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


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

Background and Facts

Verizon Communications Inc Implementing A Human Resources Balanced Scorecard a workplace products seller for tiny and also moderate sized services has actually lately been associated with planning for a merger with its competitor House Deport, which has impacted performance levels in departmentswith the senior supervisor associated with legal difficulties presented by the government Trade Payment. With the Advertising Head advancing the news of his departure from the company in one year, Jeannie Lewis, the current head of procedures has been asked to take the function in the future. With challenges in the kind of a prospective social adjustment and also low worker morale, the organization is in need of a total reengineering initiative at the advertising and marketing department.

Problem Declaration
Porter's 5 Forces Analysis
The potential social modification at the advertising and marketing department of Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is enhancing uncertainty in the workplace causing different difficulties for the Jeannie Lewis that would certainly be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major function in affecting critical decisions considering that Stapes Inc. needed to abandon its strategies of combining with Workplace Deport after the Federal Trade Commission's intervention while doing so. Offered the truth that the shop has a worldwide visibility with branches in UK, U.S.A., Canada as well as Germany, political factors in each of these countries might be able to affect performance or tactical objectives. Federal Profession Compensation's antitrust suit against the merging occupied valuable time of the organization's senior management suggesting that 'political' factors can have severe effects for a worldwide service.

Economic Factors: Financial factors such as the emergence of small businesses in the international situation suggest that Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is growing in an environment where there is possible development of companies. Reality that store customers are primarily looking for workplace materials for residence workplaces recommends that the market has a rising trend of entrepreneurs and house based services.

Social factors: Social fads in the economic climate reveal that clients are looking for ease along with appealing rates. Market research demonstrates how the consumer for Verizon Communications Inc Implementing A Human Resources Balanced Scorecard lacks awareness concerning discovering solutions which can use a mix of convenience and inexpensive.

Technical factors: Modern technology plays an important function in Verizon Communications Inc Implementing A Human Resources Balanced Scorecard's business method particularly as the company is piloting Technology facilities which would provide innovation sales and support in the type of memory upgrades, peripheral installations. (Summary of PARASITE in appendix 2).

OB Issues as well as Manifestations.

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

Concerns concerning cultural adjustment: There is concern about a cultural adjustment that would occur once Todd Krasnow leaves from his position as the Exec Vice President of Marketing with a lot of the personnel already revealing unhappiness over this possible relocation. This anticipated adjustment has created stress in the office which has actually been paired with the past stress and anxiety of preparing the firm for a potential merger with Residence Deport.
Pest Analysis
Difficult Work Atmosphere for Newcomers: There is scarcity of personnel that can match the stressful environment of a busy organization. Not only does this cause trouble in finding the ideal people, it places stress and anxiety on new hires as can not hold up against the rate as well as pressure that the company expects them to birth.

Double Reporting Lines: Novices find this organizational society troublesome as well as challenging to manage especially as populated line relationships are implied to be weak generally as well as unbiased setup and also efficiency examination is still done by the strong line manager. This suggests that newcomers can shed clearness about their corresponding functions and also objectives particularly as populated line reporting does not maintain them in direct communication with the solid line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor as opposed to Bridget Coles despite the fact that it had been speculated that the latter would take Krasnow's position came as a blow to her spirits. Lewis may have been qualified as well as appropriate for the task however the fact that Kransnow's departure would make Coles a straight report to Lewis may have been the factor for Coles' resignation from solutions.

Anxiety & Work Insecurity: Fear as well as instability can be recognized as two significant issues that Lewis would certainly be managing particularly as the merging has currently be terminated and also 2 senior executives of the advertising and marketing department would certainly be leaving. The whole obligation of the department would certainly be dropping on Lewis's shoulders that would certainly not just supervise of brining regarding a social modification yet would certainly likewise have to confirm herself in her new duty.

Incompatible Monitoring Style of Leader: Lewis's monitoring design and its incompatibility with the marketing department's function can also be viewed as an OB difficulty specifically as she has actually been utilized to managing problems in the procedures department where workers are educated to concentrate on processes as well as get them right. The advertising and marketing division on the various other hand can be seen as a group of people who are used to being nurtured by Krasnow that focused more on result than procedures.

Interdepartmental Disputes: Interdepartmental differences between 3 departments, marketing, merchandizing and procedures respectively over the allocation of the advertising mix can be identified as an additional OB worry. The marketing division does not share the very same vision as the other two departments relating to the aloocation of the advertising mix twoards promos as well as advertsing, the merchandizing and procedures departments do not agree over the advertising mix appropriation among one another either.

Disintegration in Advertising And Marketing Division: Fragmentation in between the marketing and advertising departments can be identified as another OB issue which might require more interest. The fact that the advertising and marketing areas in the advertising and marketing division are disconnected is preventing both divisions from acquiring from each various other's experience as well as expertise. Integration of advertising with retailing as well as operations would certainly come to be harder if the advertising division itself is disintegrated which can be an additional potential OB concern.

Verizon Communications Inc Implementing A Human Resources Balanced Scorecard Analysis

Various concepts have been made use of to discuss the situations to get additional clarity regarding the situation handy.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Concept X, the majority of managers think that subordinates are passive and careless, have little aspiration and also stand up to change. The circumstance at Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is not totally following Theory X, it can be seen that brand-new hires are locating this setting instead stressful which may ultimately lead to a better inclination of the management in the direction of Concept X. Also while examining Lewis's monitoring design, concept X may have been appropriate in the procedures division to some degree yet the Marketing department would require reliance on Concept Y in order to get the creative thinking as well as creativity from the groups.

