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Eastern Talon Transport Case Study Solution

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Eastern Talon Transport Case Study Solution

Background and Facts

Eastern Talon Transport an office supplies merchant for small as well as moderate sized organisations has actually just recently been involved in planning for a merging with its rival House Deport, which has actually influenced performance degrees in departmentswith the elderly supervisor involved in lawful difficulties put forth by the government Profession Compensation. With the Advertising and marketing Head putting forward the news of his separation from the business in one year, Jeannie Lewis, the present head of procedures has actually been asked to take the function in the future. With obstacles in the type of a possible social change and also low employee spirits, the organization is in need of a complete reengineering effort at the advertising and marketing department.

Problem Statement
Porter's 5 Forces Analysis
The potential cultural modification at the advertising department of Eastern Talon Transport is increasing uncertainty in the workplace bring about different difficulties for the Jeannie Lewis that would certainly be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in impacting strategic decisions since Stapes Inc. needed to desert its plans of merging with Workplace Deport after the Federal Profession Compensation's intervention while doing so. Offered the truth that the store has a global presence with branches in UK, UNITED STATES, Canada as well as Germany, political factors in each of these countries may have the ability to influence performance or calculated objectives. Federal Profession Commission's antitrust fit against the merging occupied valuable time of the company's senior monitoring recommending that 'political' factors can have major ramifications for a global service.

Economic Factors: Financial factors such as the emergence of small businesses in the global circumstance recommend that Eastern Talon Transport is flourishing in an environment where there is possible growth of organisations. Along with this, reality that shop consumers are mostly trying to find office materials for home offices recommends that the marketplace has an increasing trend of entrepreneurs and also home based organisations.

Social factors: Social trends in the economic situation show that consumers are searching for comfort as well as attractive prices. Market research shows how the consumer for Eastern Talon Transport does not have understanding regarding locating services which can supply a combination of benefit and inexpensive.

Technological factors: Technology plays an important function in Eastern Talon Transport's company strategy particularly as the company is piloting Innovation centers which would certainly use modern technology sales as well as support in the type of memory upgrades, outer setups. (Summary of BUG in appendix 2).

OB Issues and also Manifestations.

Numerous underlying Organizational Habits concerns can be seen in Eastern Talon Transport's case as highlighted in this area.

Uneasiness regarding cultural adjustment: There is uneasiness regarding a social adjustment that would occur as soon as Todd Krasnow leaves from his position as the Executive Vice President of Advertising And Marketing with the majority of the personnel currently revealing unhappiness over this potential step. This anticipated modification has developed anxiety in the work environment which has been coupled with the previous anxiety of preparing the firm for a possible merger with Residence Deport.
Pest Analysis
Stressful Job Environment for Newcomers: There is scarcity of personnel that can match the difficult setting of a fast-paced company. Not just does this lead to problem in finding the appropriate individuals, it places stress and anxiety on brand-new hires as can not withstand the speed and stress that the company anticipates them to birth.

Double Reporting Lines: Newbies find this organizational society difficult and difficult to handle especially as dotted line relationships are suggested to be weak as a whole as well as unbiased setup and also performance assessment is still done by the solid line supervisor. This suggests that novices could shed quality concerning their particular roles as well as goals specifically as populated line coverage does not maintain them in straight communication with the strong line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower instead of Bridget Coles even though it had been speculated that the last would take Krasnow's setting came as a strike to her spirits. Lewis may have been capable and also appropriate for the work but the truth that Kransnow's departure would certainly make Coles a straight record to Lewis might have been the reason for Coles' resignation from services.

Worry & Job Insecurity: Fear as well as insecurity can be determined as 2 major problems that Lewis would certainly be handling specifically as the merging has actually now be terminated and also two senior executives of the marketing department would be leaving. The entire responsibility of the department would certainly be falling on Lewis's shoulders who would not just be in charge of brining concerning a cultural change but would certainly additionally have to verify herself in her new function.

