Corporate Governance The Jack Wright Series 13 A Not For Profit Organization Case Study Analysis


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Corporate Governance The Jack Wright Series 13 A Not For Profit Organization Case Study Analysis

Background and Facts

Corporate Governance The Jack Wright Series 13 A Not For Profit Organization an office materials seller for small and moderate sized businesses has actually recently been involved in planning for a merging with its rival Home Deport, which has impacted efficiency levels in departmentswith the elderly supervisor involved in legal difficulties presented by the government Profession Commission. With the Advertising Head advancing the news of his departure from the business in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the function in the near future. With obstacles in the type of a prospective social adjustment and reduced worker morale, the company is in need of a full reengineering initiative at the advertising and marketing division.

Trouble Statement
Porter's 5 Forces Analysis
The potential social adjustment at the marketing department of Corporate Governance The Jack Wright Series 13 A Not For Profit Organization is raising unpredictability in the workplace resulting in different obstacles for the Jeannie Lewis who would certainly be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in impacting strategic decisions considering that Stapes Inc. needed to abandon its plans of combining with Workplace Deport after the Federal Profession Commission's intervention in the process. Provided the reality that the shop has a global presence with branches in UK, UNITED STATES, Canada and also Germany, political consider each of these countries may be able to impact performance or calculated objectives. Federal Trade Commission's antitrust fit against the merging used up valuable time of the organization's elderly monitoring recommending that 'political' factors can have serious effects for an international company.

Economic Factors: Economic factors such as the introduction of local business in the worldwide situation suggest that Corporate Governance The Jack Wright Series 13 A Not For Profit Organization is thriving in an atmosphere where there is potential development of companies. In addition to this, reality that store customers are mostly seeking office supplies for office suggests that the market has a climbing fad of business owners as well as home based organisations.

Social factors: Social trends in the economic situation reveal that customers are looking for comfort in addition to eye-catching prices. Market research shows how the client for Corporate Governance The Jack Wright Series 13 A Not For Profit Organization lacks understanding regarding finding solutions which can supply a mix of benefit and affordable.

Technological factors: Innovation plays a crucial function in Corporate Governance The Jack Wright Series 13 A Not For Profit Organization's service approach especially as the organization is piloting Innovation facilities which would certainly supply innovation sales and also assistance in the form of memory upgrades, outer setups. (Summary of INSECT in appendix 2).

OB Issues and also Symptoms.

A number of underlying Organizational Behavior concerns can be seen in Corporate Governance The Jack Wright Series 13 A Not For Profit Organization's case as highlighted in this section.

Uneasiness regarding social adjustment: There is apprehension about a cultural adjustment that would certainly occur as soon as Todd Krasnow leaves from his placement as the Executive Vice Head Of State of Advertising with a lot of the personnel currently revealing discontent over this prospective step. This expected adjustment has actually produced anxiety in the workplace which has actually been paired with the past tension of preparing the firm for a prospective merger with Residence Deport.
Pest Analysis
Stressful Work Atmosphere for Newcomers: There is shortage of employees that can match the demanding atmosphere of a busy company. Not just does this lead to problem in discovering the ideal people, it places tension on new hires as can not withstand the rate and stress that the organization expects them to birth.

Twin Reporting Lines: Novices discover this business society troublesome as well as tough to handle particularly as dotted line partnerships are indicated to be weaker in general and unbiased setting as well as performance analysis is still done by the solid line supervisor. This means that newcomers can shed quality concerning their respective roles as well as goals especially as dotted line reporting does not keep them in straight communication with the solid line managers.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower instead of Bridget Coles even though it had been hypothesized that the latter would certainly take Krasnow's placement came as a blow to her morale. Lewis may have been qualified and proper for the work but the truth that Kransnow's separation would make Coles a direct report to Lewis might have been the reason for Coles' resignation from solutions.

Concern & Job Instability: Worry and instability can be determined as 2 significant concerns that Lewis would certainly be dealing with specifically as the merger has now be terminated and two elderly executives of the advertising and marketing division would be leaving. The whole obligation of the division would be falling on Lewis's shoulders that would certainly not simply be in charge of brining concerning a social change yet would certainly also have to prove herself in her new role.

Inappropriate Monitoring Style of Leader: Lewis's management style and its conflict with the advertising department's duty can additionally be seen as an OB difficulty especially as she has actually been made use of to taking care of concerns in the procedures division where personnel are instructed to focus on procedures and obtain them. The advertising division on the other hand can be seen as a team of individuals that are used to being nurtured by Krasnow that concentrated more on output than procedures.

Interdepartmental Differences: Interdepartmental differences in between 3 departments, advertising, merchandizing as well as operations specifically over the allocation of the advertising and marketing mix can be identified as another OB concern. The advertising and marketing division does not share the exact same vision as the various other 2 divisions relating to the aloocation of the marketing mix twoards promos as well as advertsing, the merchandizing and procedures divisions do not agree over the advertising and marketing mix allowance amongst one another either.

Fragmentation in Advertising And Marketing Division: Disintegration between the advertising and marketing departments can be determined as an additional OB concern which might require additional focus. The truth that the marketing and advertising sections in the advertising division are disconnected is protecting against both divisions from obtaining from each other's experience as well as proficiency. Combination of advertising and marketing with merchandising as well as procedures would become more difficult if the advertising department itself is degenerated which can be another possible OB concern.

