Dharavi Developing Asias Largest Slum A Case Study Analysis


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Background and Facts

Dharavi Developing Asias Largest Slum A an office products seller for tiny as well as moderate sized companies has actually lately been involved in planning for a merger with its competitor Residence Deport, which has impacted performance degrees in departmentswith the elderly manager involved in legal complications presented by the government Profession Commission. With the Marketing Head advancing the news of his departure from the company in one year, Jeannie Lewis, the present head of procedures has actually been asked to take the function in the near future. With challenges in the kind of a possible social adjustment as well as reduced worker morale, the company wants a complete reengineering effort at the marketing division.

Trouble Statement
Porter's 5 Forces Analysis
The prospective social change at the advertising and marketing department of Dharavi Developing Asias Largest Slum A is raising uncertainty in the workplace leading to numerous difficulties for the Jeannie Lewis that would certainly be replacing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant duty in impacting critical choices because Stapes Inc. had to desert its plans of combining with Workplace Deport after the Federal Trade Payment's intervention while doing so. Provided the truth that the shop has a worldwide presence with branches in UK, UNITED STATES, Canada and Germany, political consider each of these countries may have the ability to impact performance or tactical goals. Federal Trade Commission's antitrust fit versus the merging occupied important time of the company's senior management recommending that 'political' factors can have serious effects for a global service.

Economic Factors: Financial factors such as the emergence of local business in the international scenario recommend that Dharavi Developing Asias Largest Slum A is growing in an environment where there is prospective growth of companies. Reality that store clients are mainly looking for office materials for home offices recommends that the market has a rising trend of entrepreneurs and residence based organisations.

Social factors: Social fads in the economic climate reveal that consumers are looking for convenience in addition to eye-catching prices. Marketing research shows how the client for Dharavi Developing Asias Largest Slum A does not have recognition concerning finding remedies which can provide a combination of ease as well as affordable.

Technical factors: Modern technology plays an essential duty in Dharavi Developing Asias Largest Slum A's business approach particularly as the company is piloting Innovation facilities which would use technology sales as well as assistance in the type of memory upgrades, outer installments. (Summary of PARASITE in appendix 2).

OB Issues and Symptoms.

Numerous underlying Business Actions problems can be seen in Dharavi Developing Asias Largest Slum A's case as highlighted in this section.

Uneasiness concerning cultural modification: There is concern concerning a social change that would certainly occur once Todd Krasnow leaves from his setting as the Executive Vice President of Marketing with the majority of the team member already showing discontent over this prospective relocation. This expected change has actually produced stress and anxiety in the workplace which has been combined with the past tension of preparing the firm for a potential merger with Residence Deport.
Pest Analysis
Demanding Job Environment for Newcomers: There is lack of employees that can match the difficult environment of a busy company. Not only does this bring about problem in discovering the right people, it places stress and anxiety on new hires as can not stand up to the pace and also pressure that the company anticipates them to bear.

Twin Reporting Lines: Beginners locate this organizational culture cumbersome as well as challenging to deal with specifically as populated line relationships are indicated to be weak as a whole and objective setting and performance analysis is still done by the strong line manager. This means that newcomers might shed clarity concerning their respective duties as well as purposes particularly as populated line reporting does not maintain them in straight communication with the strong line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor as opposed to Bridget Coles even though it had actually been hypothesized that the last would certainly take Krasnow's placement came as an impact to her morale. Lewis might have been capable as well as suitable for the work but the reality that Kransnow's departure would make Coles a straight report to Lewis may have been the factor for Coles' resignation from services.

Worry & Work Instability: Anxiety and also instability can be recognized as two major problems that Lewis would certainly be taking care of particularly as the merging has actually currently be terminated as well as 2 elderly execs of the advertising division would certainly be leaving. The entire responsibility of the department would certainly be dropping on Lewis's shoulders who would not just supervise of brining regarding a social adjustment however would also need to confirm herself in her brand-new duty.

