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Murray Ohio Manufacturing Co Case Study Solution

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Murray Ohio Manufacturing Co Case Study Analysis

Background and Facts

Murray Ohio Manufacturing Co a workplace supplies merchant for little and medium sized services has just recently been involved in preparing for a merger with its competitor Home Deport, which has actually influenced performance degrees in departmentswith the elderly manager involved in legal difficulties put forth by the government Profession Payment. With the Marketing Head advancing the news of his departure from the company in one year, Jeannie Lewis, the existing head of operations has been asked to take the function in the near future. With challenges in the form of a possible social change and low employee morale, the company is in need of a total reengineering effort at the marketing division.

Trouble Declaration
Porter's 5 Forces Analysis
The potential social modification at the advertising division of Murray Ohio Manufacturing Co is enhancing unpredictability in the workplace resulting in different challenges for the Jeannie Lewis that would certainly be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major function in affecting tactical decisions since Stapes Inc. needed to desert its plans of combining with Workplace Deport after the Federal Profession Compensation's treatment while doing so. Provided the fact that the store has a worldwide presence with branches in UK, UNITED STATES, Canada and also Germany, political consider each of these nations might have the ability to impact efficiency or tactical objectives. Federal Trade Payment's antitrust fit against the merging occupied beneficial time of the company's elderly management suggesting that 'political' factors can have significant ramifications for a global company.

Economic Factors: Financial factors such as the development of local business in the international scenario recommend that Murray Ohio Manufacturing Co is prospering in a setting where there is prospective growth of organisations. Fact that shop clients are primarily looking for office supplies for home offices recommends that the market has a climbing fad of entrepreneurs and residence based companies.

Social factors: Social fads in the economic situation reveal that clients are seeking comfort as well as eye-catching costs. Market research demonstrates how the consumer for Murray Ohio Manufacturing Co does not have awareness about finding solutions which can use a mix of ease as well as low costs.

Technological factors: Innovation plays an important duty in Murray Ohio Manufacturing Co's company approach particularly as the company is piloting Technology facilities which would supply modern technology sales and assistance in the form of memory upgrades, outer setups. (Recap of PARASITE in appendix 2).

OB Issues and also Symptoms.

A number of underlying Business Habits concerns can be seen in Murray Ohio Manufacturing Co's case as highlighted in this section.

Concerns concerning social adjustment: There is apprehension regarding a social modification that would certainly happen as soon as Todd Krasnow leaves from his placement as the Exec Vice Head Of State of Advertising And Marketing with most of the staff members currently showing unhappiness over this possible action. This predicted modification has actually created stress in the work environment which has actually been combined with the past stress and anxiety of preparing the firm for a potential merging with Residence Deport.
Pest Analysis
Stressful Job Setting for Newcomers: There is lack of workers that can match the difficult atmosphere of a busy organization. Not only does this cause trouble in locating the best people, it places tension on new hires as can not stand up to the speed as well as stress that the company expects them to bear.

Dual Reporting Lines: Beginners locate this organizational society difficult and hard to deal with particularly as populated line partnerships are suggested to be weaker in general and also unbiased setting as well as performance analysis is still done by the strong line manager. This suggests that newcomers can shed clarity about their respective duties as well as purposes specifically as dotted line reporting does not keep them in straight communication with the solid line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor rather than Bridget Coles even though it had been hypothesized that the latter would certainly take Krasnow's position came as an impact to her morale. Lewis may have been qualified and proper for the job but the reality that Kransnow's separation would make Coles a direct record to Lewis might have been the reason for Coles' resignation from solutions.

Concern & Task Instability: Concern as well as instability can be recognized as two major concerns that Lewis would certainly be taking care of especially as the merger has now be terminated as well as 2 senior executives of the advertising and marketing division would certainly be leaving. The entire duty of the department would be dropping on Lewis's shoulders who would not simply supervise of brining concerning a social change however would also need to confirm herself in her brand-new role.

Inappropriate Monitoring Design of Leader: Lewis's monitoring style as well as its conflict with the advertising division's function can also be seen as an OB challenge particularly as she has actually been used to managing problems in the procedures division where workers are educated to concentrate on processes as well as obtain them. The marketing department on the other hand can be viewed as a group of people who are used to being nurtured by Krasnow who concentrated a lot more on outcome than procedures.

Interdepartmental Disputes: Interdepartmental disputes between 3 departments, advertising and marketing, merchandizing as well as procedures respectively over the allotment of the marketing mix can be recognized as another OB issue. Although the marketing department does not share the same vision as the various other 2 departments pertaining to the aloocation of the marketing mix twoards promotions as well as advertsing, the merchandizing as well as operations departments do not agree over the advertising mix allocation amongst each other either.

Fragmentation in Advertising Department: Fragmentation between the marketing and advertising departments can be recognized as an additional OB concern which could require more interest. The truth that the advertising and marketing sections in the marketing department are separated is stopping both divisions from obtaining from each other's experience and also experience. Assimilation of advertising with merchandising and also procedures would certainly become more difficult if the advertising department itself is degenerated which can be an additional prospective OB problem.

