Background and Facts
Susan Griffin Formulation Of A Long Term Investment Strategy an office supplies merchant for little as well as moderate sized organisations has actually recently been involved in preparing for a merger with its competitor House Deport, which has affected efficiency levels in departmentswith the senior manager involved in lawful difficulties put forth by the government Profession Payment. With the Advertising and marketing Head putting forward the news of his departure from the company in one year, Jeannie Lewis, the present head of operations has been asked to take the role in the near future. With obstacles in the type of a possible cultural modification as well as reduced staff member morale, the organization is in need of a full reengineering initiative at the advertising and marketing department.Issue Statement
The prospective cultural modification at the marketing department of Susan Griffin Formulation Of A Long Term Investment Strategy is enhancing uncertainty in the workplace leading to numerous obstacles for the Jeannie Lewis that would certainly be replacing the head of the department in one year. nalysis
PEST analysis
Political Factors: Political factors play a major function in impacting calculated decisions given that Stapes Inc. had to abandon its strategies of merging with Office Deport after the Federal Profession Payment's treatment in the process. Offered the reality that the shop has a global existence with branches in UK, U.S.A., Canada and also Germany, political factors in each of these nations might have the ability to influence performance or strategic objectives. Federal Trade Compensation's antitrust suit versus the merger took up important time of the organization's elderly administration suggesting that 'political' factors can have serious effects for a worldwide business.
Economic Factors: Financial factors such as the emergence of small businesses in the global situation suggest that Susan Griffin Formulation Of A Long Term Investment Strategy is growing in an atmosphere where there is prospective development of organisations. Fact that store clients are mostly looking for office supplies for home offices recommends that the market has a climbing fad of entrepreneurs and also home based organisations.
Social factors: Social trends in the economy show that clients are looking for benefit along with appealing prices. Market research demonstrates how the consumer for Susan Griffin Formulation Of A Long Term Investment Strategy lacks awareness concerning discovering remedies which can provide a mix of comfort as well as low costs.
Technological factors: Technology plays an important role in Susan Griffin Formulation Of A Long Term Investment Strategy's company strategy especially as the organization is piloting Modern technology centers which would certainly offer modern technology sales and also support in the kind of memory upgrades, outer setups. (Summary of INSECT in appendix 2).
OB Issues and also Manifestations.
A number of underlying Organizational Behavior problems can be seen in Susan Griffin Formulation Of A Long Term Investment Strategy's case as highlighted in this section.
Apprehensions about social change: There is apprehension about a cultural change that would certainly happen once Todd Krasnow leaves from his position as the Exec Vice Head Of State of Advertising with the majority of the team member already revealing unhappiness over this possible relocation. This predicted change has actually developed tension in the work environment which has been paired with the past anxiety of preparing the firm for a prospective merging with House Deport.
Demanding Work Atmosphere for Newcomers: There is shortage of personnel that can match the stressful environment of a hectic organization. Not only does this cause difficulty in locating the appropriate individuals, it places stress on new hires as can not withstand the pace and also pressure that the organization anticipates them to birth.
Double Coverage Lines: Newcomers discover this business society difficult and also challenging to handle particularly as dotted line connections are indicated to be weak as a whole as well as unbiased setup as well as performance assessment is still done by the strong line manager. This suggests that novices can shed clarity concerning their particular duties and also objectives specifically as dotted line reporting does not maintain them in straight communication with the solid line supervisors.
Resentment From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor instead of Bridget Coles although it had actually been speculated that the last would take Krasnow's setting came as a strike to her spirits. Lewis may have been qualified as well as ideal for the work however the fact that Kransnow's departure would make Coles a straight record to Lewis might have been the factor for Coles' resignation from services.
Concern & Job Instability: Concern as well as insecurity can be identified as 2 major worries that Lewis would certainly be managing particularly as the merging has currently be terminated and two elderly executives of the advertising division would certainly be leaving. The entire duty of the department would be dropping on Lewis's shoulders who would certainly not just supervise of brining concerning a social change but would certainly also have to verify herself in her brand-new role.
Incompatible Monitoring Design of Leader: Lewis's administration style and also its incompatibility with the marketing division's function can likewise be seen as an OB challenge particularly as she has actually been utilized to dealing with issues in the procedures division where workers are instructed to focus on processes and get them right. The advertising department on the various other hand can be seen as a team of individuals who are used to being supported by Krasnow that focused much more on outcome than procedures.
Interdepartmental Disagreements: Interdepartmental disagreements in between 3 departments, advertising and marketing, merchandizing as well as procedures respectively over the allotment of the marketing mix can be recognized as one more OB worry. 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 as well as advertsing, the merchandizing as well as operations departments do not concur over the marketing mix appropriation amongst one another either.
Disintegration in Marketing Department: Disintegration between the marketing and advertising divisions can be recognized as another OB concern which could require additional attention. The fact that the marketing and advertising areas in the advertising and marketing division are disconnected is protecting against both departments from getting from each various other's experience as well as experience. Combination of marketing with merchandising and operations would certainly become more difficult if the advertising and marketing department itself is degenerated which can be one more potential OB problem.
Susan Griffin Formulation Of A Long Term Investment Strategy Analysis
Various theories have been used to clarify the conditions to get more clearness about the situation at hand.
