Background and Facts
Polymedica Corp C an office materials seller for small as well as medium sized services has actually lately been involved in preparing for a merger with its competitor Home Deport, which has influenced efficiency degrees in departmentswith the senior manager involved in lawful problems put forth by the government Profession Payment. With the Marketing Head putting forward the news of his departure from the company in one year, Jeannie Lewis, the current head of procedures has been asked to take the duty in the future. With obstacles in the type of a prospective cultural modification and also reduced worker morale, the company wants a full reengineering initiative at the advertising and marketing department.Problem Declaration
The possible social adjustment at the advertising and marketing department of Polymedica Corp C is raising uncertainty in the working environment causing different challenges for the Jeannie Lewis that would be replacing the head of the department in one year. nalysis
PEST analysis
Political Factors: Political factors play a major function in influencing tactical decisions given that Stapes Inc. needed to abandon its strategies of combining with Workplace Deport after the Federal Profession Commission's intervention while doing so. Provided the truth that the shop has an international presence with branches in UK, UNITED STATES, Canada as well as Germany, political consider each of these countries might be able to affect efficiency or strategic objectives. Federal Trade Commission's antitrust suit against the merging used up beneficial time of the company's senior monitoring recommending that 'political' factors can have major effects for an international service.
Economic Factors: Financial factors such as the emergence of small businesses in the worldwide scenario recommend that Polymedica Corp C is flourishing in an atmosphere where there is prospective growth of businesses. Truth that store consumers are mainly looking for office materials for home workplaces suggests that the market has a rising pattern of entrepreneurs as well as house based businesses.
Social factors: Social patterns in the economy reveal that customers are looking for comfort in addition to appealing prices. Marketing research demonstrates how the client for Polymedica Corp C lacks understanding regarding finding services which can use a mix of convenience and also inexpensive.
Technical factors: Technology plays a crucial duty in Polymedica Corp C's service method specifically as the organization is piloting Innovation facilities which would certainly supply technology sales as well as support in the kind of memory upgrades, peripheral installments. (Summary of INSECT in appendix 2).
OB Issues and also Manifestations.
Numerous underlying Organizational Actions concerns can be seen in Polymedica Corp C's case as highlighted in this section.
Apprehensions about social adjustment: There is apprehension about a cultural change that would certainly occur once Todd Krasnow leaves from his placement as the Executive Vice President of Advertising with most of the employee currently showing unhappiness over this possible relocation. This predicted change has actually developed anxiety in the workplace which has actually been coupled with the previous stress and anxiety of preparing the company for a possible merger with Residence Deport.
Stressful Task Environment for Newcomers: There is scarcity of personnel that can match the difficult atmosphere of a busy company. Not only does this lead to difficulty in locating the best individuals, it puts stress and anxiety on new hires as can not hold up against the pace and pressure that the company anticipates them to birth.
Double Coverage Lines: Newbies locate this business society troublesome as well as challenging to cope with particularly as populated line relationships are indicated to be weak in general and objective setup and also efficiency analysis is still done by the strong line manager. This implies that newbies could lose clarity about their corresponding roles as well as purposes especially as populated line coverage does not maintain them in direct interaction with the strong line supervisors.
Resentment From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor rather than Bridget Coles even though it had actually been hypothesized that the last would certainly take Krasnow's setting came as a blow to her spirits. Lewis might have been qualified and also appropriate for the work however the reality that Kransnow's departure would make Coles a direct record to Lewis might have been the reason for Coles' resignation from services.
Anxiety & Job Instability: Concern and instability can be determined as two significant worries that Lewis would certainly be taking care of especially as the merging has currently be cancelled as well as two elderly executives of the advertising and marketing division would certainly be leaving. The whole responsibility of the division would be falling on Lewis's shoulders who would certainly not just be in charge of brining concerning a social adjustment but would certainly likewise need to prove herself in her new role.
Incompatible Management Style of Leader: Lewis's administration style as well as its conflict with the advertising and marketing division's function can also be seen as an OB difficulty especially as she has been utilized to managing concerns in the operations division where employees are shown to concentrate on processes and also get them. The advertising department on the other hand can be seen as a team of people who are made use of to being supported by Krasnow who concentrated extra on result than processes.
Interdepartmental Disputes: Interdepartmental disputes in between three divisions, advertising, merchandizing as well as procedures respectively over the allocation of the advertising mix can be identified as an additional OB worry. Although the marketing department does not share the very same vision as the various other 2 divisions regarding the aloocation of the marketing mix twoards promotions and advertsing, the merchandizing and procedures divisions do not concur over the marketing mix allotment among one another either.
Disintegration in Advertising Department: Disintegration between the marketing and advertising divisions can be determined as one more OB issue which could require additional interest. The truth that the advertising and marketing sections in the marketing department are disconnected is avoiding both divisions from acquiring from each various other's experience as well as competence. Integration of advertising with retailing and operations would certainly end up being harder if the marketing department itself is degenerated which can be an additional potential OB concern.
Polymedica Corp C Analysis
Numerous concepts have actually been used to discuss the circumstances to obtain more clearness concerning the situation available.
McGregor's Concept X & Y: According to Douglas McGregor's Concept X, a lot of managers think that subordinates are passive and careless, have little passion and resist modification. The circumstance at Polymedica Corp C is not entirely complying with Theory X, it can be seen that new hires are finding this environment rather demanding which might eventually lead to a greater disposition of the management towards Concept X. Also while evaluating Lewis's management style, theory X might have been ideal in the operations department to some extent but the Marketing division would require reliance on Concept Y in order to get the creativity as well as creativity from the teams.