Murray Ohio Manufacturing Co Analysis

Various concepts have actually been used to explain the circumstances to get additional clearness about the scenario at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, a lot of supervisors believe that staffs are easy as well as careless, have little aspiration and also withstand modification. The circumstance at Murray Ohio Manufacturing Co is not totally complying with Theory X, it can be seen that new hires are discovering this atmosphere instead difficult which might at some point lead to a greater inclination of the administration in the direction of Concept X. Even while evaluating Lewis's monitoring design, concept X may have been appropriate in the procedures department to some extent yet the Marketing division would need reliance on Concept Y in order to obtain the creativity and also originality from the teams.

Tuckman's Synergy Theory: As much as Lewis's issue concerning bringing harmony in between the advertising and marketing and marketing division is concerned, this would at first lead to clash as reviewed by Bruce Tuckman in his 'Team effort Concept'. By combining the advertising and marketing and advertising and marketing department's job, there might be the same initial disconnect which can lead to the second stage of 'storming' where the groups test one an additional.

When people are offered with adjustment, they go into stage one and so there may be feelings like despair, unpredictability, frustration, rage, fear, denial and also disorientation.The circumstance at the advertising and marketing division of Murray Ohio Manufacturing Co is similar so Lewis can obtain comfortable with the idea that it is not extraordinary actions. It is during this stage that Lewis will certainly have to offer support to the division so that they can locate a feeling of instructions. It can be seen how Krasnow has actually already made this change easier by making Lewis obtain included in the department a year prior to his real separation.
Vrio Analysis
Abraham Maslow in his Concept of 'Needs Pecking order' (appendix 5) has goes over the importance of 'security requires as being a reduced degree demand of a human for causing inspiration. As seen in the pyramid shared in appendix 3, we can see exactly how 'the requirement to feel safe and secure as well as out of danger' is at the 2nd level of demands. Before a worker can be made to establish emotionally, he needs to have his 'Physiological 'and 'Safety and security' needs fulfilled.

SWOT Analysis for Murray Ohio Manufacturing Co Case Study



Ramification of Analysis.

The OB analysis has taken a look at numerous concepts to comprehend how to deal with the present circumstance at hand. The following 3 options have actually been recommended to help Lewis deal with the business challenges in the advertising division. Each of these options has been suggested for reducing the shift needed to bring the advertising and marketing department according to the requirements of the market and also for making the cultural adjustment that would follow as soon as the existing leader leaves.

Integration of advertising and marketing functions. Separating Adverting as well as Production features. Combination of Advertising with Operations.

Examination of Alternatives.

Judith Shapiro who has earlier been spoken with by Lewis throughout the earlier merging days has knowledge in business-to-business advertising and marketing along with agency and also retail advertising and marketing experience. When Krasnow leaves, Lewis can work with Shapiro as an EVP for marketing to take care of both marketing and also marketing functions.

The advantage of this method is that it will incorporate both functions while minimizing the need for employing an additional resource for marketing. Lewis would be heading the advertising department as well as in any type of case her replacement would certainly be required for the current role that she is performing. The downside of this option is that outside hiring may cause animosity from interior employees who might be considering the placement of EVP after Lewis takes control of Krasnow's placement.

Dividing Adverting and also Manufacturing: Provided the affordable stress and top quality work called for from the ad agency, it is suggested that Lewis must allow the production system to be a different function from the advertising device. Because many ad agency had these 2 features as different units, it makes more sense to adhere to the norm. Both features might be able to focus on their core activates more successfully. However, the downside of this technique would certainly be that added expenses would certainly have to be borne for establishing different manufacturing features. A production head might have to be worked with which could raise overheads for the organization.

Assimilation of Advertising And Marketing with Workflows: Because Lewis is already taking care of the advertising and marketing as well as operations departments simultaneously; it makes feeling to incorporate the two functions since she has actually been effectively taking care of both ends. The truth that Lewis has to adapt her management design for the advertising and marketing division suggests that these 2 departments would be culturally diverse.

Referral.



An examination of the 3 choices shows that integration of advertising and marketing as well as operations would certainly not be a viable move due to the substantial distinctions between the two divisions in spite of the reality that currently Lewis is dealing with both. While splitting up of the production feature may have been a positive relocation for the advertising division, the fact that it would certainly imply placing a 3rd function under Lewis's wing indicates this ought to be stayed clear of.

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

Marketing and advertising functions would certainly be combined.

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

Manufacturing feature will certainly stay component of advertising and marketing under advertising and marketing function.

Lewis will separate herself from operations.

An autonomous management style with worker empowerment will be used in advertising and marketing department.

Open up door plan and also focus on cross department communication will certainly be aimed at getting rid of discord.

Backup plan.

If the assimilation does not exercise as intended, a backup plan would certainly comply with which would separate the production feature from the advertising and marketing feature to reduce the lots on the SVP of advertising and marketing. In case Judith Shapiro does not obtain employed, Lewis will certainly be heading the advertising and marketing department without an SVP. In that case the manufacturing function will certainly be divided by placing it under an SVP production.