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Harbor City Community Center Case Study Analysis

Background and Facts

Harbor City Community Center a workplace supplies merchant for little as well as medium sized companies has actually lately been involved in preparing for a merging with its rival Home Deport, which has actually influenced efficiency degrees in departmentswith the senior supervisor associated with lawful difficulties presented by the government Trade Commission. With the Advertising and marketing Head advancing the information of his separation from the firm in one year, Jeannie Lewis, the present head of procedures has been asked to take the duty in the near future. With challenges in the form of a potential cultural change and low employee spirits, the organization requires a complete reengineering initiative at the marketing division.

Issue Statement
Porter's 5 Forces Analysis
The potential cultural adjustment at the advertising and marketing division of Harbor City Community Center is boosting uncertainty in the working environment resulting in numerous challenges for the Jeannie Lewis that would be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major role in influencing strategic decisions given that Stapes Inc. had to desert its plans of merging with Workplace Deport after the Federal Profession Commission's treatment while doing so. Provided the reality that the shop has a worldwide presence with branches in UK, UNITED STATES, Canada and also Germany, political consider each of these nations may be able to affect efficiency or critical objectives. Federal Profession Payment's antitrust fit versus the merging occupied valuable time of the organization's senior management suggesting that 'political' factors can have significant effects for a global organisation.

Economic Factors: Economic factors such as the appearance of small companies in the international situation recommend that Harbor City Community Center is growing in an environment where there is prospective development of organisations. In addition to this, truth that shop clients are primarily seeking workplace materials for office recommends that the marketplace has a rising pattern of business owners as well as home based businesses.

Social factors: Social fads in the economic situation reveal that customers are looking for ease along with eye-catching rates. Market research shows how the consumer for Harbor City Community Center lacks awareness concerning discovering solutions which can provide a combination of ease and also low costs.

Technical factors: Technology plays an essential duty in Harbor City Community Center's service technique particularly as the company is piloting Modern technology facilities which would provide modern technology sales and assistance in the type of memory upgrades, outer setups. (Summary of PARASITE in appendix 2).

OB Issues as well as Manifestations.

Numerous underlying Business Habits issues can be seen in Harbor City Community Center's case as highlighted in this section.

Worries about cultural adjustment: There is apprehension regarding a cultural adjustment that would certainly occur once Todd Krasnow leaves from his position as the Exec Vice Head Of State of Advertising with a lot of the employee currently showing discontent over this potential action. This predicted change has produced anxiety in the workplace which has been paired with the past stress of preparing the company for a prospective merging with House Deport.
Pest Analysis
Stressful Task Setting for Newcomers: There is scarcity of employees that can match the demanding environment of a busy organization. Not only does this bring about difficulty in discovering the right people, it puts tension on new hires as can not endure the speed and also stress that the organization expects them to bear.

Twin Coverage Lines: Beginners locate this business culture difficult and difficult to manage especially as dotted line relationships are indicated to be weak generally as well as unbiased setting as well as efficiency examination is still done by the strong line manager. This implies that newcomers can shed quality concerning their corresponding functions as well as purposes particularly as dotted line reporting does not maintain them in direct interaction with the strong line supervisors.

Animosity From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower instead of Bridget Coles although it had been hypothesized that the last would take Krasnow's setting came as a strike to her morale. Lewis may have been qualified and also ideal for the job but the fact that Kransnow's separation would certainly make Coles a straight record to Lewis might have been the reason for Coles' resignation from solutions.

Fear & Task Insecurity: Worry and also instability can be identified as 2 significant problems that Lewis would certainly be handling especially as the merger has currently be cancelled as well as 2 senior execs of the advertising and marketing division would certainly be leaving. The whole duty of the department would certainly be dropping on Lewis's shoulders who would certainly not just supervise of brining regarding a social adjustment but would also need to verify herself in her new duty.

Inappropriate Monitoring Style of Leader: Lewis's administration design and also its incompatibility with the advertising and marketing department's function can likewise be viewed as an OB difficulty particularly as she has been used to dealing with issues in the procedures department where workers are educated to concentrate on processes as well as get them right. The advertising and marketing division on the various other hand can be viewed as a team of individuals that are used to being supported by Krasnow that focused a lot more on result than procedures.

Interdepartmental Disputes: Interdepartmental differences in between three departments, marketing, merchandizing as well as operations specifically over the allotment of the advertising mix can be identified as another OB concern. Although the marketing division does not share the same vision as the various other 2 divisions pertaining to the aloocation of the marketing mix twoards promos and also advertsing, the merchandizing as well as procedures divisions do not concur over the advertising and marketing mix appropriation amongst one another either.

Disintegration in Advertising And Marketing Division: Fragmentation between the marketing and advertising departments can be determined as one more OB issue which can need additional focus. The fact that the advertising and marketing sections in the advertising and marketing department are detached is protecting against both departments from gaining from each various other's experience and knowledge. Integration of advertising with retailing and operations would certainly end up being more difficult if the advertising division itself is degenerated which can be one more potential OB worry.

