Cox Communications Inc 1999 Case Study Analysis


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Background and Facts

Cox Communications Inc 1999 a workplace supplies merchant for little and average sized companies has lately been associated with planning for a merger with its rival Residence Deport, which has actually impacted effectiveness degrees in departmentswith the elderly supervisor involved in legal difficulties presented by the government Profession Compensation. With the Marketing Head advancing the news of his separation from the business in one year, Jeannie Lewis, the present head of procedures has been asked to take the duty in the future. With challenges in the form of a possible cultural modification and low worker morale, the organization is in need of a total reengineering effort at the advertising division.

Trouble Declaration
Porter's 5 Forces Analysis
The possible cultural change at the advertising and marketing department of Cox Communications Inc 1999 is enhancing uncertainty in the workplace resulting in various obstacles for the Jeannie Lewis that would be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant role in impacting calculated decisions considering that Stapes Inc. had to abandon its strategies of combining with Workplace Deport after the Federal Profession Commission's intervention in the process. Given the truth that the store has a global existence with branches in UK, UNITED STATES, Canada as well as Germany, political factors in each of these countries might have the ability to affect performance or tactical objectives. Federal Profession Commission's antitrust suit versus the merger occupied valuable time of the company's senior administration recommending that 'political' factors can have severe implications for an international business.

Economic Factors: Economic factors such as the emergence of local business in the global circumstance recommend that Cox Communications Inc 1999 is growing in an atmosphere where there is possible development of businesses. Truth that shop consumers are mainly looking for office supplies for home workplaces recommends that the market has a climbing fad of entrepreneurs as well as home based companies.

Social factors: Social patterns in the economic situation show that customers are seeking ease as well as appealing costs. Marketing research demonstrates how the client for Cox Communications Inc 1999 does not have recognition about finding options which can use a combination of ease and affordable.

Technological factors: Modern technology plays an important function in Cox Communications Inc 1999's company method particularly as the organization is piloting Technology facilities which would provide innovation sales and also support in the kind of memory upgrades, outer installations. (Recap of PARASITE in appendix 2).

OB Issues as well as Symptoms.

Numerous underlying Business Habits problems can be seen in Cox Communications Inc 1999's case as highlighted in this section.

Worries concerning 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 President of Marketing with the majority of the personnel already showing discontent over this prospective move. This expected modification has actually developed tension in the office which has actually been coupled with the previous stress and anxiety of preparing the firm for a possible merging with Residence Deport.
Pest Analysis
Demanding Job Setting for Newcomers: There is shortage of personnel that can match the difficult atmosphere of a hectic company. Not only does this lead to difficulty in discovering the ideal people, it puts anxiety on brand-new hires as can not endure the rate and also pressure that the company expects them to birth.

Twin Reporting Lines: Newbies discover this business culture troublesome as well as difficult to handle specifically as populated line connections are implied to be weak generally and objective setup and also efficiency analysis is still done by the solid line manager. This suggests that newcomers could shed quality concerning their corresponding functions and goals especially as dotted line coverage does not maintain them in direct interaction with the strong line managers.

Resentment From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor rather than Bridget Coles despite the fact that it had been guessed that the latter would certainly take Krasnow's setting came as a strike to her morale. Lewis may have been capable as well as proper for the job but the reality that Kransnow's separation would make Coles a straight record to Lewis might have been the factor for Coles' resignation from solutions.

Anxiety & Task Instability: Concern and also instability can be determined as two significant issues that Lewis would be handling especially as the merger has actually now be terminated and two elderly execs of the marketing department would be leaving. The entire obligation of the department would certainly be dropping on Lewis's shoulders that would not simply supervise of brining about a cultural change however would certainly likewise need to confirm herself in her new function.

Incompatible Management Design of Leader: Lewis's management design as well as its conflict with the marketing division's function can also be seen as an OB difficulty especially as she has actually been used to managing issues in the operations division where personnel are shown to focus on processes and also obtain them. The marketing department on the various other hand can be viewed as a group of people that are used to being supported by Krasnow that concentrated more on outcome than procedures.

