Verizon Communications Inc Implementing A Human Resources Balanced Scorecard Case Study Solution


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Verizon Communications Inc Implementing A Human Resources Balanced Scorecard Case Study Analysis

Background and Facts

Verizon Communications Inc Implementing A Human Resources Balanced Scorecard an office materials retailer for little and also average sized services has just recently been involved in preparing for a merging with its rival Residence Deport, which has actually influenced efficiency degrees in departmentswith the elderly supervisor associated with lawful issues presented by the federal Profession Commission. With the Marketing Head advancing the information of his separation from the business in one year, Jeannie Lewis, the existing head of procedures has actually been asked to take the duty in the near future. With obstacles in the kind of a potential social adjustment and also low staff member spirits, the company needs a total reengineering effort at the advertising division.

Issue Statement
Porter's 5 Forces Analysis
The potential social change at the marketing department of Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is increasing unpredictability in the working environment causing numerous challenges for the Jeannie Lewis that would be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in impacting strategic decisions since Stapes Inc. had to abandon its strategies of merging with Workplace Deport after the Federal Profession Compensation's intervention at the same time. Offered 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 nations might have the ability to affect efficiency or calculated goals. Federal Profession Compensation's antitrust match against the merger occupied useful time of the organization's elderly management suggesting that 'political' factors can have significant ramifications for an international business.

Economic Factors: Economic factors such as the introduction of local business in the worldwide scenario recommend that Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is thriving in a setting where there is prospective growth of businesses. Fact that store consumers are mainly looking for workplace products for house workplaces suggests that the market has an increasing trend of entrepreneurs as well as home based businesses.

Social factors: Social patterns in the economy show that consumers are seeking ease along with eye-catching costs. Marketing research demonstrates how the customer for Verizon Communications Inc Implementing A Human Resources Balanced Scorecard does not have recognition concerning locating options which can use a mix of comfort and also inexpensive.

Technical factors: Technology plays an essential function in Verizon Communications Inc Implementing A Human Resources Balanced Scorecard's business method specifically as the organization is piloting Innovation centers which would certainly use modern technology sales and also support in the form of memory upgrades, peripheral installments. (Recap of PARASITE in appendix 2).

OB Issues as well as Symptoms.

Numerous underlying Business Habits concerns can be seen in Verizon Communications Inc Implementing A Human Resources Balanced Scorecard's case as highlighted in this area.

Worries about social change: There is apprehension concerning a cultural change that would certainly occur when Todd Krasnow leaves from his placement as the Exec Vice Head Of State of Marketing with most of the employee already showing unhappiness over this possible step. This expected change has actually created stress in the workplace which has been combined with the past anxiety of preparing the company for a potential merger with House Deport.
Pest Analysis
Stressful Job Environment for Newcomers: There is scarcity of employees that can match the difficult environment of a busy organization. Not just does this cause difficulty in locating the right people, it places tension on new hires as can not withstand the pace and stress that the company anticipates them to birth.

Twin Coverage Lines: Newcomers locate this business culture cumbersome as well as tough to handle particularly as populated line connections are indicated to be weak in general as well as unbiased setting as well as efficiency evaluation is still done by the strong line supervisor. This indicates that newbies can lose clarity about their particular functions and also goals especially as populated line reporting does not maintain them in direct interaction with the strong line managers.

Bitterness 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 a blow to her spirits. Lewis might have been qualified as well as ideal for the job however the truth that Kransnow's separation would make Coles a direct record to Lewis may have been the factor for Coles' resignation from solutions.

Fear & Task Insecurity: Worry and insecurity can be determined as 2 significant concerns that Lewis would be taking care of especially as the merger has now be terminated as well as two elderly executives of the marketing department would certainly be leaving. The entire responsibility of the department would be dropping on Lewis's shoulders who would certainly not just supervise of brining regarding a social change however would also have to verify herself in her new duty.

Incompatible Monitoring Style of Leader: Lewis's monitoring style and its incompatibility with the advertising department's role can also be seen as an OB difficulty specifically as she has actually been utilized to taking care of problems in the procedures division where employees are shown to concentrate on processes as well as obtain them right. The advertising division on the other hand can be viewed as a team of individuals who are made use of to being nurtured by Krasnow who focused a lot more on output than procedures.

Interdepartmental Disagreements: Interdepartmental differences between three departments, advertising, merchandizing as well as operations respectively over the appropriation of the marketing mix can be determined as one more OB worry. The advertising and marketing department does not share the same vision as the various other two divisions concerning the aloocation of the marketing mix twoards promos as well as advertsing, the merchandizing and operations departments do not concur over the advertising and marketing mix appropriation among one another either.

Disintegration in Marketing Department: Disintegration in between the advertising and marketing divisions can be identified as another OB problem which could need further attention. The truth that the marketing and advertising sections in the advertising department are separated is protecting against both departments from getting from each other's experience and also experience. Combination of advertising with merchandising and operations would certainly become more difficult if the marketing department itself is broken down which can be another possible OB problem.

Verizon Communications Inc Implementing A Human Resources Balanced Scorecard Analysis

Numerous theories have actually been made use of to explain the circumstances to get more clearness regarding the scenario at hand.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, the majority of managers believe that staffs are easy as well as lazy, have little ambition as well as stand up to adjustment. The scenario at Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is not completely adhering to Theory X, it can be seen that new hires are finding this setting instead difficult which may eventually lead to a better disposition of the administration towards Theory X. Also while analyzing Lewis's monitoring style, theory X may have been suitable in the procedures department to some degree yet the Marketing department would call for reliance on Concept Y in order to obtain the creative thinking and creativity from the groups.

