Competing For Development B2 The Berkeley Lab Case Study Solution


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Competing For Development B2 The Berkeley Lab Case Study Solution

Background and Facts

Competing For Development B2 The Berkeley Lab a workplace supplies retailer for tiny and medium sized services has actually just recently been associated with planning for a merging with its rival Home Deport, which has influenced effectiveness levels in departmentswith the elderly manager associated with lawful complications presented by the government Profession Compensation. With the Advertising and marketing Head putting forward the information of his departure from the company in one year, Jeannie Lewis, the existing head of procedures has been asked to take the duty in the near future. With challenges in the form of a potential cultural modification and also reduced employee spirits, the company needs a complete reengineering initiative at the advertising and marketing department.

Issue Statement
Porter's 5 Forces Analysis
The prospective cultural change at the marketing department of Competing For Development B2 The Berkeley Lab is raising uncertainty in the working environment leading to different obstacles for the Jeannie Lewis that would certainly be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in affecting tactical choices given that Stapes Inc. needed to desert its plans of merging with Workplace Deport after the Federal Profession Compensation's intervention in the process. Given the reality that the store has an international presence with branches in UK, USA, Canada as well as Germany, political consider each of these nations may be able to impact performance or tactical goals. Federal Profession Compensation's antitrust fit against the merging occupied useful time of the company's senior monitoring suggesting that 'political' factors can have significant implications for a worldwide company.

Economic Factors: Financial factors such as the appearance of small companies in the international circumstance suggest that Competing For Development B2 The Berkeley Lab is growing in an environment where there is prospective growth of companies. Along with this, fact that store consumers are primarily looking for office materials for home offices recommends that the market has an increasing trend of entrepreneurs and online organisations.

Social factors: Social fads in the economic climate reveal that consumers are seeking benefit along with appealing rates. Market research demonstrates how the consumer for Competing For Development B2 The Berkeley Lab lacks understanding concerning discovering options which can offer a combination of benefit and inexpensive.

Technological factors: Modern technology plays a crucial function in Competing For Development B2 The Berkeley Lab's company method especially as the company is piloting Innovation centers which would use innovation sales and also support in the form of memory upgrades, outer setups. (Recap of BUG in appendix 2).

OB Issues and Manifestations.

Several underlying Organizational Actions issues can be seen in Competing For Development B2 The Berkeley Lab's case as highlighted in this area.

Worries about cultural modification: There is uneasiness regarding a cultural modification that would certainly occur as soon as Todd Krasnow leaves from his setting as the Exec Vice President of Advertising And Marketing with the majority of the employee currently revealing unhappiness over this prospective relocation. This expected adjustment has developed stress in the work environment which has been paired with the past stress of preparing the company for a possible merging with Home Deport.
Pest Analysis
Difficult Work Atmosphere for Newcomers: There is lack of workers that can match the demanding setting of a hectic company. Not just does this cause problem in discovering the ideal people, it places stress on new hires as can not stand up to the rate and also pressure that the organization expects them to bear.

Double Reporting Lines: Newcomers find this organizational culture troublesome and hard to deal with particularly as dotted line partnerships are indicated to be weaker as a whole and also unbiased setup and also efficiency examination is still done by the solid line supervisor. This implies that newbies might lose quality concerning their corresponding roles and goals specifically as dotted line reporting does not keep them in straight communication with the strong line managers.

Bitterness From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower as opposed to Bridget Coles even though it had actually been hypothesized that the last would take Krasnow's position came as an impact to her morale. Lewis might have been qualified and suitable for the job however the reality that Kransnow's departure would make Coles a straight record to Lewis might have been the factor for Coles' resignation from solutions.

Anxiety & Work Instability: Concern and also insecurity can be recognized as two significant concerns that Lewis would certainly be managing particularly as the merging has actually currently be terminated as well as 2 elderly executives of the advertising department would be leaving. The entire obligation of the department would be dropping on Lewis's shoulders that would not just supervise of brining concerning a cultural modification however would certainly additionally have to verify herself in her new function.

Incompatible Administration Design of Leader: Lewis's monitoring style and also its incompatibility with the advertising and marketing department's function can additionally be seen as an OB obstacle particularly as she has actually been utilized to taking care of issues in the procedures division where employees are shown to concentrate on procedures and also obtain them right. The advertising department on the other hand can be viewed as a group of individuals who are used to being supported by Krasnow that concentrated a lot more on output than processes.

Interdepartmental Disagreements: Interdepartmental disputes in between 3 departments, advertising and marketing, merchandizing as well as procedures specifically over the appropriation of the advertising mix can be identified as an additional OB worry. Although the advertising division does not share the very same vision as the various other two divisions concerning the aloocation of the advertising and marketing mix twoards promos and also advertsing, the merchandizing and procedures departments do not concur over the marketing mix allotment amongst one another either.

Fragmentation in Advertising And Marketing Department: Disintegration between the advertising and marketing divisions can be recognized as another OB issue which can need further attention. The truth that the marketing and advertising areas in the marketing division are detached is avoiding both departments from acquiring from each other's experience and also expertise. Integration of advertising with retailing as well as operations would certainly become harder if the marketing division itself is broken down which can be an additional prospective OB concern.

Competing For Development B2 The Berkeley Lab Analysis

Numerous theories have been used to describe the circumstances to obtain more clearness concerning the circumstance available.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Concept X, many supervisors believe that staffs are passive and also careless, have little aspiration and also withstand modification. The hard version of this theory highlighted threat, tight controls, hazards and punishments. Over time it creates low performance, refined sabotage and competition (Offer, 2003). The circumstance at Competing For Development B2 The Berkeley Lab is not totally following Theory X, it can be seen that new hires are finding this atmosphere instead demanding which might ultimately lead to a higher inclination of the monitoring towards Theory X. According to McGregor's advocated view, which he called Theory Y, the crucial job of the administration is to organize business conditions so that individuals can accomplish their very own goals best by directing their efforts towards organizational rewards. If individuals find no satisfaction in their work, the administration would have little selection however to rely on theory X and outside control (Offer, 2003). Also while analyzing Lewis's administration design, theory X may have been suitable in the procedures division to some extent however the Marketing department would certainly need reliance on Concept Y to get the creative thinking and also creativity from the teams.