Incompatible Management Design of Leader: Lewis's monitoring style and also its incompatibility with the advertising and marketing department's role can also be seen as an OB obstacle especially as she has actually been used to dealing with issues in the operations department where employees are shown to concentrate on procedures and also get them. The advertising division on the various other hand can be viewed as a group of people that are used to being nurtured by Krasnow that focused extra on result than processes.

Interdepartmental Disagreements: Interdepartmental arguments between 3 departments, advertising, merchandizing and operations specifically over the allotment of the advertising mix can be recognized as one more OB problem. Although the marketing division does not share the exact same vision as the various other 2 departments relating to the aloocation of the marketing mix twoards promos and also advertsing, the merchandizing as well as operations divisions do not concur over the marketing mix allowance among one another either.

Fragmentation in Advertising And Marketing Division: Fragmentation between the marketing and advertising departments can be identified as one more OB problem which might need additional interest. The truth that the advertising and marketing areas in the advertising department are separated is stopping both departments from acquiring from each various other's experience and also competence. Integration of advertising with merchandising and procedures would certainly become harder if the marketing department itself is disintegrated which can be an additional potential OB problem.

Eastern Talon Transport Analysis

Various concepts have been utilized to describe the situations to get further quality regarding the circumstance at hand.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Concept X, most managers think that juniors are easy and careless, have little ambition as well as resist adjustment. The scenario at Eastern Talon Transport is not entirely complying with Theory X, it can be seen that brand-new hires are discovering this atmosphere rather stressful which may at some point lead to a higher disposition of the management towards Concept X. Also while examining Lewis's management style, concept X may have been ideal in the operations department to some level but the Advertising and marketing division would certainly require reliance on Theory Y in order to get the imagination as well as originality from the teams.

Tuckman's Team effort Concept: As far as Lewis's problem regarding bringing consistency between the marketing and advertising department is concerned, this would initially result in contrast as talked about by Bruce Tuckman in his 'Teamwork Concept'. (Tuckman, 1965). According to Tuckman's theory displayed in appendix 3, during the initial stage of team advancement, people might not bond, as they are hectic finding their location in the team. By incorporating the advertising and marketing department's work, there may be the same first detach which might lead to the 2nd stage of 'storming' where the teams test one another. However, it is just during the 3rd phase or 'norming' when they would certainly come together to share ideas prior to the group can cause synergy in the fourth phase 'doing'.

Bridges' Transition Version: Based On William Bridge's concept (appendix 4), people are quite awkward with adjustment, which is apparent by the scenario at Eastern Talon Transport The scenario can be viewed as a typical program of life if is studied according to Bridge's concept where he explains that people experience three stages of transition when they experience change. 'End, losing as well as Releasing', The Neutral Area and also 'The New Beginning' (Bridges, 2004). When people are presented with change, they enter phase one and so there may be feelings like despair, unpredictability, irritation, rage, fear, rejection as well as disorientation.The circumstance at the marketing department of Eastern Talon Transport is similar so Lewis can obtain comfy with the concept that it is not extraordinary habits. In the second phase, there may be a demand to link the gap in between the new and old culture so Lewis might have to encounter this experience once Krasnow leaves. There may be reduced spirits as well as reduced productivity at this stage which should not be taken as a setback. It is throughout this stage that Lewis will need to provide guidance to the department so that they can discover a sense of direction. It can be seen how Krasnow has already made this change easier by making Lewis get involved in the department a year prior to his real separation. According to Bridges' Model, phase 3 will certainly bring about openness to understanding, High power as well as dedication as people will certainly welcome the change (Bridges, 2004).
Vrio Analysis
Maslow's Demand power structure: The OB problem pertaining to instability at the work environment has actually been caused to start with by the modification in administration and also secondly by the fact that the merging will certainly no longer be launched. Abraham Maslow in his Theory of 'Requirements Hierarchy' (appendix 5) has discusses the value of 'safety and security needs as being a lower level demand of a human for triggering inspiration. As seen in the pyramid cooperated appendix 3, we can see how 'the need to feel protected and safe' goes to the 2nd level of demands. Prior to a worker can be made to create psychologically, he needs to have his 'Physiological 'and 'Security' requires fulfilled. This suggests that unless the workers are made to really feel protected concerning their current work standing in Eastern Talon Transport they might not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Eastern Talon Transport Case Study



Effects of Analysis.