Tuckman's Teamwork Concept: As far as Lewis's worry concerning bringing harmony in between the marketing and advertising division is worried, this would initially lead to contrast as discussed by Bruce Tuckman in his 'Team effort Theory'. (Tuckman, 1965). Based on Tuckman's concept displayed in appendix 3, during the first phase of group development, individuals might not bond, as they are active locating their place in the group. By incorporating the advertising and marketing division's job, there might be the same initial detach which could lead to the 2nd stage of 'storming' where the groups test one another. It is only throughout the third phase or 'norming' when they would certainly come with each other to share concepts prior to the team can bring about synergy in the fourth stage 'carrying out'.

Bridges' Shift Model: According To William Bridge's theory (appendix 4), individuals are quite uncomfortable with change, which is apparent by the situation at Verizon Communications Inc Implementing A Human Resources Balanced Scorecard The circumstance can be seen as a regular course of life if is examined according to Bridge's concept where he discusses that individuals experience 3 stages of change when they experience adjustment. 'Ending, shedding and also Releasing', The Neutral Area and 'The New Starting' (Bridges, 2004). When people are presented with modification, they go into stage one and so there may be emotions like unhappiness, unpredictability, irritation, rage, worry, denial and disorientation.The situation at the advertising and marketing division of Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is comparable so Lewis can obtain comfy with the idea that it is not phenomenal habits. In the second stage, there might be a demand to bridge the void in between the brand-new and also old culture so Lewis might need to encounter this challenge when Krasnow leaves. There may be low morale and also low efficiency at this phase which must not be taken as a setback. It is during this stage that Lewis will need to provide support to the department so that they can locate an orientation. It can be seen how Krasnow has actually currently made this change less complicated by making Lewis obtain involved in the department a year before his real departure. Based on Bridges' Version, stage three will certainly cause visibility to learning, High energy and dedication as individuals will embrace the change (Bridges, 2004).
Vrio Analysis
Abraham Maslow in his Concept of 'Requirements Pecking order' (appendix 5) has talks about the significance of 'safety and security requires as being a lower degree demand of a human for triggering motivation. As seen in the pyramid shared in appendix 3, we can see exactly how 'the demand to feel safe and also out of danger' is at the second degree of needs. Before a worker can be made to develop mentally, he requires to have his 'Physical 'and 'Safety and security' requires met.

SWOT Analysis for Verizon Communications Inc Implementing A Human Resources Balanced Scorecard Case Study

Implication of Analysis.

The OB analysis has actually considered various concepts to understand just how to manage the present scenario handy. The complying with 3 choices have actually been recommended to assist Lewis handle the organizational challenges in the advertising division. Each of these options has actually been suggested for easing the change required to bring the advertising division in line with the requirements of the marketplace as well as for making the cultural modification that would certainly adhere to once the present leader leaves.

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

Examination of Alternatives.

Judith Shapiro who has earlier been spoken with by Lewis throughout the earlier merger days has proficiency in business-to-business advertising and marketing along with company as well as retail advertising experience. As soon as Krasnow leaves, Lewis can hire Shapiro as an EVP for marketing to deal with both marketing and marketing features.

The advantage of this method is that it will certainly integrate the two functions while lowering the requirement for working with an additional source for advertising. Lewis would certainly be heading the marketing division and also in any case her substitute would certainly be needed for the present role that she is doing. The drawback of this choice is that external hiring might bring about resentment from inner personnel that may be considering the position of EVP after Lewis takes control of Krasnow's setting.

Dividing Adverting and also Manufacturing: Offered the affordable stress as well as high top quality work called for from the advertising firm, it is suggested that Lewis needs to enable the production unit to be a separate feature from the marketing device. Because the majority of advertising and marketing agencies had these two features as separate systems, it makes even more feeling to comply with the standard.

Assimilation of Advertising And Marketing with Workflows: Considering that Lewis is already taking treatment of the marketing as well as procedures departments all at once; it makes feeling to incorporate the two functions since she has been successfully taking treatment of both ends. The reality that Lewis has to adapt her management style for the advertising and marketing department recommends that these two divisions would be culturally diverse.


An evaluation of the 3 options shows that assimilation of advertising and also operations would not be a practical move due to the substantial differences in between the 2 divisions in spite of the truth that currently Lewis is taking care of both. While separation of the manufacturing function may have been a favorable step for the advertising division, the reality that it would imply putting a third function under Lewis's wing implies this should be prevented.

Activity Strategy.
Lewis will take over the duty of EVP Advertising after Krasnow leaves.

Advertising and Marketing functions would be merged.

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

Manufacturing function will continue to be component of advertising under marketing function.

Lewis will certainly divide herself from procedures.

A democratic management design with staff member empowerment will be utilized in marketing division.

Open up door plan as well as emphasis on cross department interaction will certainly be focused on getting rid of dissonance.

Backup plan.

If the combination does not exercise as prepared, a contingency plan would adhere to which would certainly separate the production feature from the advertising and marketing feature to lower the tons on the SVP of marketing and advertising. In case Judith Shapiro does not obtain employed, Lewis will be heading the advertising and marketing division without an SVP. In that case the manufacturing function will certainly be divided by putting it under an SVP production.