Incompatible Management Design of Leader: Lewis's monitoring design as well as its incompatibility with the advertising department's duty can likewise be seen as an OB difficulty specifically as she has actually been utilized to taking care of problems in the procedures division where personnel are shown to focus on processes as well as obtain them. The advertising and marketing division on the various other hand can be viewed as a team of people that are utilized to being supported by Krasnow that focused extra on result than procedures.

Interdepartmental Arguments: Interdepartmental differences between three divisions, marketing, merchandizing and procedures specifically over the appropriation of the marketing mix can be recognized as one more OB problem. The advertising and marketing division does not share the very same vision as the various other 2 departments pertaining to the aloocation of the advertising and marketing mix twoards promos and advertsing, the merchandizing as well as procedures departments do not concur over the advertising mix allotment amongst one an additional either.

Disintegration in Advertising Department: Disintegration in between the marketing and advertising divisions can be determined as another OB concern which might require more attention. The fact that the advertising and marketing areas in the advertising division are separated is preventing both departments from obtaining from each other's experience and also competence. Assimilation of marketing with retailing and also procedures would end up being harder if the advertising division itself is degenerated which can be another possible OB concern.

Dharavi Developing Asias Largest Slum A Analysis

Different theories have been made use of to clarify the situations to obtain further clearness concerning the situation available.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, the majority of supervisors believe that staffs are passive as well as lazy, have little ambition as well as resist modification. The situation at Dharavi Developing Asias Largest Slum A is not totally adhering to Theory X, it can be seen that new hires are finding this atmosphere instead stressful which may at some point lead to a higher disposition of the monitoring towards Theory X. Also while examining Lewis's administration design, concept X may have been ideal in the procedures division to some degree however the Advertising division would certainly require dependence on Theory Y in order to get the imagination and also creativity from the teams.

Tuckman's Teamwork Theory: As for Lewis's worry regarding bringing consistency in between the advertising and marketing division is concerned, this would at first cause conflict as discussed by Bruce Tuckman in his 'Teamwork Theory'. (Tuckman, 1965). According to Tuckman's concept shown in appendix 3, throughout the initial phase of team growth, people might not bond, as they are busy locating their location in the team. By integrating the marketing and advertising department's job, there might be the same initial separate which could cause the 2nd phase of 'storming' where the teams challenge one another. It is just throughout the third phase or 'norming' when they would certainly come together to share suggestions before the group can bring about harmony in the 4th phase 'carrying out'.

Bridges' Transition Model: According To William Bridge's concept (appendix 4), individuals are rather uneasy with modification, which is apparent by the situation at Dharavi Developing Asias Largest Slum A The circumstance can be seen as a normal course of life if is researched according to Bridge's theory where he describes that individuals undergo three stages of transition when they experience modification. 'Ending, losing as well as Letting go', The Neutral Area and 'The New Beginning' (Bridges, 2004). When people are presented with change, they get in stage one and so there may be feelings like sadness, unpredictability, disappointment, rage, fear, rejection and disorientation.The situation at the marketing department of Dharavi Developing Asias Largest Slum A is similar so Lewis can obtain comfy with the concept that it is not extraordinary behavior. In the 2nd stage, there might be a requirement to bridge the void between the new and old society so Lewis might need to face this ordeal once Krasnow leaves. There might be low morale and reduced productivity at this phase which need to not be taken as a problem. It is during this phase that Lewis will certainly have to provide support to the department to make sure that they can locate a sense of direction. It can be seen how Krasnow has already made this shift less complicated by making Lewis get associated with the department a year before his actual separation. As per Bridges' Model, stage three will certainly cause openness to understanding, High power as well as commitment as individuals will certainly accept the modification (Bridges, 2004).
Vrio Analysis
Maslow's Requirement power structure: The OB problem pertaining to instability at the work environment has been triggered to start with by the modification in management and also second of all by the fact that the merger will no more be initiated. Abraham Maslow in his Concept of 'Requirements Power structure' (appendix 5) has reviews the relevance of 'safety and security requires as being a reduced degree demand of a human for triggering inspiration. As seen in the pyramid shared in appendix 3, we can see just how 'the need to feel secure and out of danger' goes to the second degree of demands. Before an employee can be made to create emotionally, he needs to have his 'Physiological 'and also 'Security' requires met. This shows that unless the personnel are made to really feel safe and secure regarding their present employment status in Dharavi Developing Asias Largest Slum A they may not reach 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Dharavi Developing Asias Largest Slum A Case Study

Ramification of Analysis.