Interdepartmental Arguments: Interdepartmental disagreements in between three departments, advertising and marketing, merchandizing and also operations specifically over the allotment of the marketing mix can be recognized as an additional OB issue. Although the marketing department does not share the same vision as the other 2 divisions concerning the aloocation of the advertising and marketing mix twoards promotions and also advertsing, the merchandizing and also procedures departments do not agree over the advertising mix allocation amongst one another either.

Fragmentation in Marketing Division: Disintegration between the marketing and advertising departments can be recognized as another OB concern which might require additional attention. The truth that the advertising and marketing sections in the advertising and marketing division are detached is protecting against both divisions from acquiring from each other's experience as well as proficiency. Assimilation of advertising and marketing with retailing and also operations would become harder if the advertising division itself is broken down which can be another prospective OB problem.

Cox Communications Inc 1999 Analysis

Numerous theories have been made use of to clarify the situations to obtain more quality regarding the circumstance at hand.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Concept X, many managers think that subordinates are easy and also careless, have little aspiration as well as resist change. The hard version of this theory emphasized threat, limited controls, threats and penalties. With time it produces low performance, refined sabotage as well as rivalry (Bargain, 2003). Although the scenario at Cox Communications Inc 1999 is not completely complying with Theory X, it can be seen that new hires are finding this atmosphere rather stressful which may eventually result in a greater disposition of the management in the direction of Concept X. According to McGregor's supported view, which he called Concept Y, the crucial job of the administration is to prepare business conditions to make sure that individuals can accomplish their very own objectives best by routing their efforts in the direction of business incentives. If people discover no satisfaction in their work, the monitoring would certainly have little choice however to count on theory X and external control (Bargain, 2003). Also while assessing Lewis's management style, theory X might have appropriated in the operations division to some extent however the Marketing department would need dependence on Concept Y in order to get the creative thinking as well as creativity from the teams.

Tuckman's Team effort Theory: As far as Lewis's issue concerning bringing harmony in between the advertising as well as advertising division is worried, this would originally lead to clash as discussed by Bruce Tuckman in his 'Teamwork Concept'. By combining the advertising and also advertising and marketing division's job, there may be the exact same preliminary detach which can lead to the 2nd stage of 'storming' where the groups challenge one another.

Bridges' Change Design: According To William Bridge's concept (appendix 4), individuals are quite uncomfortable with adjustment, which is evident by the circumstance at Cox Communications Inc 1999 The situation can be viewed as a normal program of life if is researched according to Bridge's theory where he discusses that people undergo 3 phases of shift when they experience change. 'End, losing as well as Letting go', The Neutral Zone as well as 'The New Beginning' (Bridges, 2004). When people exist with adjustment, they go into stage one and so there may be feelings like sadness, uncertainty, aggravation, temper, anxiety, rejection and also disorientation.The scenario at the advertising and marketing division of Cox Communications Inc 1999 is similar so Lewis can get comfy with the idea that it is not remarkable actions. In the 2nd stage, there may be a demand to link the gap between the brand-new as well as old culture so Lewis might need to face this ordeal as soon as Krasnow leaves. There might be low spirits as well as low efficiency at this phase which should not be taken as a problem. It is throughout this phase that Lewis will have to provide advice to the department so that they can discover a sense of direction. It can be seen exactly how Krasnow has already made this change simpler by making Lewis get involved in the department a year before his actual separation. Based on Bridges' Version, stage three will produce openness to learning, High power and dedication as people will certainly accept the modification (Bridges, 2004).
Vrio Analysis
Maslow's Demand hierarchy: The OB problem pertaining to insecurity at the office has been activated first of all by the modification in monitoring as well as second of all by the reality that the merger will certainly no longer be initiated. Abraham Maslow in his Concept of 'Needs Hierarchy' (appendix 5) has goes over the importance of 'protection requires as being a reduced degree demand of a human for triggering motivation. As seen in the pyramid shared in appendix 3, we can see how 'the need to feel secure and unharmed' is at the second degree of requirements. Prior to an employee can be made to develop emotionally, he needs to have his 'Physiological 'as well as 'Safety' requires met. This indicates that unless the personnel are made to feel safe concerning their existing work standing in Cox Communications Inc 1999 they might not reach 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Cox Communications Inc 1999 Case Study

Implication of Analysis.

