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Colby General Hospital C Case Study Solution

Background and Facts

Colby General Hospital C a workplace products retailer for small and medium sized companies has actually recently been involved in preparing for a merging with its competitor Home Deport, which has influenced effectiveness levels in departmentswith the senior supervisor involved in lawful issues put forth by the government Trade Commission. With the Marketing Head advancing the news of his separation from the business in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the role in the near future. With challenges in the kind of a prospective cultural adjustment and reduced worker spirits, the company requires a complete reengineering effort at the advertising department.

Trouble Statement

The prospective cultural change at the advertising department of Colby General Hospital C is boosting unpredictability in the workplace resulting in various obstacles for the Jeannie Lewis who would be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major role in influencing strategic decisions since Stapes Inc. needed to abandon its plans of combining with Office Deport after the Federal Trade Commission's treatment at the same time. Given the fact that the shop has an international existence with branches in UK, UNITED STATES, Canada and also Germany, political consider each of these countries may be able to influence performance or tactical goals. Federal Trade Payment's antitrust suit against the merging occupied beneficial time of the organization's senior management suggesting that 'political' factors can have major ramifications for a worldwide organisation.

Economic Factors: Financial factors such as the emergence of small businesses in the international situation recommend that Colby General Hospital C is growing in an atmosphere where there is possible growth of businesses. In addition to this, fact that shop clients are primarily looking for workplace materials for home offices suggests that the marketplace has a climbing pattern of business owners and home based services.

Social factors: Social patterns in the economic climate show that customers are seeking benefit along with appealing prices. Market research shows how the consumer for Colby General Hospital C lacks understanding about discovering remedies which can offer a mix of convenience and affordable.

Technological factors: Technology plays an essential role in Colby General Hospital C's business approach especially as the organization is piloting Innovation centers which would provide technology sales and also assistance in the type of memory upgrades, outer installments. (Recap of BUG in appendix 2).

OB Issues and Symptoms.

Several underlying Business Actions concerns can be seen in Colby General Hospital C's case as highlighted in this area.

Worries concerning social modification: There is apprehension about a cultural change that would certainly occur as soon as Todd Krasnow leaves from his position as the Executive Vice President of Marketing with most of the employee currently showing unhappiness over this possible relocation. This anticipated modification has actually produced stress in the workplace which has been coupled with the previous anxiety of preparing the company for a possible merger with Residence Deport.

Stressful Job Setting for Newcomers: There is scarcity of employees that can match the stressful environment of a fast-paced organization. Not just does this cause trouble in discovering the best people, it puts tension on brand-new hires as can not hold up against the speed and pressure that the company expects them to bear.

Twin Reporting Lines: Beginners discover this organizational culture cumbersome and hard to manage specifically as dotted line connections are meant to be weak in general and objective setting and performance evaluation is still done by the strong line manager. This suggests that newcomers might lose clearness concerning their corresponding duties and purposes particularly as populated line coverage does not maintain them in direct communication with the solid line managers.

Animosity From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor as opposed to Bridget Coles although it had actually been guessed that the last would certainly take Krasnow's setting came as a blow to her spirits. Lewis may have been capable and also appropriate for the work but the truth that Kransnow's departure would make Coles a straight report to Lewis might have been the reason for Coles' resignation from solutions.

Worry & Job Instability: Anxiety and also insecurity can be recognized as two significant problems that Lewis would certainly be managing especially as the merger has now be terminated as well as two elderly execs of the advertising department would be leaving. The whole obligation of the department would be falling on Lewis's shoulders that would certainly not just be in charge of brining concerning a social change however would certainly also have to confirm herself in her new role.

Inappropriate Management Design of Leader: Lewis's monitoring design as well as its incompatibility with the advertising department's role can also be viewed as an OB challenge especially as she has been made use of to taking care of concerns in the operations division where employees are educated to focus on procedures as well as obtain them right. The marketing department on the various other hand can be seen as a group of people that are utilized to being supported by Krasnow who concentrated more on output than procedures.

Interdepartmental Disputes: Interdepartmental disputes in between three departments, advertising, merchandizing and operations respectively over the allowance of the advertising and marketing mix can be recognized as an additional OB issue. The marketing division does not share the same vision as the other 2 divisions pertaining to the aloocation of the advertising and marketing mix twoards promos and also advertsing, the merchandizing and procedures divisions do not concur over the advertising mix allocation among one another either.

Fragmentation in Marketing Division: Fragmentation between the marketing and advertising divisions can be determined as an additional OB concern which might require further attention. The reality that the advertising and marketing sections in the marketing division are detached is protecting against both departments from getting from each other's experience and also know-how. Combination of advertising and marketing with merchandising and operations would certainly end up being harder if the marketing division itself is degenerated which can be an additional possible OB worry.

Colby General Hospital C Analysis

Various concepts have been made use of to clarify the conditions to obtain additional clearness about the scenario available.

McGregor's Theory X & Y: According to Douglas McGregor's Concept X, a lot of managers believe that staffs are easy as well as lazy, have little ambition and also resist modification. The difficult version of this theory emphasized threat, tight controls, hazards and punishments. In time it produces reduced productivity, refined sabotage and rivalry (Bargain, 2003). The situation at Colby General Hospital C is not totally complying with Concept X, it can be seen that new hires are discovering this environment instead difficult which may eventually lead to a higher inclination of the management in the direction of Concept X. As per McGregor's promoted view, which he called Theory Y, the important job of the administration is to arrange business conditions to make sure that individuals can attain their own goals best by directing their initiatives in the direction of business benefits. If individuals discover no satisfaction in their job, the management would have little selection however to rely upon concept X and exterior control (Bargain, 2003). Also while analyzing Lewis's administration design, theory X may have been suitable in the operations department somewhat yet the Advertising and marketing department would need dependence on Theory Y in order to get the imagination and originality from the groups.

