Infineon Technologies Time To Cash In Your Chips Case Study Solution


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Infineon Technologies Time To Cash In Your Chips Case Study Help

Background and Facts

Infineon Technologies Time To Cash In Your Chips a workplace products merchant for tiny and also moderate sized services has lately been associated with preparing for a merger with its rival House Deport, which has actually affected effectiveness degrees in departmentswith the elderly supervisor associated with legal issues presented by the federal Trade Payment. With the Marketing Head advancing the information of his departure from the business in one year, Jeannie Lewis, the present head of operations has actually been asked to take the duty in the future. With challenges in the type of a prospective social modification and also reduced employee spirits, the organization wants a total reengineering initiative at the marketing department.

Trouble Statement
Porter's 5 Forces Analysis
The possible cultural modification at the advertising division of Infineon Technologies Time To Cash In Your Chips is raising uncertainty in the working environment causing numerous difficulties for the Jeannie Lewis who would certainly be replacing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major function in affecting tactical decisions because Stapes Inc. needed to desert its plans of merging with Office Deport after the Federal Profession Commission's intervention while doing so. Provided the fact that the shop has a global presence with branches in UK, UNITED STATES, Canada as well as Germany, political consider each of these countries might be able to impact performance or calculated objectives. Federal Profession Payment's antitrust suit against the merger occupied useful time of the company's senior monitoring recommending that 'political' factors can have major ramifications for a worldwide business.

Economic Factors: Financial factors such as the emergence of small companies in the international scenario recommend that Infineon Technologies Time To Cash In Your Chips is growing in an atmosphere where there is possible growth of companies. In addition to this, reality that store consumers are mainly trying to find office products for office suggests that the market has a climbing trend of business owners as well as home businesses.

Social factors: Social fads in the economic situation show that consumers are looking for comfort in addition to attractive costs. Marketing research demonstrates how the customer for Infineon Technologies Time To Cash In Your Chips does not have understanding concerning locating remedies which can offer a mix of convenience and low costs.

Technical factors: Technology plays a crucial function in Infineon Technologies Time To Cash In Your Chips's company technique specifically as the company is piloting Innovation facilities which would certainly offer modern technology sales as well as assistance in the kind of memory upgrades, peripheral installments. (Recap of PARASITE in appendix 2).

OB Issues and Effects.

Several underlying Organizational Actions problems can be seen in Infineon Technologies Time To Cash In Your Chips's case as highlighted in this section.

Worries about social change: There is concern concerning a cultural modification that would certainly take place as soon as Todd Krasnow leaves from his position as the Exec Vice President of Marketing with a lot of the personnel already showing discontent over this potential move. This anticipated modification has developed stress in the work environment which has been combined with the past stress of preparing the company for a potential merging with House Deport.
Pest Analysis
Stressful Work Atmosphere for Newcomers: There is shortage of employees that can match the demanding atmosphere of a hectic organization. Not only does this lead to problem in locating the ideal people, it places stress on brand-new hires as can not endure the speed and pressure that the organization anticipates them to birth.

Twin Coverage Lines: Newcomers discover this business society cumbersome and tough to deal with especially as dotted line partnerships are implied to be weak in general and also unbiased setup and also efficiency examination is still done by the solid line supervisor. This means that beginners could shed clarity concerning their corresponding roles and also goals particularly as dotted line reporting does not keep them in straight communication with the strong line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower as opposed to Bridget Coles despite the fact that it had actually been guessed that the latter would certainly take Krasnow's position came as a blow to her morale. Lewis may have been qualified and also proper for the job but the fact that Kransnow's separation would certainly make Coles a direct report to Lewis may have been the reason for Coles' resignation from solutions.

Concern & Work Instability: Concern and also instability can be determined as two major worries that Lewis would certainly be dealing with especially as the merger has now be terminated as well as 2 elderly executives of the marketing division would certainly be leaving. The whole duty of the division would be dropping on Lewis's shoulders that would not simply supervise of brining about a social modification yet would also need to confirm herself in her brand-new duty.

