Background and FactsDozier Industries an office supplies retailer for tiny and average sized businesses has actually recently been associated with planning for a merger with its competitor Home Deport, which has actually influenced efficiency levels in departmentswith the senior supervisor involved in lawful problems put forth by the federal Profession Compensation. With the Advertising Head putting forward the news of his departure from the firm in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the duty in the near future. With difficulties in the form of a potential social change and reduced staff member morale, the company is in need of a full reengineering initiative at the advertising department.
The potential social modification at the advertising division of Dozier Industries is raising unpredictability in the working environment resulting in numerous obstacles for the Jeannie Lewis who would be changing the head of the division in one year. nalysis
Political Factors: Political factors play a major function in influencing tactical choices considering that Stapes Inc. needed to abandon its strategies of merging with Workplace Deport after the Federal Profession Payment's treatment in the process. Given the truth that the store has an international presence with branches in UK, U.S.A., Canada and also Germany, political consider each of these nations may be able to affect performance or strategic objectives. Federal Profession Compensation's antitrust match against the merging occupied beneficial time of the organization's senior monitoring recommending that 'political' factors can have major effects for a global organisation.
Economic Factors: Financial factors such as the development of local business in the international scenario suggest that Dozier Industries is thriving in an atmosphere where there is potential development of services. In addition to this, truth that store customers are mostly searching for workplace materials for office recommends that the market has an increasing fad of business owners and also home based companies.
Social factors: Social patterns in the economic situation show that consumers are looking for comfort in addition to attractive rates. Market research demonstrates how the customer for Dozier Industries lacks awareness about locating options which can provide a mix of comfort and inexpensive.
Technical factors: Technology plays an essential duty in Dozier Industries's service approach specifically as the company is piloting Innovation centers which would certainly offer modern technology sales as well as assistance in the type of memory upgrades, peripheral installments. (Recap of INSECT in appendix 2).
OB Issues and also Symptoms.
Numerous underlying Business Actions issues can be seen in Dozier Industries's case as highlighted in this area.
Apprehensions about cultural change: There is concern about a cultural adjustment that would occur when Todd Krasnow leaves from his position as the Executive Vice President of Advertising And Marketing with a lot of the employee already showing discontent over this potential action. This predicted adjustment has created anxiety in the workplace which has been paired with the previous tension of preparing the company for a possible merging with Home Deport.
Stressful Work Environment for Newcomers: There is lack of workers that can match the difficult atmosphere of a busy organization. Not only does this bring about trouble in finding the best individuals, it places stress on brand-new hires as can not endure the rate as well as pressure that the company expects them to bear.
Double Reporting Lines: Newbies find this business culture cumbersome and also hard to handle particularly as populated line connections are implied to be weaker in general as well as objective setup and efficiency analysis is still done by the strong line manager. This suggests that beginners might lose clarity regarding their particular functions and also goals especially as populated line reporting does not keep them in straight communication with the strong line supervisors.
Bitterness 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 a strike to her spirits. Lewis may have been qualified and also suitable for the task yet the truth that Kransnow's departure would make Coles a straight record to Lewis may have been the factor for Coles' resignation from services.
Anxiety & Work Insecurity: Fear and also insecurity can be recognized as two major worries that Lewis would be dealing with specifically as the merger has actually now be terminated as well as two senior execs of the advertising department would certainly be leaving. The whole responsibility of the division would certainly be dropping on Lewis's shoulders that would not simply supervise of brining concerning a social adjustment yet would certainly likewise need to verify herself in her new role.
Inappropriate Management Style of Leader: Lewis's management design as well as its incompatibility with the advertising division's function can additionally be seen as an OB difficulty especially as she has actually been utilized to managing problems in the operations department where personnel are shown to focus on processes as well as obtain them right. The advertising and marketing department on the various other hand can be seen as a group of individuals who are utilized to being nurtured by Krasnow that concentrated extra on outcome than processes.
Interdepartmental Arguments: Interdepartmental disagreements between three departments, advertising, merchandizing as well as procedures specifically over the allocation of the advertising mix can be determined as an additional OB problem. The advertising division does not share the exact same vision as the various other two departments regarding the aloocation of the marketing mix twoards promos and also advertsing, the merchandizing and procedures departments do not concur over the marketing mix appropriation amongst one another either.
Fragmentation in Marketing Division: Disintegration in between the marketing and advertising departments can be recognized as one more OB concern which can require more focus. The reality that the marketing and advertising areas in the advertising division are detached is stopping both divisions from obtaining from each various other's experience and proficiency. Assimilation of advertising and marketing with merchandising and also procedures would come to be more difficult if the advertising and marketing department itself is disintegrated which can be one more possible OB concern.
Dozier Industries Analysis
Various theories have actually been utilized to clarify the scenarios to get more clarity regarding the circumstance handy.
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, a lot of supervisors think that juniors are easy and careless, have little ambition as well as withstand change. The scenario at Dozier Industries is not entirely following Theory X, it can be seen that new hires are finding this environment rather stressful which might at some point lead to a higher inclination of the administration in the direction of Theory X. Even while analyzing Lewis's monitoring style, theory X might have been suitable in the operations division to some level but the Marketing division would certainly need dependence on Theory Y in order to obtain the creative thinking as well as originality from the groups.
