Bolivia And Evo Morales Case Study Analysis


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Bolivia And Evo Morales Case Study Solution

Background and Facts

Bolivia And Evo Morales an office supplies seller for tiny as well as medium sized companies has actually just recently been associated with planning for a merging with its competitor House Deport, which has actually influenced effectiveness levels in departmentswith the elderly supervisor involved in legal complications put forth by the federal Trade Payment. With the Marketing Head putting forward the news of his departure from the firm in one year, Jeannie Lewis, the present head of procedures has actually been asked to take the role in the future. With difficulties in the kind of a prospective social modification and low staff member spirits, the organization requires a full reengineering initiative at the advertising department.

Issue Statement
Porter's 5 Forces Analysis
The possible cultural modification at the advertising and marketing department of Bolivia And Evo Morales is boosting unpredictability in the working environment causing different difficulties for the Jeannie Lewis that would certainly be replacing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major function in influencing tactical decisions considering that Stapes Inc. had to abandon its strategies of merging with Office Deport after the Federal Trade Commission's treatment in the process. Given the fact that the store has a worldwide presence with branches in UK, U.S.A., Canada as well as Germany, political consider each of these nations may have the ability to impact performance or tactical goals. Federal Trade Compensation's antitrust fit against the merger used up beneficial time of the company's senior monitoring recommending that 'political' factors can have major ramifications for a worldwide business.

Economic Factors: Financial factors such as the introduction of small businesses in the global situation suggest that Bolivia And Evo Morales is growing in an atmosphere where there is potential development of businesses. Reality that store clients are mostly looking for office supplies for residence offices suggests that the market has an increasing pattern of business owners and also residence based services.

Social factors: Social patterns in the economic climate reveal that customers are looking for benefit as well as eye-catching rates. Market research shows how the client for Bolivia And Evo Morales does not have understanding regarding discovering remedies which can provide a mix of benefit and affordable.

Technological factors: Technology plays an essential duty in Bolivia And Evo Morales's company technique especially as the company is piloting Innovation facilities which would provide innovation sales and assistance in the form of memory upgrades, outer setups. (Summary of BUG in appendix 2).

OB Issues and also Effects.

A number of underlying Organizational Behavior issues can be seen in Bolivia And Evo Morales's case as highlighted in this section.

Apprehensions concerning social modification: There is apprehension concerning a cultural adjustment that would happen once Todd Krasnow leaves from his placement as the Executive Vice Head Of State of Advertising with the majority of the employee currently revealing discontent over this potential move. This expected adjustment has actually developed stress in the work environment which has been combined with the previous stress of preparing the company for a possible merger with Home Deport.
Pest Analysis
Difficult Task Environment for Newcomers: There is scarcity of workers that can match the demanding atmosphere of a busy company. Not only does this cause trouble in finding the right individuals, it puts stress and anxiety on new hires as can not hold up against the pace and also stress that the organization anticipates them to birth.

Double Reporting Lines: Novices discover this business society troublesome and hard to deal with specifically as populated line relationships are suggested to be weaker generally and unbiased setting as well as efficiency evaluation is still done by the solid line manager. This suggests that newcomers might shed quality concerning their respective roles and also goals especially as populated line reporting does not keep them in straight interaction with the strong line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor rather than Bridget Coles even though it had been hypothesized that the last would take Krasnow's setting came as a strike to her spirits. Lewis might have been qualified and suitable for the job yet the truth that Kransnow's separation would certainly make Coles a straight report to Lewis may have been the reason for Coles' resignation from solutions.

Fear & Job Instability: Fear and also instability can be recognized as 2 significant worries that Lewis would be handling especially as the merging has currently be terminated as well as 2 elderly executives of the marketing department would certainly be leaving. The entire responsibility of the division would certainly be dropping on Lewis's shoulders who would not simply supervise of brining regarding a cultural change but would also need to prove herself in her new function.

Inappropriate Administration Design of Leader: Lewis's monitoring style and also its incompatibility with the advertising division's function can likewise be viewed as an OB challenge specifically as she has actually been made use of to taking care of issues in the procedures department where employees are instructed to focus on procedures and get them right. The advertising and marketing division on the various other hand can be seen as a team of people who are made use of to being nurtured by Krasnow that focused extra on output than procedures.

Interdepartmental Differences: Interdepartmental disagreements in between 3 departments, advertising and marketing, merchandizing as well as operations respectively over the allocation of the advertising mix can be identified as one more OB concern. Although the advertising and marketing division does not share the exact same vision as the various other 2 departments relating to the aloocation of the marketing mix twoards promotions and advertsing, the merchandizing as well as operations departments do not agree over the advertising and marketing mix allocation amongst each other either.

Fragmentation in Advertising Division: Fragmentation between the marketing and advertising departments can be determined as another OB issue which can require more attention. The truth that the advertising and marketing sections in the advertising department are disconnected is protecting against both divisions from getting from each various other's experience as well as proficiency. Assimilation of advertising and marketing with retailing and also operations would end up being more difficult if the marketing department itself is degenerated which can be another potential OB problem.