Inappropriate Monitoring Style of Leader: Lewis's management design and its conflict with the marketing division's role can also be viewed as an OB challenge specifically as she has been used to taking care of problems in the procedures department where personnel are instructed to focus on procedures and also obtain them right. The marketing division on the various other hand can be viewed as a team of individuals that are made use of to being nurtured by Krasnow who concentrated extra on result than processes.

Interdepartmental Arguments: Interdepartmental arguments in between 3 departments, marketing, merchandizing and procedures respectively over the allowance of the advertising mix can be identified as one more OB concern. Although the advertising and marketing department does not share the very same vision as the various other 2 departments concerning the aloocation of the advertising mix twoards promotions and also advertsing, the merchandizing and procedures departments do not agree over the advertising and marketing mix allotment amongst each other either.

Fragmentation in Advertising And Marketing Department: Disintegration in between the marketing and advertising divisions can be identified as an additional OB issue which might need further focus. The reality that the advertising and marketing areas in the advertising and marketing department are disconnected is stopping both divisions from getting from each other's experience as well as expertise. Integration of advertising and marketing with retailing and also procedures would become more difficult if the advertising division itself is disintegrated which can be an additional potential OB concern.

Infineon Technologies Time To Cash In Your Chips Analysis

Various theories have actually been utilized to describe the circumstances to get additional quality about the scenario at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, the majority of managers believe that staffs are easy and also lazy, have little ambition as well as withstand change. The difficult version of this concept highlighted coercion, tight controls, hazards as well as punishments. In time it produces low performance, refined sabotage and rivalry (Bargain, 2003). Although the situation at Infineon Technologies Time To Cash In Your Chips is not totally following Theory X, it can be seen that brand-new hires are discovering this environment instead stressful which might ultimately lead to a greater inclination of the monitoring towards Concept X. As per McGregor's advocated view, which he called Theory Y, the essential job of the management is to set up organizational problems to make sure that individuals can achieve their very own goals best by directing their efforts in the direction of business incentives. If people discover no contentment in their job, the administration would have little selection yet to count on theory X and also exterior control (Deal, 2003). Also while evaluating Lewis's management style, concept X might have appropriated in the operations department to some extent but the Advertising and marketing department would certainly need reliance on Theory Y to get the creativity and creativity from the groups.

Tuckman's Synergy Concept: As much as Lewis's concern about bringing consistency between the advertising and marketing and also advertising and marketing division is concerned, this would at first lead to conflict as gone over by Bruce Tuckman in his 'Synergy Concept'. By combining the advertising and advertising department's job, there might be the same preliminary disconnect which could lead to the second stage of 'storming' where the teams test one an additional.

Bridges' Transition Design: As per William Bridge's concept (appendix 4), individuals are rather uncomfortable with adjustment, which is obvious by the circumstance at Infineon Technologies Time To Cash In Your Chips The situation can be viewed as a normal training course of life if is studied according to Bridge's concept where he discusses that people experience three stages of shift when they experience adjustment. 'Closing, shedding and Letting go', The Neutral Area and also 'The New Beginning' (Bridges, 2004). When people are presented with modification, they go into stage one therefore there may be feelings like despair, unpredictability, frustration, rage, concern, denial and also disorientation.The situation at the marketing division of Infineon Technologies Time To Cash In Your Chips is comparable so Lewis can obtain comfortable with the suggestion that it is not phenomenal habits. In the 2nd phase, there might be a requirement to connect the void in between the new as well as old culture so Lewis may have to encounter this ordeal when Krasnow leaves. There might be low spirits and reduced productivity at this stage which ought to not be taken as an obstacle. It is throughout this stage that Lewis will certainly have to provide assistance to the department to ensure that they can locate a sense of direction. It can be seen exactly how Krasnow has currently made this change much easier by making Lewis obtain associated with the department a year prior to his actual separation. Based on Bridges' Model, phase three will certainly cause openness to knowing, High energy and also dedication as individuals will embrace the modification (Bridges, 2004).
Vrio Analysis
Maslow's Requirement pecking order: The OB problem pertaining to insecurity at the office has actually been triggered first of all by the change in monitoring as well as second of all by the truth that the merging will certainly no more be initiated. Abraham Maslow in his Theory of 'Demands Hierarchy' (appendix 5) has goes over the significance of 'security requires as being a reduced level requirement of a human for activating motivation. As seen in the pyramid shared in appendix 3, we can see exactly how 'the demand to really feel safe as well as safe' is at the 2nd level of requirements. Before a worker can be made to create emotionally, he requires to have his 'Physical 'as well as 'Safety' needs met. This indicates that unless the workers are made to feel safe and secure regarding their existing work status in Infineon Technologies Time To Cash In Your Chips they may not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Infineon Technologies Time To Cash In Your Chips Case Study

Ramification of Analysis.