The OB analysis has looked at numerous theories to understand how to handle the present circumstance handy. The adhering to 3 alternatives have been proposed to help Lewis take care of the business challenges in the advertising department. Each of these alternatives has actually been suggested for reducing the transition needed to bring the advertising and marketing department in accordance with the demands of the marketplace and for making the cultural adjustment that would certainly comply with once the present leader leaves.

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

Examination of Alternatives.

Combination of Advertising & Marketing Functions: The in-house advertising firm of Eastern Talon Transport is currently toughness for the organization in terms of saving up on expenses related to advertising and promotion. Given that no new recruitment has actually been done after Bridget Cole's departure with the reporting line being directly assigned to Krasnow for the marketing function, this is a desirable chance for integrating the marketing and advertising functions. Judith Shapiro that has earlier been spoken with by Lewis throughout the earlier merging days has competence in business-to-business marketing along with agency and also retail advertising and marketing experience. Once Krasnow leaves, Lewis can work with Shapiro as an EVP for marketing to deal with both marketing and advertising functions.

The advantage of this strategy is that it will integrate both features while minimizing the demand for working with an added source for marketing. Lewis would certainly be heading the advertising department and also in any case her replacement would certainly be required for the current role that she is performing. The drawback of this choice is that exterior hiring may produce bitterness from interior workers that may be looking at the placement of EVP after Lewis takes over Krasnow's placement.

Separating Adverting and Manufacturing: Offered the competitive pressures and also high top quality job needed from the advertising and marketing agency, it is suggested that Lewis must allow the manufacturing unit to be a separate feature from the advertising and marketing unit. Given that a lot of advertising agencies had these 2 functions as different units, it makes more sense to adhere to the norm.

Combination of Advertising And Marketing with Operations: Considering that Lewis is currently caring for the advertising and also operations departments simultaneously; it makes good sense to incorporate the two features given that she has been effectively caring for both ends. The reality that both divisions currently have significant differences over allotment of resources recommends that this combination might have the ability to cause consistency particularly as Lewis would be heading both ends.However there are various drawbacks of this relocation particularly as it would certainly put way too much problem over Lewis's shoulders. The truth that Lewis needs to adapt her management style for the advertising and marketing division recommends that these 2 divisions would certainly be culturally varied. Lewis may not be able to use one type of leadership style to both departments which can result in inefficiency in either one of the 2 functions.

Recommendation.



An evaluation of the three options indicates that combination of advertising and procedures would not be a viable action as a result of the large distinctions between both divisions although that currently Lewis is dealing with both. While splitting up of the manufacturing feature might have been a favorable action for the advertising and marketing department, the fact that it would mean putting a 3rd function under Lewis's wing implies this should be stayed clear of. The assimilation of the advertising division is the very best choice in terms of obtaining the optimum results from the division. An activity prepare for this option is reviewed listed below.

Activity Strategy.
Recommendation
Lewis will certainly take over the function of EVP Advertising after Krasnow leaves.

Advertising and Marketing features would certainly be merged.

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

Production function will remain component of advertising under marketing function.

Lewis will divide herself from operations.

A democratic leadership style with employee empowerment will certainly be utilized in marketing department.

Open up door plan and also focus on cross departmental communication will be targeted at getting rid of disharmony.

Contingency plan.

If the integration does not exercise as planned, a backup strategy would certainly adhere to which would separate the manufacturing function from the advertising function to reduce the lots on the SVP of advertising and marketing. In case Judith Shapiro does not obtain employed, Lewis will be heading the advertising and marketing division without an SVP. In that case the manufacturing feature will certainly be separated by positioning it under an SVP production.