Bolivia And Evo Morales Analysis

Various concepts have actually been made use of to clarify the situations to get additional clarity about the scenario available.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, many supervisors believe that juniors are passive and careless, have little aspiration and also withstand adjustment. The situation at Bolivia And Evo Morales is not entirely adhering to Theory X, it can be seen that brand-new hires are discovering this setting instead difficult which might at some point lead to a greater inclination of the management in the direction of Theory X. Also while evaluating Lewis's management design, concept X may have been suitable in the procedures division to some extent however the Advertising and marketing department would need dependence on Theory Y in order to get the creativity and creativity from the groups.

Tuckman's Teamwork Concept: As far as Lewis's issue regarding bringing harmony in between the marketing and advertising division is worried, this would at first bring about contrast as talked about by Bruce Tuckman in his 'Teamwork Concept'. (Tuckman, 1965). According to Tuckman's theory shown in appendix 3, throughout the initial stage of team development, individuals may not bond, as they are active discovering their location in the team. By incorporating the marketing and advertising department's job, there may coincide preliminary detach which can lead to the second stage of 'storming' where the teams challenge each other. It is only throughout the 3rd phase or 'norming' when they would come with each other to share concepts prior to the group can bring about synergy in the fourth phase 'doing'.

When individuals are provided with modification, they go into phase one as well as so there might be feelings like despair, uncertainty, irritation, anger, concern, rejection and disorientation.The circumstance at the advertising department of Bolivia And Evo Morales is similar so Lewis can get comfy with the idea that it is not amazing behavior. It is during this phase that Lewis will have to provide support to the division so that they can discover a feeling of instructions. It can be seen how Krasnow has actually already made this change much easier by making Lewis get entailed in the department a year prior to his actual separation.
Vrio Analysis
Maslow's Need pecking order: The OB problem pertaining to insecurity at the office has been set off firstly by the modification in monitoring and also second of all by the truth that the merger will certainly no more be initiated. Abraham Maslow in his Concept of 'Requirements Hierarchy' (appendix 5) has reviews the value of 'security needs as being a reduced level requirement of a human for setting off motivation. As seen in the pyramid cooperated appendix 3, we can see just how 'the demand to feel safe as well as unharmed' goes to the second level of requirements. Prior to an employee can be made to create psychologically, he needs to have his 'Physical 'and 'Safety' needs met. This indicates that unless the employees are made to really feel safe and secure regarding their current work standing in Bolivia And Evo Morales they might not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Bolivia And Evo Morales Case Study

Effects of Analysis.

The OB analysis has actually checked out various theories to understand exactly how to cope with the existing circumstance at hand. The adhering to 3 alternatives have actually been suggested to assist Lewis handle the organizational challenges in the marketing division. Each of these choices has actually been suggested for alleviating the transition required to bring the advertising department in line with the needs of the market and for making the cultural change that would certainly comply with as soon as the existing leader leaves.

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

Analysis of Alternatives.

Combination of Advertising And Marketing & Advertising Functions: The internal advertising company of Bolivia And Evo Morales is already strength for the organization in terms of saving up on overheads related to advertising and marketing and promotion. Given that no brand-new recruitment has actually been done after Bridget Cole's separation with the reporting line being straight designated to Krasnow for the advertising and marketing function, this is a favorable opportunity for integrating the advertising and marketing features. Judith Shapiro who has earlier been talked to by Lewis during the earlier merging days has knowledge in business-to-business marketing along with firm as well as retail marketing experience. As soon as Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising to manage both advertising and marketing functions.

The benefit of this method is that it will incorporate the two features while decreasing the need for working with an additional source for advertising. In addition to this, Lewis would certainly be heading the advertising and marketing division as well as all the same her replacement would certainly be required for the present role that she is carrying out. The drawback of this alternative is that outside hiring might produce resentment from interior personnel who may be looking at the setting of EVP after Lewis takes control of Krasnow's placement.

Separating Adverting and Production: Given the affordable pressures and also high top quality work needed from the marketing agency, it is advised that Lewis must enable the production unit to be a different feature from the advertising system. Given that many advertising and marketing firms had these two functions as different devices, it makes more feeling to adhere to the standard.

Combination of Advertising And Marketing with Workflows: Given that Lewis is already taking treatment of the advertising and marketing and operations departments simultaneously; it makes sense to incorporate the two functions given that she has actually been effectively taking treatment of both ends. The truth that Lewis has to adjust her monitoring design for the advertising division suggests that these 2 divisions would be culturally varied.


An evaluation of the three alternatives indicates that combination of advertising as well as operations would not be a feasible action due to the vast distinctions in between the 2 divisions despite the fact that currently Lewis is handling both. While separation of the manufacturing function may have been a favorable relocation for the advertising department, the reality that it would certainly suggest putting a third function under Lewis's wing suggests this need to be stayed clear of.

Action Strategy.
Lewis will take control of the function of EVP Advertising after Krasnow leaves.

Advertising and Marketing features would be combined.

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

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

Lewis will divide herself from procedures.

A democratic leadership design with employee empowerment will certainly be utilized in marketing department.

Open up door policy and also focus on cross departmental communication will certainly be aimed at removing disharmony.

Backup strategy.

If the combination does not exercise as intended, a contingency strategy would certainly follow which would certainly separate the production feature from the marketing feature to decrease the lots on the SVP of marketing and advertising. In case Judith Shapiro does not obtain hired, Lewis will be heading the marketing division without an SVP. Because case the production feature will most definitely be separated by positioning it under an SVP production.