Dan Gilbert Crazy Or Crazy Like A Fox Case Study Solution


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Dan Gilbert Crazy Or Crazy Like A Fox Case Study Analysis

Background and Facts

Dan Gilbert Crazy Or Crazy Like A Fox an office materials store for tiny as well as moderate sized organisations has just recently been involved in preparing for a merging with its rival House Deport, which has actually affected effectiveness degrees in departmentswith the senior supervisor associated with lawful issues presented by the federal Trade Compensation. With the Marketing Head putting forward the news of his separation from the company in one year, Jeannie Lewis, the existing head of operations has been asked to take the role in the near future. With difficulties in the kind of a possible social adjustment as well as low employee morale, the company wants a complete reengineering initiative at the advertising department.

Issue Statement
Porter's 5 Forces Analysis
The potential cultural adjustment at the marketing department of Dan Gilbert Crazy Or Crazy Like A Fox is raising uncertainty in the workplace causing different obstacles for the Jeannie Lewis that would certainly be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major role in impacting critical choices considering that Stapes Inc. had to abandon its plans of merging with Office Deport after the Federal Profession Compensation's intervention in the process. Given the truth that the shop has an international presence with branches in UK, USA, Canada and also Germany, political consider each of these nations might have the ability to influence performance or strategic goals. Federal Trade Compensation's antitrust match versus the merger used up useful time of the company's elderly monitoring suggesting that 'political' factors can have severe ramifications for a global organisation.

Economic Factors: Financial factors such as the emergence of small companies in the worldwide situation suggest that Dan Gilbert Crazy Or Crazy Like A Fox is prospering in a setting where there is potential development of businesses. In addition to this, fact that store consumers are primarily seeking workplace materials for home offices suggests that the market has a rising trend of entrepreneurs as well as home businesses.

Social factors: Social trends in the economic climate reveal that customers are searching for comfort in addition to attractive rates. Marketing research shows how the consumer for Dan Gilbert Crazy Or Crazy Like A Fox does not have awareness regarding discovering options which can offer a mix of benefit and also affordable.

Technical factors: Technology plays an important function in Dan Gilbert Crazy Or Crazy Like A Fox's service strategy especially as the organization is piloting Innovation facilities which would certainly supply modern technology sales as well as support in the form of memory upgrades, peripheral installations. (Recap of PEST in appendix 2).

OB Issues and Manifestations.

Several underlying Organizational Behavior problems can be seen in Dan Gilbert Crazy Or Crazy Like A Fox's case as highlighted in this area.

Apprehensions about cultural modification: There is concern about a social adjustment that would certainly happen once Todd Krasnow leaves from his placement as the Executive Vice President of Marketing with the majority of the personnel already showing unhappiness over this potential step. This predicted adjustment has created stress and anxiety in the work environment which has been paired with the previous stress of preparing the company for a possible merger with Residence Deport.
Pest Analysis
Stressful Work Environment for Newcomers: There is shortage of employees that can match the demanding setting of a hectic company. Not just does this result in problem in discovering the appropriate people, it puts stress on brand-new hires as can not hold up against the pace and also pressure that the company expects them to bear.

Dual Reporting Lines: Newbies locate this organizational culture cumbersome and also hard to deal with particularly as dotted line relationships are suggested to be weak as a whole and also unbiased setup as well as efficiency examination is still done by the strong line supervisor. This indicates that beginners can shed clearness regarding their particular functions as well as purposes specifically as populated line reporting does not keep them in direct interaction with the solid line supervisors.

Animosity From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor rather than Bridget Coles even though it had actually been hypothesized that the latter would certainly take Krasnow's setting came as an impact to her morale. Lewis might have been capable as well as ideal for the task but the fact that Kransnow's separation would certainly make Coles a direct record to Lewis may have been the factor for Coles' resignation from services.