Corporate Governance The Jack Wright Series 13 A Not For Profit Organization Analysis

Different theories have actually been utilized to describe the scenarios to obtain more quality concerning the circumstance at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, a lot of supervisors think that staffs are passive and also lazy, have little aspiration and resist adjustment. The difficult version of this concept highlighted browbeating, tight controls, threats and punishments. Gradually it produces reduced efficiency, subtle sabotage and competition (Deal, 2003). The situation at Corporate Governance The Jack Wright Series 13 A Not For Profit Organization is not entirely adhering to Concept X, it can be seen that new hires are locating this atmosphere instead stressful which might eventually lead to a greater inclination of the management in the direction of Concept X. According to McGregor's promoted view, which he called Concept Y, the essential task of the management is to arrange organizational problems to ensure that people can accomplish their own goals best by directing their initiatives towards organizational incentives. If individuals discover no fulfillment in their job, the management would certainly have little option however to rely on theory X and also outside control (Offer, 2003). Also while examining Lewis's monitoring style, concept X might have appropriated in the operations division somewhat but the Marketing department would call for reliance on Concept Y in order to get the imagination and originality from the teams.

Tuckman's Teamwork Concept: As for Lewis's problem regarding bringing harmony between the marketing and advertising division is concerned, this would initially result in conflict as reviewed by Bruce Tuckman in his 'Teamwork Concept'. (Tuckman, 1965). As per Tuckman's concept displayed in appendix 3, throughout the preliminary phase of group development, individuals may not bond, as they are active discovering their place in the group. By integrating the marketing and advertising division's work, there might coincide preliminary detach which might result in the 2nd stage of 'storming' where the teams test each other. It is just throughout the 3rd phase or 'norming' when they would certainly come with each other to share concepts prior to the team can bring about harmony in the fourth phase 'doing'.

When people are provided with modification, they get in phase one and so there might be emotions like despair, unpredictability, disappointment, anger, fear, denial as well as disorientation.The circumstance at the marketing division of Corporate Governance The Jack Wright Series 13 A Not For Profit Organization is comparable so Lewis can get comfy with the concept that it is not phenomenal actions. It is during this phase that Lewis will have to give support to the department so that they can discover a sense of instructions. It can be seen just how Krasnow has already made this shift easier by making Lewis get included in the division a year prior to his real departure.
Vrio Analysis
Abraham Maslow in his Concept of 'Demands Power structure' (appendix 5) has reviews the importance of 'security requires as being a reduced degree need of a human for causing inspiration. As seen in the pyramid shared in appendix 3, we can see how 'the requirement to really feel secure and out of risk' is at the second level of demands. Prior to a staff member can be made to establish emotionally, he requires to have his 'Physiological 'and 'Safety and security' requires fulfilled.

SWOT Analysis for Corporate Governance The Jack Wright Series 13 A Not For Profit Organization Case Study

Ramification of Analysis.

The OB analysis has actually checked out various concepts to recognize exactly how to cope with the present scenario at hand. The complying with three options have actually been suggested to help Lewis deal with the organizational difficulties in the advertising department. Each of these options has been proposed for alleviating the change needed to bring the marketing division according to the requirements of the marketplace as well as for making the cultural change that would certainly follow when the existing leader leaves.

Assimilation of advertising and marketing functions. Dividing Adverting and also Manufacturing functions. Combination of Marketing with Procedures.

Examination of Alternatives.

Combination of Marketing & Advertising And Marketing Functions: The in-house advertising and marketing firm of Corporate Governance The Jack Wright Series 13 A Not For Profit Organization is currently strength for the organization in terms of conserving up on overheads connected to marketing and promo. Since no brand-new recruitment has been done after Bridget Cole's departure with the reporting line being straight assigned to Krasnow for the advertising and marketing feature, this is a favorable possibility for integrating the marketing and advertising functions. Judith Shapiro who has earlier been interviewed by Lewis throughout the earlier merging days has know-how in business-to-business marketing along with agency and retail advertising and marketing experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising and marketing to deal with both marketing and advertising functions.

The advantage of this technique is that it will incorporate the two features while lowering the demand for hiring an extra source for marketing. In addition to this, Lewis would be heading the marketing department and also regardless her substitute would be needed for the present role that she is performing. The disadvantage of this option is that outside hiring may cause animosity from internal workers who might be looking at the placement of EVP after Lewis takes over Krasnow's position.

Separating Adverting as well as Production: Offered the affordable pressures as well as high top quality job required from the marketing firm, it is advised that Lewis should enable the production system to be a different feature from the marketing device. Since a lot of marketing firms had these 2 features as different units, it makes even more feeling to follow the norm.

Integration of Marketing with Workflows: Given that Lewis is already taking care of the marketing and also procedures divisions all at once; it makes sense to incorporate the 2 functions since she has actually been efficiently taking treatment of both ends. The reality that Lewis has to adjust her administration design for the marketing department recommends that these two departments would be culturally diverse.


An examination of the three choices suggests that integration of advertising as well as procedures would not be a viable move due to the huge distinctions in between the two departments despite the reality that currently Lewis is taking care of both. While splitting up of the production function might have been a beneficial step for the advertising and marketing division, the truth that it would indicate putting a third feature under Lewis's wing indicates this must be avoided.

Activity Plan.
Lewis will certainly take control of the duty of EVP Advertising and marketing after Krasnow leaves.

Advertising and Marketing functions would certainly be combined.

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

Production function will stay component of marketing under marketing function.

Lewis will certainly separate herself from operations.

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

Open door plan and also emphasis on cross department communication will certainly be focused on removing discord.

Backup strategy.

If the combination does not work out as planned, a backup strategy would follow which would separate the production function from the marketing feature to reduce the lots on the SVP of advertising and marketing. In case Judith Shapiro does not get employed, Lewis will be heading the marketing division without an SVP. Because case the production function will most definitely be divided by positioning it under an SVP production.