The OB analysis has actually considered various concepts to recognize just how to cope with the present scenario at hand. The complying with three options have actually been proposed to assist Lewis deal with the business difficulties in the marketing department. Each of these alternatives has been proposed for reducing the transition required to bring the advertising division in line with the requirements of the marketplace and also for making the social modification that would certainly follow once the existing leader leaves.

Combination of marketing and advertising functions. Separating Adverting and Production functions. Combination of Advertising And Marketing with Operations.

Assessment of Alternatives.

Combination of Advertising And Marketing & Advertising Functions: The internal advertising and marketing agency of Cox Communications Inc 1999 is currently stamina for the organization in regards to conserving up on overheads related to advertising and also promotion. Considering that no new recruitment has been done after Bridget Cole's departure with the reporting line being straight appointed to Krasnow for the advertising function, this is a favorable possibility for integrating the marketing and advertising features. Judith Shapiro who has actually earlier been interviewed by Lewis during the earlier merger days has expertise in business-to-business advertising and marketing together with company as well as retail advertising and marketing experience. As soon as Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising and marketing to manage both marketing and advertising functions.

The benefit of this strategy is that it will incorporate the two features while lowering the requirement for hiring an extra resource for advertising. Lewis would certainly be heading the advertising and marketing division as well as in any case her replacement would certainly be needed for the existing function that she is performing. The downside of this option is that external hiring may produce resentment from internal employees that might be considering the setting of EVP after Lewis takes over Krasnow's setting.

Separating Adverting and also Production: Provided the affordable pressures and high quality work required from the advertising agency, it is recommended that Lewis must permit the production unit to be a separate function from the advertising system. Since a lot of ad agency had these 2 functions as different units, it makes more feeling to follow the norm. In addition to this, both functions might have the ability to concentrate on their core activates a lot more successfully. Nonetheless, the downside of this method would be that added expenses would certainly need to be birthed for establishing different manufacturing functions. A production head might have to be employed which could raise expenses for the organization.

Combination of Advertising with Operations: Since Lewis is currently caring for the advertising and marketing as well as procedures departments simultaneously; it makes good sense to incorporate the two features because she has been efficiently dealing with both ends. The fact that the two departments currently have significant distinctions over appropriation of sources suggests that this combination may be able to produce harmony specifically as Lewis would be heading both ends.However there are different disadvantages of this move especially as it would place too much problem over Lewis's shoulders. The truth that Lewis needs to adjust her administration design for the advertising and marketing division suggests that these two departments would certainly be culturally diverse. In addition to this, Lewis may not be able to apply one kind of management design to both divisions which can cause ineffectiveness in either among both functions.


An evaluation of the three options indicates that integration of marketing and operations would certainly not be a practical step as a result of the vast distinctions between the two divisions despite the fact that presently Lewis is dealing with both. While separation of the production function might have been a favorable relocation for the marketing division, the reality that it would certainly indicate putting a third function under Lewis's wing means this must be avoided. The combination of the advertising and marketing division is the most effective choice in regards to obtaining the optimal results from the division. An activity plan for this choice is gone over listed below.

Action Strategy.
Lewis will take control of the duty of EVP Advertising and marketing after Krasnow leaves.

Marketing and advertising features would certainly be combined.

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

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

Lewis will certainly separate herself from operations.

An autonomous leadership style with staff member empowerment will certainly be used in marketing department.

Open door policy and emphasis on cross departmental interaction will certainly be targeted at removing disharmony.

Backup strategy.

If the combination does not work out as prepared, a contingency strategy would adhere to which would separate the production feature from the advertising and marketing feature to lower the load on the SVP of marketing and advertising. In case Judith Shapiro does not obtain employed, Lewis will certainly be heading the advertising division without an SVP. In that case the production feature will certainly be divided by putting it under an SVP production.