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Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry Case Study Analysis

Background and Facts

Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry an office products seller for tiny as well as moderate sized organisations has actually just recently been involved in preparing for a merging with its competitor Home Deport, which has actually affected efficiency degrees in departmentswith the senior supervisor associated with legal difficulties presented by the government Trade Compensation. With the Advertising Head advancing the news of his separation from the company in one year, Jeannie Lewis, the current head of operations has actually been asked to take the duty in the future. With challenges in the form of a prospective cultural modification as well as low employee morale, the company needs a total reengineering effort at the advertising division.

Trouble Statement
Porter's 5 Forces Analysis
The possible cultural modification at the marketing department of Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry is increasing unpredictability in the workplace leading to different obstacles 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 significant role in affecting calculated decisions since Stapes Inc. needed to abandon its plans of merging with Office Deport after the Federal Profession Commission's treatment in the process. Provided the reality that the shop has a worldwide presence with branches in UK, U.S.A., Canada as well as Germany, political factors in each of these nations might be able to influence performance or strategic objectives. Federal Profession Compensation's antitrust match versus the merger used up beneficial time of the company's senior monitoring recommending that 'political' factors can have major effects for a global business.

Economic Factors: Economic factors such as the emergence of small businesses in the worldwide scenario suggest that Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry is prospering in an atmosphere where there is prospective development of organisations. Truth that store clients are primarily looking for workplace materials for home workplaces recommends that the market has an increasing trend of business owners and also house based services.

Social factors: Social fads in the economic situation reveal that consumers are searching for convenience as well as appealing costs. Market research shows how the client for Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry lacks understanding regarding locating remedies which can use a combination of benefit as well as inexpensive.

Technological factors: Innovation plays an important function in Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry's service approach specifically as the organization is piloting Technology facilities which would supply innovation sales and also support in the type of memory upgrades, peripheral setups. (Summary of PARASITE in appendix 2).

OB Issues as well as Manifestations.

Numerous underlying Organizational Actions concerns can be seen in Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry's case as highlighted in this section.

Concerns concerning cultural adjustment: There is uneasiness concerning a cultural change that would certainly occur when Todd Krasnow leaves from his placement as the Executive Vice President of Advertising And Marketing with the majority of the employee currently showing discontent over this potential relocation. This expected adjustment has produced anxiety in the work environment which has actually been coupled with the past stress of preparing the company for a possible merging with Residence Deport.
Pest Analysis
Demanding Work Setting for Newcomers: There is lack of employees that can match the stressful environment of a fast-paced company. Not only does this cause trouble in locating the ideal people, it places anxiety on brand-new hires as can not hold up against the rate as well as pressure that the organization expects them to bear.

Double Coverage Lines: Newcomers find this organizational society cumbersome as well as challenging to cope with particularly as dotted line relationships are implied to be weak generally as well as objective setup and efficiency examination is still done by the solid line manager. This means that novices can shed clarity about their respective functions and objectives particularly as populated line reporting does not keep them in direct communication with the strong line managers.

Animosity From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor rather than Bridget Coles although it had been speculated that the latter would certainly take Krasnow's setting came as a blow to her morale. Lewis may have been capable as well as proper for the job but the reality that Kransnow's separation would make Coles a direct report to Lewis might have been the factor for Coles' resignation from solutions.

Concern & Task Insecurity: Fear and instability can be identified as 2 major concerns that Lewis would certainly be taking care of particularly as the merging has actually currently be cancelled and also two elderly executives of the advertising department would be leaving. The entire duty of the department would be dropping on Lewis's shoulders that would certainly not just supervise of brining about a social modification but would additionally need to prove herself in her new role.

Inappropriate Administration Design of Leader: Lewis's monitoring design and also its incompatibility with the marketing department's function can likewise be seen as an OB difficulty especially as she has been used to taking care of concerns in the operations department where personnel are shown to focus on processes and also obtain them. The advertising and marketing department on the other hand can be viewed as a team of people who are made use of to being supported by Krasnow that concentrated extra on outcome than processes.

Interdepartmental Arguments: Interdepartmental differences in between three divisions, marketing, merchandizing and also operations respectively over the appropriation of the advertising and marketing mix can be identified as an additional OB issue. The advertising division does not share the exact same vision as the other 2 divisions concerning the aloocation of the advertising and marketing mix twoards promos and also advertsing, the merchandizing and procedures divisions do not concur over the advertising mix appropriation amongst one another either.

Disintegration in Marketing Division: Disintegration in between the marketing and advertising divisions can be recognized as another OB problem which might require further focus. The fact that the advertising and marketing areas in the advertising department are detached is preventing both divisions from acquiring from each other's experience as well as proficiency. Combination of marketing with merchandising and operations would certainly come to be harder if the advertising and marketing department itself is broken down which can be another prospective OB problem.

Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry Analysis

Various concepts have actually been made use of to describe the situations to get further clearness regarding the scenario at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, the majority of supervisors believe that subordinates are passive and careless, have little ambition and also stand up to change. The hard variation of this theory emphasized threat, limited controls, threats and also punishments. Gradually it generates low efficiency, refined sabotage and competition (Deal, 2003). The situation at Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry is not totally complying with Theory X, it can be seen that new hires are discovering this environment instead demanding which might eventually lead to a greater inclination of the management in the direction of Theory X. As per McGregor's promoted view, which he called Theory Y, the necessary job of the monitoring is to organize business conditions to make sure that individuals can achieve their very own goals best by directing their initiatives towards business benefits. If individuals find no satisfaction in their work, the administration would have little selection yet to rely upon concept X and also outside control (Deal, 2003). Even while examining Lewis's administration design, concept X might have been suitable in the operations department to some extent but the Advertising division would require reliance on Theory Y so as to get the creative thinking as well as creativity from the teams.