Tuckman's Teamwork Theory: As for Lewis's problem about bringing consistency in between the advertising and marketing division is worried, this would originally result in conflict as reviewed by Bruce Tuckman in his 'Team effort Theory'. (Tuckman, 1965). As per Tuckman's concept received appendix 3, during the first phase of group development, individuals might not bond, as they are busy discovering their area in the team. By incorporating the advertising and marketing division's work, there might coincide first detach which might cause the second stage of 'storming' where the teams test each other. It is only during the 3rd stage or 'norming' when they would come together to share concepts prior to the group can bring around synergy in the fourth phase 'performing'.
Bridges' Transition Design: Based On William Bridge's theory (appendix 4), individuals are quite unpleasant with change, which is evident by the situation at Dozier Industries The situation can be seen as a normal program of life if is studied as per Bridge's theory where he explains that individuals undergo 3 stages of change when they experience adjustment. 'Closing, losing as well as Releasing', The Neutral Area and also 'The New Starting' (Bridges, 2004). When individuals are presented with modification, they go into phase one therefore there might be feelings like sadness, unpredictability, disappointment, temper, concern, denial as well as disorientation.The scenario at the advertising and marketing department of Dozier Industries is similar so Lewis can obtain comfy with the idea that it is not remarkable habits. In the second stage, there might be a need to link the gap in between the brand-new and old society so Lewis may have to face this experience once Krasnow leaves. There may be reduced morale and low efficiency at this stage which ought to not be taken as a problem. It is throughout this stage that Lewis will certainly have to provide support to the department to make sure that they can find an orientation. It can be seen how Krasnow has actually currently made this shift less complicated by making Lewis obtain involved in the division a year before his actual departure. According to Bridges' Version, stage 3 will cause openness to discovering, High power and dedication as people will welcome the change (Bridges, 2004).
Abraham Maslow in his Concept of 'Requirements Hierarchy' (appendix 5) has goes over the value of 'safety and security needs as being a reduced level requirement of a human for causing motivation. As seen in the pyramid shared in appendix 3, we can see just how 'the need to feel secure and also out of threat' is at the second level of needs. Prior to a staff member can be made to establish emotionally, he needs to have his 'Physiological 'and 'Safety' requires satisfied.
SWOT Analysis for Dozier Industries Case Study
Implication of Analysis.
The OB analysis has considered various theories to understand exactly how to deal with the current situation handy. The adhering to 3 options have actually been suggested to aid Lewis manage the organizational difficulties in the marketing department. Each of these options has actually been proposed for easing the change required to bring the advertising and marketing department according to the needs of the market and for making the cultural adjustment that would certainly comply with once the existing leader leaves.
Assimilation of advertising and marketing features. Separating Adverting as well as Manufacturing features. Assimilation of Advertising with Workflow.
Assessment of Alternatives.
Integration of Advertising And Marketing & Advertising And Marketing Functions: The in-house advertising agency of Dozier Industries is currently strength for the organization in regards to saving up on expenses related to advertising and marketing as well as promotion. Since no new employment has been done after Bridget Cole's separation with the coverage line being straight appointed to Krasnow for the advertising feature, this is a desirable possibility for integrating the advertising and marketing features. Judith Shapiro who has actually earlier been interviewed by Lewis throughout the earlier merging days has proficiency in business-to-business advertising in addition to agency as well as retail advertising and marketing experience. As soon as Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising to manage both marketing and advertising functions.
The advantage of this strategy is that it will certainly incorporate both functions while decreasing the need for employing an extra resource for advertising. Along with this, Lewis would certainly be heading the marketing department as well as in any case her replacement would be required for the present role that she is executing. The disadvantage of this choice is that outside hiring may cause bitterness from interior employees that may be looking at the placement of EVP after Lewis takes control of Krasnow's setting.
Separating Adverting and also Production: Offered the competitive pressures and also high quality work called for from the advertising agency, it is advised that Lewis should permit the manufacturing device to be a different feature from the marketing device. Considering that many ad agency had these two functions as different units, it makes even more feeling to adhere to the standard. Both features may be able to concentrate on their core triggers more effectively. Nonetheless, the drawback of this technique would be that added prices would need to be birthed for establishing separate production functions. In addition to this, a manufacturing head may have to be worked with which might boost overheads for the organization.
Integration of Marketing with Operations: Given that Lewis is already taking care of the advertising and operations departments all at once; it makes feeling to incorporate the 2 functions because she has been efficiently taking care of both ends. The truth that Lewis has to adapt her monitoring design for the marketing department suggests that these 2 departments would be culturally diverse.
An evaluation of the 3 choices suggests that integration of marketing and also operations would not be a viable move due to the vast differences in between the two divisions in spite of the reality that currently Lewis is handling both. While splitting up of the production feature may have been a favorable step for the advertising and marketing department, the fact that it would imply positioning a third feature under Lewis's wing suggests this ought to be prevented.
Lewis will certainly take control of the role of EVP Advertising and marketing after Krasnow leaves.
Marketing and advertising features would be merged.
Judith Shapiro will certainly be worked with to take Lewis's area as SVP of marketing and advertising.
Production feature will certainly stay part of marketing under marketing feature.
Lewis will certainly divide herself from procedures.
An autonomous leadership design with staff member empowerment will certainly be used in marketing division.
Open door plan and also focus on cross departmental communication will be focused on eliminating disharmony.
If the integration does not work out as intended, a backup strategy would certainly follow which would certainly divide the production feature from the advertising and marketing feature to lower the tons on the SVP of marketing and advertising. In case Judith Shapiro does not get employed, Lewis will certainly be heading the advertising and marketing division without an SVP. In that case the manufacturing function will certainly be separated by putting it under an SVP manufacturing.