Tuckman's Teamwork Theory: As for Lewis's worry concerning bringing consistency in between the marketing and advertising division is worried, this would at first result in contrast as talked about by Bruce Tuckman in his 'Synergy Theory'. (Tuckman, 1965). As per Tuckman's concept displayed in appendix 3, during the initial stage of group development, people may not bond, as they are active finding their location in the team. By incorporating the marketing and advertising division's work, there might coincide preliminary disconnect which might bring about the 2nd phase of 'storming' where the groups test one another. It is just throughout the third phase or 'norming' when they would certainly come with each other to share concepts before the team can bring around harmony in the fourth stage 'executing'.

Bridges' Change Version: Based On William Bridge's concept (appendix 4), individuals are quite awkward with change, which is evident by the situation at Competing For Development B2 The Berkeley Lab The situation can be seen as a typical course of life if is studied according to Bridge's concept where he discusses that people go through 3 phases of shift when they experience adjustment. 'Ending, shedding and also Releasing', The Neutral Area and 'The New Beginning' (Bridges, 2004). When individuals are presented with modification, they get in stage one and so there may be feelings like unhappiness, uncertainty, irritation, temper, concern, rejection and disorientation.The situation at the advertising and marketing division of Competing For Development B2 The Berkeley Lab is similar so Lewis can obtain comfy with the suggestion that it is not extraordinary behavior. In the 2nd stage, there may be a demand to connect the space between the brand-new as well as old society so Lewis might need to face this challenge once Krasnow leaves. There might be low spirits and also low efficiency at this phase which ought to not be taken as a trouble. It is throughout this phase that Lewis will certainly have to offer guidance to the division to ensure that they can discover a sense of direction. It can be seen exactly how Krasnow has already made this transition much easier by making Lewis get associated with the division a year prior to his actual separation. According to Bridges' Version, phase three will cause visibility to knowing, High energy as well as dedication as people will embrace the modification (Bridges, 2004).
Vrio Analysis
Abraham Maslow in his Theory of 'Requirements Pecking order' (appendix 5) has goes over the relevance of 'protection needs as being a reduced level need of a human for setting off inspiration. As seen in the pyramid shared in appendix 3, we can see just how 'the demand to really feel safe and secure and out of threat' is at the second level of requirements. Prior to a worker can be made to develop emotionally, he requires to have his 'Physical 'as well as 'Safety' requires met.

SWOT Analysis for Competing For Development B2 The Berkeley Lab Case Study

Implication of Analysis.

The OB analysis has actually checked out numerous concepts to understand just how to deal with the present circumstance handy. The adhering to three options have been suggested to assist Lewis take care of the business challenges in the advertising and marketing department. Each of these choices has actually been proposed for easing the transition required to bring the advertising department according to the demands of the market and also for making the cultural adjustment that would certainly comply with as soon as the current leader leaves.

Combination of advertising and marketing functions. Dividing Adverting and also Manufacturing functions. Integration of Advertising And Marketing with Procedures.

Analysis of Alternatives.

Judith Shapiro that has earlier been interviewed by Lewis during the earlier merging days has knowledge in business-to-business marketing along with company and also retail advertising and marketing experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising to take care of both advertising and marketing as well as advertising functions.

The benefit of this strategy is that it will incorporate the two features while minimizing the requirement for hiring an added source for advertising and marketing. Lewis would be heading the advertising department and in any case her replacement would be required for the existing role that she is performing. The disadvantage of this choice is that outside hiring may cause bitterness from internal employees that might be considering the setting of EVP after Lewis takes over Krasnow's placement.

Dividing Adverting and Manufacturing: Given the competitive pressures as well as premium quality work called for from the ad agency, it is advised that Lewis needs to enable the production system to be a different feature from the advertising and marketing unit. Since the majority of ad agency had these 2 features as different units, it makes even more feeling to adhere to the norm. Both functions might be able to focus on their core activates more successfully. However, the negative aspect of this approach would be that added prices would certainly have to be birthed for establishing different production features. Along with this, a production head may need to be worked with which might increase expenses for the organization.

Combination of Advertising with Operations: Because Lewis is already taking care of the marketing and operations divisions concurrently; it makes sense to integrate the 2 features since she has actually been efficiently taking treatment of both ends. The reality that Lewis has to adapt her administration design for the advertising department suggests that these two divisions would certainly be culturally diverse.


An assessment of the 3 options suggests that assimilation of advertising and marketing and also procedures would certainly not be a viable step as a result of the huge distinctions in between the two divisions although that presently Lewis is taking care of both. While separation of the manufacturing feature might have been a favorable step for the advertising and marketing division, the reality that it would suggest putting a 3rd feature under Lewis's wing suggests this need to be stayed clear of as well. The integration of the advertising division is the very best choice in terms of getting the ideal arise from the division. An action plan for this choice is talked about below.

Action Plan.
Lewis will take over the role of EVP Marketing after Krasnow leaves.

Marketing and advertising features would certainly be combined.

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

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

Lewis will divide herself from procedures.

An autonomous leadership style with staff member empowerment will certainly be made use of in marketing division.

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

Backup plan.

If the integration does not work out as intended, a backup strategy would follow which would divide the production feature from the marketing feature 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. In that case the production function will most definitely be separated by putting it under an SVP manufacturing.