The OB analysis has actually considered different theories to recognize just how to manage the current circumstance available. The adhering to three options have actually been proposed to help Lewis take care of the business obstacles in the advertising and marketing department. Each of these choices has actually been recommended for easing the change needed to bring the marketing department in accordance with the demands of the marketplace as well as for making the cultural adjustment that would certainly follow once the current leader leaves.

Integration of advertising and marketing features. Separating Adverting and also Manufacturing functions. Assimilation of Marketing with Operations.

Examination of Alternatives.

Integration of Advertising And Marketing & Advertising Functions: The internal advertising and marketing company of Dharavi Developing Asias Largest Slum A is currently strength for the organization in regards to saving up on expenses related to advertising and marketing and also promo. Considering that no brand-new recruitment has been done after Bridget Cole's departure with the reporting line being straight assigned to Krasnow for the marketing function, this is a positive opportunity for integrating the marketing and advertising features. Judith Shapiro who has earlier been talked to by Lewis during the earlier merger days has experience in business-to-business marketing along with agency and also retail advertising experience. When Krasnow leaves, Lewis can hire Shapiro as an EVP for marketing to take care of both advertising and marketing functions.

The benefit of this technique is that it will incorporate both features while decreasing the need for hiring an additional resource for marketing. In addition to this, Lewis would certainly be heading the advertising department and in any case her substitute would certainly be required for the current duty that she is carrying out. The drawback of this option is that outside hiring may bring about resentment from interior personnel that might be eying the position of EVP after Lewis takes control of Krasnow's setting.

Dividing Adverting as well as Production: Offered the competitive stress and also high quality job required from the ad agency, it is advised that Lewis ought to allow the production device to be a different feature from the advertising and marketing system. Considering that many advertising agencies had these 2 features as different devices, it makes even more feeling to adhere to the standard. Along with this, both features may be able to focus on their core triggers a lot more successfully. Nonetheless, the negative aspect of this strategy would be that additional prices would certainly have to be borne for setting up different production features. In addition to this, a manufacturing head might have to be employed which can enhance expenses for the company.

Combination of Advertising And Marketing with Procedures: Because Lewis is currently taking care of the advertising and marketing as well as operations departments at the same time; it makes feeling to incorporate the two functions considering that she has been efficiently taking care of both ends. The fact that Lewis has to adapt her monitoring design for the advertising department recommends that these 2 divisions would certainly be culturally diverse.


An evaluation of the 3 choices suggests that combination of marketing as well as procedures would not be a viable step as a result of the vast distinctions between both divisions despite the fact that presently Lewis is managing both. While separation of the manufacturing feature may have been a favorable action for the advertising and marketing department, the reality that it would mean positioning a third function under Lewis's wing implies this should be prevented. The combination of the marketing division is the most effective choice in terms of getting the ideal results from the division. An action prepare for this alternative is reviewed below.

Action Plan.
Lewis will take over the duty of EVP Advertising after Krasnow leaves.

Advertising and Marketing functions would certainly be merged.

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

Manufacturing feature will certainly continue to be component of advertising and marketing under advertising function.

Lewis will separate herself from operations.

A democratic management design with staff member empowerment will be used in marketing department.

Open door plan as well as focus on cross departmental communication will certainly be focused on eliminating disharmony.

Contingency strategy.

If the assimilation does not work out as prepared, a contingency plan would follow which would divide the production feature from the advertising and marketing function to reduce the tons on the SVP of marketing and advertising. In case Judith Shapiro does not obtain worked with, Lewis will be heading the advertising division without an SVP. Because case the manufacturing feature will certainly be separated by positioning it under an SVP production.