The OB analysis has checked out different concepts to comprehend how to cope with the current scenario at hand. The following three alternatives have actually been recommended to assist Lewis handle the organizational obstacles in the marketing division. Each of these choices has been proposed for relieving the change needed to bring the advertising department according to the requirements of the market and also for making the social change that would comply with as soon as the existing leader leaves.

Integration of advertising and marketing features. Dividing Adverting as well as Production features. Assimilation of Advertising And Marketing with Operations.

Examination of Alternatives.

Combination of Advertising & Advertising Functions: The in-house advertising and marketing agency of Infineon Technologies Time To Cash In Your Chips is already strength for the company in terms of saving up on expenses related to advertising as well as promo. Since no new recruitment has actually been done after Bridget Cole's separation with the reporting line being straight assigned to Krasnow for the marketing function, this is a beneficial chance for incorporating the advertising and marketing features. Judith Shapiro who has earlier been talked to by Lewis throughout the earlier merger days has competence in business-to-business marketing along with agency and retail marketing experience. When Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising to take care of both marketing and advertising features.

The advantage of this approach is that it will incorporate the two features while decreasing the need for employing an additional source for advertising. Lewis would certainly be heading the advertising division as well as in any kind of case her substitute would be required for the present function that she is doing. The disadvantage of this option is that exterior hiring might bring about animosity from inner employees that may be eying the position of EVP after Lewis takes over Krasnow's placement.

Dividing Adverting and also Production: Offered the affordable pressures and also excellent quality job required from the ad agency, it is suggested that Lewis needs to allow the production unit to be a separate function from the advertising and marketing unit. Because many ad agency had these 2 features as separate units, it makes more feeling to comply with the standard. Both functions may be able to concentrate on their core activates much more effectively. The downside of this method would certainly be that added prices would certainly have to be borne for establishing up different production features. A production head might have to be hired which can increase expenses for the organization.

Assimilation of Advertising with Workflows: Given that Lewis is currently dealing with the marketing as well as operations departments at the same time; it makes good sense to incorporate the two features considering that she has been efficiently dealing with both ends. The reality that the two departments already have significant distinctions over allocation of sources suggests that this combination may be able to bring about consistency specifically as Lewis would be heading both ends.However there are numerous drawbacks of this action specifically as it would certainly put excessive burden over Lewis's shoulders. The truth that Lewis has to adjust her management style for the advertising and marketing division recommends that these 2 departments would be culturally diverse. Along with this, Lewis might not be able to apply one kind of management design to both departments which can cause inadequacy in either one of both functions.


An analysis of the 3 options indicates that combination of advertising and marketing and also procedures would certainly not be a practical move as a result of the large differences between both departments although that currently Lewis is dealing with both. While separation of the production feature may have been a beneficial move for the marketing department, the truth that it would certainly suggest placing a 3rd feature under Lewis's wing implies this must be avoided too. The integration of the advertising and marketing department is the best alternative in terms of getting the optimal arise from the division. An action plan for this choice is reviewed below.

Activity Strategy.
Lewis will take control of the role of EVP Advertising after Krasnow leaves.

Advertising and Marketing features would certainly be combined.

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

Production function will certainly stay component of advertising and marketing under advertising and marketing function.

Lewis will separate herself from procedures.

An autonomous management design with staff member empowerment will be utilized in advertising division.

Open door policy as well as focus on cross department communication will be focused on removing discord.

Contingency plan.

If the integration does not work out as prepared, a contingency strategy would certainly adhere to which would separate the production function from the advertising feature to lower the tons on the SVP of advertising and marketing. In case Judith Shapiro does not obtain hired, Lewis will certainly be heading the marketing division without an SVP. Because case the manufacturing function will absolutely be separated by placing it under an SVP manufacturing.