Tuckman's Team effort Theory: As for Lewis's issue concerning bringing consistency in between the advertising and marketing division is worried, this would initially result in contrast as reviewed by Bruce Tuckman in his 'Team effort Theory'. (Tuckman, 1965). According to Tuckman's concept displayed in appendix 3, throughout the initial phase of group advancement, individuals may not bond, as they are busy discovering their location in the group. By combining the advertising and marketing division's job, there might coincide preliminary separate which might result in the second phase of 'storming' where the groups challenge each other. It is just during the 3rd stage or 'norming' when they would certainly come together to share ideas prior to the team can bring around harmony in the fourth phase 'carrying out'.

When individuals are provided with adjustment, they go into stage one and also so there may be emotions like sadness, uncertainty, disappointment, temper, fear, denial as well as disorientation.The scenario at the advertising and marketing division of Verizon Communications Inc Implementing A Human Resources Balanced Scorecard is similar so Lewis can obtain comfy with the concept that it is not phenomenal behavior. It is during this phase that Lewis will have to provide assistance to the division so that they can discover a feeling of instructions. It can be seen exactly how Krasnow has already made this transition easier by making Lewis get involved in the department a year prior to his actual departure.
Vrio Analysis
Maslow's Need power structure: The OB problem pertaining to insecurity at the office has actually been caused to start with by the modification in management and second of all by the fact that the merger will certainly no more be started. Abraham Maslow in his Concept of 'Requirements Pecking order' (appendix 5) has reviews the significance of 'protection requires as being a reduced level need of a human for activating motivation. As seen in the pyramid cooperated appendix 3, we can see exactly how 'the requirement to feel secure as well as safe' goes to the 2nd degree of needs. Before an employee can be made to develop emotionally, he needs to have his 'Physical 'as well as 'Security' needs fulfilled. This suggests that unless the personnel are made to really feel secure concerning their present employment condition in Verizon Communications Inc Implementing A Human Resources Balanced Scorecard they may not reach 'Self-Fulfillment'. (King, 2009).

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

Implication of Analysis.

The OB analysis has checked out various theories to recognize how to handle the present circumstance handy. The adhering to 3 alternatives have actually been recommended to aid Lewis deal with the business challenges in the marketing division. Each of these choices has been recommended for reducing the shift needed to bring the marketing division in accordance with the requirements of the marketplace and also for making the cultural modification that would certainly adhere to when the present leader leaves.

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

Evaluation of Alternatives.

Judith Shapiro that has actually earlier been interviewed by Lewis throughout the earlier merging days has knowledge in business-to-business marketing along with agency and retail advertising experience. Once Krasnow leaves, Lewis can employ Shapiro as an EVP for marketing to handle both marketing as well as marketing features.

The benefit of this method is that it will certainly integrate both features while lowering the demand for hiring an added source for advertising. Along with this, Lewis would certainly be heading the advertising and marketing department and all the same her replacement would certainly be required for the current duty that she is doing. The disadvantage of this option is that external hiring may produce animosity from interior personnel who may be eying the setting of EVP after Lewis takes over Krasnow's position.

Separating Adverting and Manufacturing: Offered the competitive stress and also top quality job needed from the ad agency, it is advised that Lewis should allow the manufacturing system to be a different feature from the advertising system. Because a lot of advertising agencies had these 2 features as separate units, it makes more sense to adhere to the norm. Both functions may be able to concentrate on their core activates a lot more successfully. The drawback of this strategy would certainly be that extra expenses would have to be borne for setting up separate manufacturing features. A manufacturing head may have to be hired which can raise expenses for the company.

Integration of Advertising And Marketing with Workflows: Considering that Lewis is already taking treatment of the advertising and marketing and also operations departments simultaneously; it makes feeling to incorporate the two features considering that she has been effectively taking treatment of both ends. The truth that Lewis has to adjust her management design for the marketing department recommends that these 2 divisions would be culturally diverse.


An analysis of the 3 options suggests that integration of marketing and also operations would certainly not be a possible relocation due to the large differences between the two divisions in spite of the fact that currently Lewis is managing both. While separation of the manufacturing function may have been a favorable move for the advertising department, the reality that it would certainly suggest putting a third function under Lewis's wing implies this ought to be avoided.

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

Marketing and advertising functions would be combined.

Judith Shapiro will certainly be worked with to take Lewis's location as SVP of marketing and advertising.

Production function will certainly continue to be part of marketing under advertising and marketing feature.

Lewis will separate herself from operations.

A democratic leadership design with staff member empowerment will be utilized in marketing department.

Open door policy and focus on cross departmental interaction will certainly be aimed at removing disharmony.

Backup strategy.

If the integration does not work out as planned, a backup plan would comply with which would certainly separate the production feature from the marketing feature to decrease the tons on the SVP of marketing and advertising. In case Judith Shapiro does not obtain employed, Lewis will certainly be heading the advertising and marketing department without an SVP. Because case the manufacturing function will most definitely be divided by positioning it under an SVP manufacturing.