Anxiety & Task Instability: Concern and instability can be determined as two major problems that Lewis would certainly be managing especially as the merger has actually currently be terminated as well as two senior execs of the advertising and marketing department would certainly be leaving. The entire responsibility of the division would be falling on Lewis's shoulders who would not simply be in charge of brining about a social modification but would certainly likewise have to show herself in her new duty.

Inappropriate Administration Style of Leader: Lewis's administration style and also its incompatibility with the advertising and marketing division's role can likewise be seen as an OB challenge specifically as she has actually been made use of to taking care of issues in the operations division where workers are educated to focus on procedures and get them right. The advertising and marketing department on the other hand can be viewed as a group of individuals that are used to being supported by Krasnow that concentrated a lot more on result than procedures.

Interdepartmental Arguments: Interdepartmental disputes between three divisions, advertising, merchandizing as well as procedures respectively over the allocation of the marketing mix can be identified as another OB problem. Although the marketing division does not share the exact same vision as the various other two divisions pertaining to the aloocation of the advertising mix twoards promotions and advertsing, the merchandizing and also operations divisions do not concur over the marketing mix allowance amongst one another either.

Fragmentation in Marketing Division: Disintegration between the marketing and advertising departments can be recognized as an additional OB concern which might require further attention. The truth that the advertising and marketing sections in the advertising department are separated is avoiding both departments from acquiring from each various other's experience and also proficiency. Integration of advertising and marketing with retailing and operations would certainly become more difficult if the advertising and marketing department itself is disintegrated which can be an additional potential OB issue.

Dan Gilbert Crazy Or Crazy Like A Fox Analysis

Different concepts have actually been used to describe the scenarios to get further clarity regarding the scenario at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, the majority of supervisors think that subordinates are passive and lazy, have little passion and withstand adjustment. The hard variation of this concept emphasized coercion, tight controls, dangers and also penalties. In time it produces low performance, subtle sabotage and also rivalry (Bargain, 2003). Although the situation at Dan Gilbert Crazy Or Crazy Like A Fox is not totally adhering to Theory X, it can be seen that brand-new hires are finding this atmosphere instead demanding which may at some point result in a greater disposition of the monitoring in the direction of Concept X. Based on McGregor's advocated view, which he called Concept Y, the necessary task of the monitoring is to organize business conditions to ensure that individuals can achieve their very own goals best by directing their initiatives towards business rewards. If people find no fulfillment in their work, the administration would certainly have little choice yet to rely upon concept X and also outside control (Offer, 2003). Also while examining Lewis's administration style, theory X may have appropriated in the procedures division to some extent however the Marketing division would require dependence on Theory Y in order to get the creative thinking and also originality from the groups.

Tuckman's Teamwork Theory: Regarding Lewis's concern about bringing consistency between the marketing and advertising department is worried, this would originally result in conflict as talked about by Bruce Tuckman in his 'Team effort Concept'. (Tuckman, 1965). According to Tuckman's theory received appendix 3, throughout the initial stage of team growth, people might not bond, as they are active locating their location in the group. By incorporating the advertising and marketing division's job, there may be the same preliminary disconnect which might lead to the second phase of 'storming' where the groups challenge one another. However, it is just during the 3rd stage or 'norming' when they would come together to share suggestions prior to the group can cause synergy in the fourth phase 'carrying out'.

