Moolani Foundation Case Study Analysis


Home >> Harvard >> Moolani Foundation >>

Moolani Foundation Case Study Solution

Background and Facts

Moolani Foundation a workplace materials seller for small and moderate sized businesses has actually lately been involved in planning for a merging with its rival Home Deport, which has actually influenced effectiveness levels in departmentswith the senior manager involved in lawful complications presented by the government Profession Compensation. 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 actually been asked to take the duty in the future. With obstacles in the kind of a potential social change and reduced employee spirits, the organization needs a complete reengineering effort at the marketing division.

Trouble Declaration
Porter's 5 Forces Analysis
The potential social change at the advertising and marketing division of Moolani Foundation is increasing uncertainty in the working environment leading to different challenges for the Jeannie Lewis who would certainly be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in affecting critical choices because Stapes Inc. needed to abandon its plans of combining with Workplace Deport after the Federal Profession Commission's treatment in the process. Provided the fact that the store has a worldwide presence with branches in UK, USA, Canada and Germany, political consider each of these nations might be able to affect performance or tactical goals. Federal Profession Commission's antitrust match against the merger took up valuable time of the organization's elderly management suggesting that 'political' factors can have major ramifications for an international business.

Economic Factors: Economic factors such as the introduction of small businesses in the international situation recommend that Moolani Foundation is growing in an atmosphere where there is potential growth of services. In addition to this, reality that store customers are primarily looking for office products for home offices suggests that the marketplace has a climbing trend of entrepreneurs and home based services.

Social factors: Social patterns in the economic situation show that clients are trying to find convenience as well as appealing costs. Marketing research shows how the customer for Moolani Foundation does not have recognition about locating options which can offer a combination of benefit and also low costs.

Technical factors: Technology plays a crucial role in Moolani Foundation's business approach especially as the company is piloting Technology centers which would supply technology sales and support in the form of memory upgrades, outer installments. (Recap of PARASITE in appendix 2).

OB Issues and also Symptoms.

Numerous underlying Organizational Behavior problems can be seen in Moolani Foundation's case as highlighted in this section.

Concerns about social modification: There is worry regarding a cultural change that would take place once Todd Krasnow leaves from his placement as the Exec Vice Head Of State of Advertising with most of the team member currently revealing unhappiness over this prospective move. This expected adjustment has actually produced tension in the work environment which has actually been paired with the previous tension of preparing the company for a possible merger with House Deport.
Pest Analysis
Stressful Task Environment for Newcomers: There is lack of personnel that can match the demanding setting of a hectic company. Not only does this bring about trouble in finding the best individuals, it puts stress on new hires as can not hold up against the pace as well as stress that the organization expects them to birth.

Twin Reporting Lines: Beginners discover this organizational culture troublesome as well as hard to manage especially as dotted line partnerships are indicated to be weak in general and also objective setup as well as efficiency examination is still done by the solid line manager. This indicates that newbies could shed quality regarding their respective duties and goals specifically as dotted line coverage does not keep them in direct communication with the solid line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower instead of Bridget Coles although it had actually been guessed that the latter would certainly take Krasnow's position came as a blow to her spirits. Lewis might have been capable and ideal for the work but the truth that Kransnow's departure would make Coles a direct report to Lewis might have been the factor for Coles' resignation from solutions.

Concern & Job Instability: Fear as well as instability can be identified as two major problems that Lewis would be dealing with especially as the merger has actually currently be cancelled as well as 2 senior execs of the marketing division would certainly be leaving. The whole responsibility of the division would be falling on Lewis's shoulders who would not simply be in charge of brining concerning a social change yet would certainly likewise need to show herself in her new function.

Inappropriate Monitoring Design of Leader: Lewis's management style and also its conflict with the advertising and marketing division's duty can also be seen as an OB challenge particularly as she has actually been made use of to handling issues in the operations department where employees are taught to focus on processes as well as get them right. The marketing department on the other hand can be seen as a team of people that are used to being nurtured by Krasnow that focused much more on outcome than procedures.

Interdepartmental Arguments: Interdepartmental arguments between 3 departments, advertising and marketing, merchandizing and also operations specifically over the allocation of the advertising and marketing mix can be recognized as one more OB concern. Although the advertising division does not share the same vision as the various other two divisions relating to the aloocation of the marketing mix twoards promotions and advertsing, the merchandizing and also procedures departments do not concur over the marketing mix allocation among one another either.

Fragmentation in Advertising And Marketing Division: Disintegration between the marketing and advertising divisions can be identified as one more OB issue which could require further interest. The truth that the advertising and marketing sections in the marketing division are detached is preventing both departments from obtaining from each various other's experience and proficiency. Assimilation of advertising with retailing and procedures would come to be harder if the advertising and marketing department itself is broken down which can be an additional prospective OB worry.