Tuckman's Teamwork Concept: As much as Lewis's issue about bringing consistency between the advertising as well as advertising department is worried, this would originally lead to conflict as gone over by Bruce Tuckman in his 'Team effort Theory'. By incorporating the advertising and marketing as well as advertising department's job, there might be the very same first separate which might lead to the second stage of 'storming' where the groups test one another.

Bridges' Shift Version: Based On William Bridge's concept (appendix 4), individuals are rather uncomfortable with change, which is noticeable by the situation at Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry The scenario can be seen as a typical course of life if is studied according to Bridge's concept where he describes that individuals go through three phases of transition when they experience adjustment. 'Ending, shedding and also Releasing', The Neutral Area and 'The New Starting' (Bridges, 2004). When people exist with adjustment, they get in phase one and so there may be feelings like sadness, uncertainty, irritation, anger, anxiety, denial and disorientation.The scenario at the marketing division of Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry is similar so Lewis can get comfortable with the idea that it is not amazing habits. In the 2nd stage, there might be a requirement to link the space between the brand-new as well as old society so Lewis might have to encounter this experience as soon as Krasnow leaves. There might be low spirits and low performance at this stage which should not be taken as a problem. It is throughout this stage that Lewis will have to provide assistance to the division so that they can find an orientation. It can be seen just how Krasnow has actually currently made this change less complicated by making Lewis obtain involved in the department a year before his actual separation. As per Bridges' Model, phase three will cause openness to knowing, High energy and also commitment as people will embrace the change (Bridges, 2004).
Vrio Analysis
Abraham Maslow in his Theory of 'Demands Power structure' (appendix 5) has reviews the value of 'security requires as being a reduced level demand of a human for setting off inspiration. As seen in the pyramid shared in appendix 3, we can see exactly how 'the need to really feel safe and secure as well as out of threat' is at the 2nd level of requirements. Before a worker can be made to establish psychologically, he needs to have his 'Physical 'and 'Safety and security' requires met.

SWOT Analysis for Seeking Alpha In The Afterlife Cmg Life Services And The Life Settlement Industry Case Study

Ramification of Analysis.

The OB analysis has actually checked out numerous theories to comprehend how to manage the existing scenario at hand. The complying with three choices have been suggested to aid Lewis deal with the organizational obstacles in the advertising division. Each of these options has actually been recommended for relieving the change required to bring the advertising and marketing department in line with the demands of the market and also for making the cultural adjustment that would follow once the existing leader leaves.

Assimilation of advertising and marketing functions. Separating Adverting and Manufacturing features. Integration of Advertising with Operations.

Examination of Alternatives.

Judith Shapiro who has actually earlier been talked to by Lewis during the earlier merger days has knowledge in business-to-business marketing along with agency as well as retail advertising experience. As soon as Krasnow leaves, Lewis can hire Shapiro as an EVP for marketing to handle both advertising and advertising and marketing features.

The benefit of this approach is that it will integrate the two features while minimizing the requirement for employing an added resource for advertising. Lewis would certainly be heading the advertising and marketing division and in any case her replacement would be required for the present role that she is performing. The negative aspect of this option is that external hiring may bring about resentment from internal workers that might be eying the placement of EVP after Lewis takes over Krasnow's placement.

Separating Adverting and Manufacturing: Given the affordable stress as well as high top quality work called for from the advertising company, it is advised that Lewis should allow the production system to be a separate function from the marketing unit. Since the majority of advertising and marketing agencies had these two features as different systems, it makes even more sense to follow the standard.

Combination of Advertising with Operations: Given that Lewis is already dealing with the advertising and marketing as well as operations departments all at once; it makes good sense to integrate the two functions considering that she has actually been efficiently looking after both ends. The reality that the two departments currently have major differences over allocation of resources recommends that this integration might have the ability to cause consistency specifically as Lewis would certainly be heading both ends.However there are various disadvantages of this action especially as it would place way too much problem over Lewis's shoulders. The fact that Lewis has to adjust her administration design for the advertising department recommends that these 2 divisions would certainly be culturally diverse. Lewis might not be able to use one type of leadership style to both departments which might result in ineffectiveness in either one of the 2 functions.


An analysis of the three alternatives shows that integration of marketing and also procedures would not be a possible action due to the large differences in between the two divisions regardless of the fact that currently Lewis is dealing with both. While splitting up of the manufacturing feature may have been a favorable action for the advertising department, the fact that it would certainly indicate placing a third feature under Lewis's wing means this ought to be avoided.

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

Advertising and Marketing features would certainly be merged.

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

Manufacturing feature will stay component of marketing under advertising function.

Lewis will certainly divide herself from operations.

A democratic leadership style with worker empowerment will be used in marketing division.

Open door plan and emphasis on cross departmental communication will be focused on removing dissonance.

Backup plan.

If the combination does not work out as intended, a backup strategy would certainly follow which would certainly divide the production feature from the marketing 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 marketing department without an SVP. In that case the manufacturing feature will definitely be separated by placing it under an SVP production.