Bridges' Shift Design: According To William Bridge's concept (appendix 4), people are quite awkward with adjustment, which is apparent by the circumstance at Dan Gilbert Crazy Or Crazy Like A Fox The situation can be viewed as a typical course of life if is studied according to Bridge's theory where he clarifies that individuals go through three stages of change when they experience modification. 'Ending, shedding and also Releasing', The Neutral Area and 'The New Starting' (Bridges, 2004). When people are presented with change, they go into phase one therefore there may be emotions like unhappiness, unpredictability, disappointment, temper, concern, rejection as well as disorientation.The circumstance at the advertising division of Dan Gilbert Crazy Or Crazy Like A Fox is similar so Lewis can get comfy with the concept that it is not amazing habits. In the 2nd stage, there might be a requirement to link the space between the new and old culture so Lewis might need to face this challenge once Krasnow leaves. There may be low spirits as well as reduced performance at this phase which must not be taken as a trouble. It is during this stage that Lewis will certainly have to offer advice to the division so that they can find an orientation. It can be seen just how Krasnow has already made this change less complicated by making Lewis get associated with the department a year prior to his actual separation. Based on Bridges' Model, stage three will cause openness to knowing, High power and dedication as individuals will certainly welcome the adjustment (Bridges, 2004).
Vrio Analysis
Abraham Maslow in his Theory of 'Requirements Pecking order' (appendix 5) has goes over the relevance of 'safety and security requires as being a lower degree need of a human for triggering inspiration. As seen in the pyramid shared in appendix 3, we can see just how 'the need to really feel secure and out of risk' is at the second degree of requirements. Prior to a worker can be made to create emotionally, he needs to have his 'Physical 'and also 'Safety and security' needs satisfied.

SWOT Analysis for Dan Gilbert Crazy Or Crazy Like A Fox Case Study

Effects of Analysis.

The OB analysis has actually taken a look at different theories to understand exactly how to manage the present circumstance at hand. The following 3 options have actually been suggested to aid Lewis handle the organizational challenges in the advertising and marketing division. Each of these options has actually been recommended for relieving the shift required to bring the advertising and marketing department in line with the requirements of the market and for making the social change that would certainly comply with as soon as the present leader leaves.

Assimilation of marketing and advertising features. Dividing Adverting as well as Production functions. Combination of Advertising And Marketing with Procedures.

Analysis of Alternatives.

Judith Shapiro that has earlier been spoken with by Lewis throughout the earlier merging days has know-how in business-to-business advertising along with company and also retail advertising experience. When Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising to take care of both advertising and marketing and also advertising and marketing features.

The benefit of this method is that it will integrate both functions while decreasing the need for working with an additional resource for marketing. Lewis would certainly be heading the advertising and marketing division as well as in any type of case her substitute would be needed for the existing function that she is doing. The drawback of this alternative is that outside hiring might bring about animosity from interior workers that might be looking at the position of EVP after Lewis takes control of Krasnow's position.

Dividing Adverting and also Manufacturing: Offered the affordable stress and high quality work needed from the advertising agency, it is recommended that Lewis must permit the manufacturing unit to be a separate feature from the advertising and marketing system. Considering that many advertising agencies had these 2 functions as different devices, it makes even more feeling to follow the norm.

Integration of Advertising And Marketing with Workflows: Since Lewis is currently taking treatment of the advertising and marketing and also operations divisions simultaneously; it makes feeling to incorporate the 2 functions since she has been successfully taking care of both ends. The truth that Lewis has to adjust her administration style for the marketing division suggests that these two departments would certainly be culturally varied.


An examination of the three alternatives suggests that combination of advertising and marketing and also operations would certainly not be a practical move due to the huge differences in between the 2 divisions in spite of the fact that currently Lewis is managing both. While splitting up of the production function might have been a positive relocation for the marketing department, the fact that it would certainly suggest placing a 3rd feature under Lewis's wing implies this should be stayed clear of.

Activity Plan.
Lewis will certainly take over the duty of EVP Marketing after Krasnow leaves.

Marketing and advertising features would be merged.

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

Production feature will certainly stay part of advertising under advertising and marketing feature.

Lewis will separate herself from operations.

An autonomous leadership design with employee empowerment will certainly be used in advertising department.

Open up door plan and also emphasis on cross departmental interaction will certainly be focused on removing disharmony.

Backup strategy.

If the combination does not exercise as intended, a contingency plan would follow which would certainly separate the production function from the marketing function to decrease the tons on the SVP of marketing and advertising. In case Judith Shapiro does not obtain worked with, Lewis will be heading the advertising and marketing department without an SVP. In that case the manufacturing feature will most definitely be divided by positioning it under an SVP production.