Tuckman's Teamwork Theory: As far as Lewis's worry concerning bringing harmony between the advertising and advertising division is concerned, this would at first lead to conflict as talked about by Bruce Tuckman in his 'Team effort Theory'. By combining the advertising and marketing and advertising division's work, there might be the exact same first separate which might lead to the second phase of 'storming' where the groups test one an additional.
Bridges' Change Design: As per William Bridge's concept (appendix 4), individuals are quite unpleasant with adjustment, which is noticeable by the circumstance at Polymedica Corp C The circumstance can be seen as a normal program of life if is studied based on Bridge's theory where he clarifies that individuals experience three phases of change when they experience adjustment. 'End, losing and Releasing', The Neutral Zone and 'The New Starting' (Bridges, 2004). When people are presented with modification, they enter stage one and so there may be feelings like despair, unpredictability, stress, temper, worry, rejection and disorientation.The situation at the advertising and marketing division of Polymedica Corp C is comparable so Lewis can obtain comfortable with the concept that it is not phenomenal habits. In the second stage, there may be a requirement to link the gap in between the brand-new as well as old culture so Lewis might have to face this ordeal once Krasnow leaves. There may be low morale as well as low productivity at this stage which ought to not be taken as a setback. It is throughout this phase that Lewis will certainly have to provide support to the division to ensure that they can find a sense of direction. It can be seen exactly how Krasnow has actually already made this change much easier by making Lewis get associated with the division a year before his actual separation. Based on Bridges' Version, stage 3 will certainly bring about visibility to knowing, High energy as well as commitment as people will certainly embrace the change (Bridges, 2004).
Abraham Maslow in his Concept of 'Needs Hierarchy' (appendix 5) has goes over the significance of 'safety and security requires as being a lower degree requirement of a human for setting off motivation. As seen in the pyramid shared in appendix 3, we can see how 'the need to feel safe and secure and also out of risk' is at the second level of needs. Before an employee can be made to create psychologically, he needs to have his 'Physiological 'and also 'Security' requires met.
SWOT Analysis for Polymedica Corp C Case Study
Implication of Analysis.
The OB analysis has actually checked out numerous theories to understand how to cope with the existing circumstance handy. The adhering to 3 choices have actually been recommended to help Lewis deal with the business obstacles in the advertising and marketing division. Each of these options has actually been suggested for reducing the change needed to bring the marketing department in accordance with the demands of the market and also for making the cultural modification that would adhere to once the current leader leaves.
Combination of marketing and advertising features. Separating Adverting as well as Manufacturing features. Integration of Marketing with Procedures.
Analysis of Alternatives.
Judith Shapiro who has actually earlier been talked to by Lewis during the earlier merger days has competence in business-to-business advertising and marketing along with firm as well as retail advertising experience. When Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising and marketing to handle both advertising and marketing and marketing functions.
The benefit of this strategy is that it will certainly incorporate both functions while decreasing the requirement for employing an extra source for advertising and marketing. Along with this, Lewis would certainly be heading the marketing division and all the same her replacement would certainly be required for the current function that she is doing. The negative aspect of this option is that outside hiring may produce bitterness from interior personnel that may be considering the position of EVP after Lewis takes control of Krasnow's placement.
Dividing Adverting as well as Production: Given the affordable stress and also high quality work required from the marketing firm, it is advised that Lewis should enable the manufacturing device to be a separate feature from the advertising unit. Since most advertising companies had these 2 features as separate devices, it makes more feeling to comply with the norm.
Assimilation of Advertising with Operations: Considering that Lewis is currently taking care of the advertising and marketing and operations departments all at once; it makes good sense to integrate the two features since she has actually been effectively looking after both ends. The fact that both divisions currently have significant distinctions over allocation of sources suggests that this assimilation may have the ability to produce consistency specifically as Lewis would certainly be heading both ends.However there are different disadvantages of this step specifically as it would certainly place too much problem over Lewis's shoulders. The fact that Lewis has to adapt her management design for the marketing department recommends that these two departments would certainly be culturally diverse. Lewis might not be able to apply one type of leadership design to both departments which might result in ineffectiveness in either one of the two functions.
Referral.
An assessment of the three alternatives indicates that combination of advertising as well as procedures would certainly not be a viable step due to the substantial differences between the 2 departments despite the truth that presently Lewis is handling both. While splitting up of the production function might have been a favorable relocation for the advertising division, the reality that it would certainly imply placing a 3rd feature under Lewis's wing indicates this should be avoided.
Activity Strategy.
Lewis will take over the function of EVP Marketing after Krasnow leaves.
Marketing and advertising features would be combined.
Judith Shapiro will certainly 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 feature.
Lewis will certainly divide herself from operations.
A democratic leadership style with employee empowerment will be used in marketing division.
Open door plan and also focus on cross departmental communication will certainly be aimed at eliminating disharmony.
Backup plan.
If the assimilation does not work out as prepared, a contingency plan would comply with which would separate the production feature from the marketing feature to lower the tons on the SVP of marketing and advertising. In case Judith Shapiro does not obtain hired, Lewis will certainly be heading the advertising and marketing department without an SVP. Because case the production function will certainly be separated by putting it under an SVP production.