckman in his 'Synergy Theory'. (Tuckman, 1965). As per Tuckman's theory shown in appendix 3, during the initial phase of team growth, individuals might not bond, as they are active locating their area in the group. By incorporating the marketing and advertising division's job, there might coincide first disconnect which could bring about the second phase of 'storming' where the teams challenge one another. However, it is just throughout the third stage or 'norming' when they would integrate to share concepts prior to the group can bring about harmony in the 4th phase 'doing'.

Bridges' Shift Version: According To William Bridge's concept (appendix 4), people are fairly uneasy with change, which is obvious by the circumstance at Anandam Manufacturing Company Analysis Of Financial Statements The circumstance can be seen as a regular course of life if is studied based on Bridge's concept where he clarifies that individuals go through three phases of transition when they experience modification. 'End, losing as well as Letting go', The Neutral Zone as well as 'The New Starting' (Bridges, 2004). When people are presented with change, they enter phase one therefore there might be emotions like despair, unpredictability, irritation, anger, fear, denial as well as disorientation.The circumstance at the advertising department of Anandam Manufacturing Company Analysis Of Financial Statements is comparable so Lewis can get comfy with the suggestion that it is not phenomenal behavior. In the 2nd phase, there may be a demand to bridge the void between the new and old culture so Lewis may need to encounter this challenge as soon as Krasnow leaves. There might be reduced spirits and also reduced efficiency at this phase which need to not be taken as a setback. It is during this stage that Lewis will certainly have to give support to the department to make sure that they can locate an orientation. It can be seen exactly how Krasnow has already made this change less complicated by making Lewis obtain involved in the division a year before his real separation. As per Bridges' Model, phase three will bring about openness to understanding, High power and also dedication as people will accept the modification (Bridges, 2004).
Vrio Analysis
Maslow's Need hierarchy: The OB issue pertaining to instability at the work environment has been set off first of all by the change in administration and also secondly by the truth that the merging will certainly no longer be started. Abraham Maslow in his Concept of 'Requirements Power structure' (appendix 5) has goes over the relevance of 'safety requires as being a lower level demand of a human for setting off motivation. As seen in the pyramid cooperated appendix 3, we can see how 'the need to really feel safe and secure and unharmed' goes to the second degree of needs. Prior to an employee can be made to create emotionally, he requires to have his 'Physiological 'as well as 'Safety' requires fulfilled. This shows that unless the personnel are made to feel protected regarding their current work condition in Anandam Manufacturing Company Analysis Of Financial Statements they may not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Anandam Manufacturing Company Analysis Of Financial Statements Case Study

Effects of Analysis.

The OB analysis has actually taken a look at various concepts to comprehend just how to cope with the current situation handy. The complying with three alternatives have been suggested to aid Lewis manage the business difficulties in the advertising department. Each of these options has actually been recommended for reducing the change required to bring the advertising department according to the requirements of the marketplace and also for making the cultural modification that would certainly comply with when the present leader leaves.

Assimilation of marketing and advertising functions. Separating Adverting and Manufacturing features. Combination of Advertising And Marketing with Procedures.

Analysis of Alternatives.

Judith Shapiro who has earlier been interviewed by Lewis during the earlier merger days has knowledge in business-to-business advertising along with company and retail marketing experience. As soon as Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising and marketing to manage both marketing as well as marketing features.

The benefit of this approach is that it will certainly incorporate both features while decreasing the need for employing an extra source for advertising and marketing. In addition to this, Lewis would be heading the advertising department and also all the same her substitute would certainly be needed for the present function that she is carrying out. The downside of this alternative is that exterior hiring may bring about bitterness from interior employees that may be looking at the position of EVP after Lewis takes over Krasnow's placement.

Separating Adverting and Production: Provided the competitive pressures and also high quality work called for from the marketing firm, it is suggested that Lewis needs to permit the manufacturing unit to be a separate feature from the advertising and marketing device. Given that most marketing companies had these 2 functions as separate units, it makes even more sense to comply with the norm.

Assimilation of Advertising And Marketing with Workflows: Because Lewis is currently taking care of the marketing and also procedures divisions concurrently; it makes sense to integrate the 2 features given that she has been efficiently taking care of both ends. The truth that Lewis has to adapt her management design for the advertising and marketing department recommends that these 2 departments would certainly be culturally varied.


An examination of the three choices suggests that assimilation of advertising and operations would not be a feasible action due to the vast differences between both divisions although that currently Lewis is handling both. While separation of the production function may have been a favorable step for the advertising department, the reality that it would mean putting a 3rd feature under Lewis's wing suggests this ought to be stayed clear of too. The combination of the advertising division is the very best alternative in terms of obtaining the optimum arise from the department. An action prepare for this choice is discussed listed below.

Action Plan.
Lewis will take over 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.

Production feature will certainly continue to be component of advertising under advertising and marketing function.

Lewis will separate herself from operations.

An autonomous leadership design with worker empowerment will be made use of in marketing division.

Open up door policy and focus on cross department interaction will certainly be aimed at eliminating disharmony.

Backup plan.

If the integration does not work out as intended, a contingency strategy would certainly adhere to which would divide the production feature from the advertising function to lower the tons on the SVP of marketing and advertising. In case Judith Shapiro does not get hired, Lewis will certainly be heading the marketing division without an SVP. Because case the manufacturing function will absolutely be divided by positioning it under an SVP manufacturing.