Harbor City Community Center Analysis

Different concepts have actually been made use of to discuss the situations to obtain more clarity about the situation at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, most supervisors think that subordinates are easy and careless, have little aspiration and resist adjustment. The circumstance at Harbor City Community Center is not entirely complying with Theory X, it can be seen that brand-new hires are discovering this atmosphere instead stressful which might eventually lead to a greater inclination of the management in the direction of Concept X. Also while evaluating Lewis's administration design, theory X may have been suitable in the operations department to some degree but the Marketing division would certainly call for reliance on Concept Y in order to obtain the imagination and also creativity from the groups.

Tuckman's Synergy Theory: As for Lewis's concern concerning bringing consistency between the marketing and advertising division is concerned, this would initially bring about conflict as talked about by Bruce Tuckman in his 'Team effort Theory'. (Tuckman, 1965). As per Tuckman's concept shown in appendix 3, during the initial phase of team advancement, people might not bond, as they are active discovering their area in the team. By combining the marketing and advertising department's work, there may be the same first separate which could result in the second phase of 'storming' where the groups challenge each other. However, it is only during the third phase or 'norming' when they would collaborate to share ideas prior to the group can cause synergy in the 4th phase 'performing'.

When people are presented with modification, they get in stage one and also so there might be emotions like sadness, uncertainty, disappointment, temper, concern, denial and also disorientation.The scenario at the advertising and marketing department of Harbor City Community Center is comparable so Lewis can get comfortable with the idea that it is not extraordinary habits. It is during this phase that Lewis will certainly have to offer support to the department so that they can find a sense of instructions. It can be seen how Krasnow has actually already made this shift less complicated by making Lewis obtain entailed in the division a year prior to his actual separation.
Vrio Analysis
Abraham Maslow in his Theory of 'Demands Pecking order' (appendix 5) has goes over the significance of 'security needs as being a reduced level need of a human for triggering inspiration. As seen in the pyramid shared in appendix 3, we can see exactly how 'the requirement to really feel secure and out of danger' is at the second level of requirements. Prior to an employee can be made to develop psychologically, he needs to have his 'Physical 'and 'Safety and security' requires fulfilled.

SWOT Analysis for Harbor City Community Center Case Study



Implication of Analysis.

The OB analysis has taken a look at various theories to comprehend just how to handle the present situation available. The adhering to three options have actually been suggested to assist Lewis handle the organizational obstacles in the advertising and marketing division. Each of these options has actually been proposed for easing the change required to bring the marketing division in accordance with the requirements of the marketplace and also for making the cultural adjustment that would adhere to once the present leader leaves.

Integration of advertising and marketing features. Separating Adverting and Production features. Assimilation of Advertising And Marketing with Operations.

Analysis of Alternatives.

Judith Shapiro who has actually earlier been spoken with by Lewis during the earlier merging days has knowledge in business-to-business advertising along with company and retail advertising experience. When Krasnow leaves, Lewis can work with Shapiro as an EVP for marketing to handle both advertising and advertising and marketing features.

The advantage of this approach is that it will integrate both features while lowering the demand for hiring an extra resource for advertising. In addition to this, Lewis would certainly be heading the advertising division and in any case her replacement would certainly be required for the present duty that she is doing. The negative aspect of this option is that exterior hiring might produce animosity from internal workers that might be eying the placement of EVP after Lewis takes over Krasnow's setting.

Dividing Adverting and Manufacturing: Offered the affordable pressures as well as high top quality work called for from the advertising and marketing agency, it is advised that Lewis must permit the production unit to be a separate feature from the advertising unit. Because the majority of advertising and marketing companies had these 2 functions as different devices, it makes even more sense to comply with the standard.

Combination of Marketing with Procedures: Given that Lewis is currently taking care of the advertising and also operations divisions simultaneously; it makes sense to incorporate the two features considering that she has been effectively taking care of both ends. The fact that Lewis has to adapt her monitoring style for the advertising and marketing division recommends that these 2 divisions would certainly be culturally varied.

Suggestion.



An analysis of the 3 alternatives indicates that integration of advertising as well as procedures would not be a feasible action due to the huge distinctions in between both divisions despite the fact that presently Lewis is handling both. While splitting up of the manufacturing feature may have been a positive action for the advertising department, the reality that it would suggest placing a 3rd feature under Lewis's wing indicates this should be stayed clear of as well. The assimilation of the advertising and marketing division is the most effective alternative in regards to obtaining the ideal results from the division. An action prepare for this option is reviewed below.

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

Marketing and advertising functions would be combined.

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

Manufacturing feature will certainly remain part of advertising under advertising feature.

Lewis will certainly separate herself from procedures.

An autonomous leadership style with employee empowerment will certainly be utilized in advertising and marketing division.

Open up door policy and also emphasis on cross departmental interaction will be aimed at getting rid of discord.

Backup plan.

If the combination does not exercise as planned, a backup plan would follow which would certainly divide the manufacturing feature from the advertising function to lower the lots on the SVP of marketing and advertising. In case Judith Shapiro does not obtain worked with, Lewis will be heading the advertising department without an SVP. In that case the manufacturing function will certainly be divided by placing it under an SVP production.