McGregor's Theory X & Y: According to Douglas McGregor's Concept X, the majority of managers believe that staffs are easy and lazy, have little passion and also resist change. The circumstance at Susan Griffin Formulation Of A Long Term Investment Strategy is not totally adhering to Concept X, it can be seen that new hires are locating this atmosphere instead demanding which may eventually lead to a better inclination of the monitoring in the direction of Concept X. Also while analyzing Lewis's management style, concept X may have been appropriate in the procedures department to some degree however the Marketing division would certainly need reliance on Concept Y in order to obtain the imagination and originality from the teams.
Tuckman's Team effort Theory: As for Lewis's concern concerning bringing consistency in between the advertising and marketing department is concerned, this would originally cause contrast as discussed by Bruce Tuckman in his 'Teamwork Concept'. (Tuckman, 1965). As per Tuckman's concept shown in appendix 3, throughout the first phase of group growth, individuals may not bond, as they are busy discovering their place in the group. By combining the marketing and advertising department's job, there may coincide initial disconnect which could bring about the 2nd stage of 'storming' where the groups challenge each other. It is just during the 3rd stage or 'norming' when they would certainly come with each other to share concepts prior to the group can bring around synergy in the 4th phase 'carrying out'.
When people are provided with adjustment, they get in phase one and so there might be feelings like despair, unpredictability, frustration, temper, concern, rejection and disorientation.The circumstance at the advertising and marketing department of Susan Griffin Formulation Of A Long Term Investment Strategy is similar so Lewis can get comfortable with the concept that it is not remarkable actions. It is during this phase that Lewis will certainly have to offer assistance to the department so that they can find a sense of direction. It can be seen exactly how Krasnow has currently made this change easier by making Lewis obtain entailed in the division a year prior to his real separation.
Abraham Maslow in his Concept of 'Requirements Pecking order' (appendix 5) has goes over the value of 'safety requires as being a lower level demand of a human for triggering motivation. As seen in the pyramid shared in appendix 3, we can see just how 'the requirement to really feel safe and out of danger' is at the 2nd level of needs. Before a staff member can be made to develop mentally, he needs to have his 'Physical 'and 'Safety' requires met.
SWOT Analysis for Susan Griffin Formulation Of A Long Term Investment Strategy Case Study
Implication of Analysis.
The OB analysis has actually looked at various concepts to understand exactly how to manage the existing scenario available. The complying with three alternatives have actually been proposed to aid Lewis manage the organizational obstacles in the advertising department. Each of these options has been proposed for reducing the shift needed to bring the advertising and marketing department in line with the needs of the marketplace as well as for making the cultural adjustment that would certainly comply with once the current leader leaves.
Assimilation of marketing and advertising features. Dividing Adverting and also Manufacturing features. Combination of Advertising And Marketing with Operations.
Analysis of Alternatives.
Judith Shapiro that has actually earlier been spoken with by Lewis during the earlier merger days has proficiency 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 advertising to take care of both advertising and marketing and also advertising and marketing features.
The benefit of this method is that it will incorporate the two functions while lowering the requirement for working with an extra source for advertising. Lewis would be heading the marketing department as well as in any kind of case her substitute would certainly be needed for the present role that she is carrying out. The disadvantage of this option is that outside hiring might cause animosity from inner personnel who might be eying the position of EVP after Lewis takes over Krasnow's position.
Separating Adverting and Manufacturing: Offered the competitive stress and top quality job called for from the advertising agency, it is recommended that Lewis ought to permit the production unit to be a different function from the advertising unit. Given that a lot of ad agency had these two functions as different systems, it makes more feeling to adhere to the norm. Along with this, both functions might be able to focus on their core turns on much more efficiently. Nonetheless, the drawback of this approach would be that extra prices would certainly need to be birthed for establishing different production functions. A production head might have to be worked with which could raise expenses for the company.
Integration of Marketing with Operations: Since Lewis is currently looking after the advertising and marketing and also procedures departments at the same time; it makes good sense to incorporate both functions given that she has been effectively caring for both ends. The truth that both departments already have major differences over appropriation of sources recommends that this combination might be able to cause consistency especially as Lewis would certainly be heading both ends.However there are different negative aspects of this move especially as it would place way too much problem over Lewis's shoulders. The truth that Lewis has to adapt her management style for the marketing department suggests that these two departments would certainly be culturally varied. In addition to this, Lewis might not be able to use one sort of management style to both departments which might lead to ineffectiveness in either one of the two functions.
Recommendation.
An examination of the 3 choices indicates that assimilation of advertising and operations would certainly not be a viable action due to the vast distinctions in between the two departments despite the fact that presently Lewis is handling both. While splitting up of the production feature might have been a desirable step for the marketing department, the truth that it would certainly mean positioning a 3rd feature under Lewis's wing indicates this need to be stayed clear of also. The combination of the marketing division is the very best alternative in terms of getting the optimum arise from the division. An action plan for this choice is discussed below.
Action Strategy.
Lewis will certainly take control of the role of EVP Advertising after Krasnow leaves.
Advertising and Marketing features would be merged.
Judith Shapiro will certainly be worked with to take Lewis's place as SVP of marketing and advertising.
Production function will continue to be component of advertising and marketing under advertising and marketing feature.
Lewis will certainly divide herself from procedures.
An autonomous management design with employee empowerment will be made use of in marketing division.
Open up door plan and emphasis on cross departmental interaction will certainly be aimed at eliminating dissonance.
Contingency strategy.
If the combination does not work out as prepared, a backup strategy would certainly adhere to which would certainly divide the production function from the advertising feature to reduce the tons on the SVP of advertising and marketing. In case Judith Shapiro does not get worked with, Lewis will be heading the marketing department without an SVP. Because case the production feature will most definitely be divided by putting it under an SVP manufacturing.