Moolani Foundation Analysis

Different concepts have been made use of to clarify the situations to obtain additional clarity regarding the circumstance handy.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, most managers believe that juniors are easy and lazy, have little passion and stand up to modification. The situation at Moolani Foundation is not entirely following Concept X, it can be seen that new hires are locating this atmosphere instead difficult which may at some point lead to a higher disposition of the monitoring in the direction of Theory X. Also while assessing Lewis's management style, theory X may have been suitable in the procedures department to some extent yet the Advertising and marketing department would need dependence on Concept Y in order to obtain the creative thinking and originality from the groups.

Tuckman's Team effort Concept: As much as Lewis's worry regarding bringing consistency in between the advertising and marketing and also advertising and marketing department is worried, this would initially lead to contrast as discussed by Bruce Tuckman in his 'Synergy Theory'. By integrating the advertising and marketing and also marketing division's job, there may be the exact same initial disconnect which might lead to the second stage of 'storming' where the groups test one another.

When individuals are presented with change, they enter stage one and also so there may be emotions like sadness, unpredictability, irritation, rage, worry, rejection and disorientation.The scenario at the advertising and marketing department of Moolani Foundation is comparable so Lewis can obtain comfy with the idea that it is not remarkable behavior. It is throughout this phase that Lewis will have to give guidance to the division so that they can locate a sense of instructions. It can be seen just how Krasnow has actually currently made this change much easier by making Lewis obtain involved in the division a year before his actual separation.
Vrio Analysis
Abraham Maslow in his Theory of 'Demands Pecking order' (appendix 5) has goes over the relevance of 'safety and security needs as being a reduced level demand of a human for setting off motivation. As seen in the pyramid shared in appendix 3, we can see how 'the demand to feel protected and out of threat' is at the second degree of requirements. Before an employee can be made to establish psychologically, he requires to have his 'Physical 'as well as 'Security' needs satisfied.

SWOT Analysis for Moolani Foundation Case Study

Effects of Analysis.

The OB analysis has actually considered various concepts to comprehend just how to cope with the present scenario available. The complying with 3 options have actually been suggested to assist Lewis deal with the business challenges in the advertising division. Each of these alternatives has been recommended for relieving the shift required to bring the marketing division according to the requirements of the market and also for making the social modification that would comply with as soon as the current leader leaves.

Combination of advertising and marketing functions. Separating Adverting and also Production functions. Combination of Advertising And Marketing with Procedures.

Examination of Alternatives.

Judith Shapiro that has earlier been talked to by Lewis throughout the earlier merging days has knowledge in business-to-business advertising and marketing along with company and also retail marketing experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising to manage both advertising and advertising and marketing functions.

The benefit of this technique is that it will integrate both features while minimizing the demand for working with an additional source for advertising and marketing. Lewis would certainly be heading the advertising department and also in any kind of case her replacement would certainly be needed for the present duty that she is doing. The negative aspect of this option is that exterior hiring may produce bitterness from internal workers who may be considering the placement of EVP after Lewis takes over Krasnow's setting.

Separating Adverting and also Manufacturing: Offered the affordable pressures and also high top quality job required from the advertising firm, it is recommended that Lewis must allow the production device to be a separate feature from the advertising and marketing unit. Given that most advertising firms had these two functions as separate units, it makes even more sense to comply with the standard.

Integration of Marketing with Procedures: Since Lewis is already dealing with the advertising and operations divisions concurrently; it makes good sense to incorporate the two functions given that she has been effectively caring for both ends. The fact that both divisions currently have significant distinctions over appropriation of resources suggests that this assimilation might be able to bring about consistency especially as Lewis would certainly be heading both ends.However there are different drawbacks of this step specifically as it would certainly place too much problem over Lewis's shoulders. The fact that Lewis needs to adapt her administration style for the advertising and marketing department recommends that these two divisions would be culturally varied. In addition to this, Lewis might not have the ability to use one kind of management style to both departments which could result in inadequacy in either among both functions.


An analysis of the three alternatives indicates that assimilation of advertising and marketing and also operations would not be a viable relocation due to the substantial distinctions in between the two departments despite the fact that presently Lewis is handling both. While separation of the production feature may have been a favorable action for the marketing division, the truth that it would certainly mean putting a third feature under Lewis's wing implies this ought to be prevented.

Action Strategy.
Lewis will certainly take control of the role of EVP Marketing 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.

Production function will certainly remain part of advertising under advertising and marketing function.

Lewis will certainly separate herself from operations.

An autonomous management design with employee empowerment will be made use of in advertising and marketing department.

Open up door policy as well as focus on cross departmental interaction will be focused on removing disharmony.

Contingency strategy.

If the integration does not exercise as prepared, a contingency plan would certainly adhere to which would divide the manufacturing function from the advertising feature to decrease the tons on the SVP of advertising and marketing. In case Judith Shapiro does not obtain worked with, Lewis will be heading the advertising department without an SVP. In that case the manufacturing feature will absolutely be separated by placing it under an SVP production.