Tuckman's Teamwork Theory: As for Lewis's issue regarding bringing consistency between the marketing and advertising department is worried, this would at first result in contrast as discussed by Bruce Tuckman in his 'Team effort Theory'. (Tuckman, 1965). As per Tuckman's concept displayed in appendix 3, during the preliminary phase of team development, individuals might not bond, as they are hectic locating their area in the team. By combining the marketing and advertising department's work, there might be the same first separate which might cause the second stage of 'storming' where the teams challenge one another. Nevertheless, it is just throughout the third stage or 'norming' when they would collaborate to share ideas prior to the team can produce synergy in the fourth phase 'carrying out'.

When individuals are offered with modification, they enter phase one and so there might be emotions like sadness, unpredictability, frustration, rage, worry, rejection and disorientation.The scenario at the marketing department of Colby General Hospital C is comparable so Lewis can obtain comfy with the concept that it is not remarkable habits. It is throughout this stage that Lewis will certainly have to provide guidance to the department so that they can discover a sense of instructions. It can be seen how Krasnow has already made this transition easier by making Lewis get entailed in the department a year prior to his real separation.

Abraham Maslow in his Theory of 'Demands Pecking order' (appendix 5) has reviews the value of 'safety requires as being a reduced level need of a human for activating motivation. As seen in the pyramid shared in appendix 3, we can see how 'the need to feel secure and also out of danger' is at the second level of requirements. Prior to an employee can be made to create mentally, he needs to have his 'Physiological 'and also 'Safety and security' needs satisfied.

SWOT Analysis for Colby General Hospital C Case Study

Implication of Analysis.

The OB analysis has taken a look at various concepts to recognize exactly how to handle the current scenario available. The adhering to 3 alternatives have actually been proposed to aid Lewis manage the organizational difficulties in the advertising and marketing department. Each of these choices has been suggested for alleviating the transition required to bring the advertising and marketing department according to the needs of the marketplace and also for making the social change that would follow as soon as the present leader leaves.

Combination of marketing and advertising features. Separating Adverting and Production features. Combination of Marketing with Operations.

Examination of Alternatives.

Combination of Advertising & Advertising And Marketing Functions: The in-house advertising and marketing company of Colby General Hospital C is currently stamina for the company in terms of saving up on expenses associated with marketing and also promo. Considering that no new employment has been done after Bridget Cole's separation with the coverage line being directly assigned to Krasnow for the marketing feature, this is a beneficial possibility for integrating the advertising and marketing functions. Judith Shapiro that has earlier been interviewed by Lewis during the earlier merging days has know-how in business-to-business marketing in addition to firm as well as retail advertising and marketing experience. When Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising to take care of both advertising and marketing features.

The advantage of this technique is that it will integrate both functions while lowering the requirement for working with an extra resource for advertising. In addition to this, Lewis would certainly be heading the marketing department and all the same her replacement would be needed for the current role that she is carrying out. The drawback of this option is that outside hiring may cause animosity from inner workers that might be eying the position of EVP after Lewis takes over Krasnow's position.

Dividing Adverting and Manufacturing: Given the affordable pressures and also high quality work required from the ad agency, it is suggested that Lewis must enable the production unit to be a different feature from the advertising and marketing unit. Since many ad agency had these two features as different units, it makes more sense to adhere to the norm. Along with this, both features may be able to concentrate on their core activates extra effectively. However, the disadvantage of this approach would be that added prices would need to be borne for establishing separate production features. A manufacturing head might have to be hired which could increase expenses for the company.

Integration of Advertising And Marketing with Workflows: Since Lewis is already caring for the advertising and marketing as well as operations divisions concurrently; it makes good sense to integrate both features because she has actually been efficiently dealing with both ends. The reality that both divisions already have significant differences over appropriation of sources suggests that this combination might have the ability to cause harmony specifically as Lewis would be heading both ends.However there are numerous downsides of this relocation particularly as it would put way too much problem over Lewis's shoulders. The truth that Lewis needs to adjust her management style for the advertising and marketing department recommends that these 2 divisions would be culturally diverse. Lewis may not be able to apply one kind of leadership design to both departments which might result in inadequacy in either one of the 2 functions.


An analysis of the three options suggests that combination of marketing as well as operations would certainly not be a viable relocation due to the huge differences in between the two departments regardless of the reality that presently Lewis is managing both. While separation of the manufacturing feature might have been a positive relocation for the advertising department, the reality that it would certainly suggest positioning a third feature under Lewis's wing means this ought to be stayed clear of.

Activity Plan.

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

Marketing and advertising functions 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 continue to be part of advertising under advertising and marketing function.

Lewis will divide herself from operations.

An autonomous leadership design with staff member empowerment will be utilized in advertising department.

Open up door plan and also focus on cross department communication will be targeted at getting rid of discord.

Contingency plan.

If the integration does not work out as planned, a backup strategy would adhere to which would certainly divide the manufacturing feature from the advertising 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 division without an SVP. Because case the production function will most definitely be divided by positioning it under an SVP manufacturing.