Walking On A Tightrope Maintaining London As A Financial Center Case Study Analysis


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Walking On A Tightrope Maintaining London As A Financial Center Case Study Solution

Background and Facts

Walking On A Tightrope Maintaining London As A Financial Center an office materials seller for tiny and average sized services has actually lately been involved in preparing for a merger with its rival Home Deport, which has impacted efficiency levels in departmentswith the elderly manager involved in legal issues put forth by the government Profession Commission. With the Marketing Head advancing 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 adjustment as well as low staff member morale, the organization is in need of a total reengineering effort at the marketing division.

Problem Declaration
Porter's 5 Forces Analysis
The possible cultural adjustment at the advertising department of Walking On A Tightrope Maintaining London As A Financial Center is increasing unpredictability in the workplace bring about numerous challenges for the Jeannie Lewis who would be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant duty in impacting critical decisions since Stapes Inc. had to desert its plans of merging with Office Deport after the Federal Profession Compensation's treatment at the same time. Offered the fact that the shop has a worldwide existence with branches in UK, USA, Canada as well as Germany, political consider each of these countries might be able to impact performance or calculated goals. Federal Profession Compensation's antitrust fit versus the merger occupied valuable time of the company's elderly monitoring suggesting that 'political' factors can have major ramifications for an international organisation.

Economic Factors: Economic factors such as the emergence of small businesses in the international circumstance recommend that Walking On A Tightrope Maintaining London As A Financial Center is flourishing in an environment where there is possible growth of businesses. In addition to this, reality that store clients are mainly looking for office materials for office suggests that the market has a climbing pattern of business owners as well as online services.

Social factors: Social fads in the economic climate show that clients are trying to find benefit in addition to eye-catching prices. Marketing research shows how the client for Walking On A Tightrope Maintaining London As A Financial Center does not have understanding concerning finding remedies which can use a mix of benefit as well as affordable.

Technological factors: Technology plays a vital role in Walking On A Tightrope Maintaining London As A Financial Center's business technique particularly as the organization is piloting Innovation facilities which would provide modern technology sales and assistance in the form of memory upgrades, outer setups. (Recap of PEST in appendix 2).

OB Issues as well as Symptoms.

Several underlying Organizational Habits issues can be seen in Walking On A Tightrope Maintaining London As A Financial Center's case as highlighted in this area.

Worries regarding cultural change: There is uneasiness concerning a social change that would certainly happen once Todd Krasnow leaves from his placement as the Executive Vice Head Of State of Advertising And Marketing with a lot of the employee currently revealing unhappiness over this prospective step. This expected change has produced anxiety in the workplace which has actually been paired with the previous stress of preparing the firm for a potential merging with Home Deport.
Pest Analysis
Difficult Work Environment for Newcomers: There is scarcity of workers that can match the demanding atmosphere of a fast-paced company. Not just does this bring about trouble in locating the appropriate people, it places stress on brand-new hires as can not endure the rate as well as stress that the organization expects them to bear.

Twin Coverage Lines: Newcomers locate this organizational culture difficult and hard to handle especially as populated line relationships are suggested to be weaker generally and unbiased setup and also efficiency analysis is still done by the strong line supervisor. This suggests that novices might lose quality concerning their corresponding functions and also objectives specifically as dotted line reporting does not maintain them in direct interaction with the strong line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor instead of Bridget Coles even though it had actually been speculated that the last would take Krasnow's setting came as a blow to her morale. Lewis may have been qualified and also appropriate for the job yet the fact that Kransnow's separation would certainly make Coles a direct report to Lewis may have been the reason for Coles' resignation from solutions.

Anxiety & Task Instability: Concern as well as insecurity can be determined as 2 significant worries that Lewis would be managing specifically as the merging has now be terminated as well as 2 elderly executives of the advertising and marketing department would certainly be leaving. The whole duty of the department would be falling on Lewis's shoulders who would not simply be in charge of brining concerning a social modification however would likewise have to confirm herself in her new function.

Inappropriate Management Design of Leader: Lewis's administration design and also its incompatibility with the marketing division's duty can likewise be seen as an OB challenge particularly as she has actually been used to managing problems in the operations division where personnel are educated to concentrate on procedures as well as obtain them. The advertising and marketing department on the other hand can be viewed as a group of individuals who are used to being supported by Krasnow that focused a lot more on result than processes.

Interdepartmental Disputes: Interdepartmental arguments between 3 divisions, advertising and marketing, merchandizing and procedures specifically over the allocation of the advertising and marketing mix can be determined as another OB worry. The advertising department does not share the exact same vision as the other two divisions regarding the aloocation of the advertising mix twoards promos and also advertsing, the merchandizing and also procedures departments do not agree over the advertising mix appropriation amongst one another either.

Disintegration in Marketing Division: Fragmentation between the advertising and marketing departments can be determined as another OB problem which can require further interest. The fact that the marketing and advertising areas in the advertising division are separated is stopping both divisions from acquiring from each other's experience and also experience. Assimilation of advertising and marketing with merchandising and operations would certainly end up being harder if the advertising department itself is degenerated which can be another possible OB problem.

Walking On A Tightrope Maintaining London As A Financial Center Analysis

Different concepts have actually been utilized to describe the conditions to obtain further quality about the situation at hand.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, a lot of managers believe that juniors are easy as well as careless, have little ambition and withstand modification. The situation at Walking On A Tightrope Maintaining London As A Financial Center is not completely following Theory X, it can be seen that brand-new hires are discovering this atmosphere rather demanding which may eventually lead to a higher disposition of the monitoring towards Concept X. Even while evaluating Lewis's management design, theory X may have been suitable in the operations division to some degree yet the Advertising and marketing division would certainly call for dependence on Theory Y in order to get the creativity and creativity from the groups.

Tuckman's Teamwork Concept: As for Lewis's issue concerning bringing consistency between the marketing and advertising division is concerned, this would originally bring about contrast as reviewed by Bruce Tuckman in his 'Team effort Theory'. (Tuckman, 1965). As per Tuckman's concept received appendix 3, throughout the first phase of team advancement, people may not bond, as they are active finding their area in the group. By incorporating the marketing and advertising department's work, there may coincide preliminary separate which might cause the 2nd phase of 'storming' where the teams test one another. It is only during the third stage or 'norming' when they would certainly come with each other to share suggestions prior to the team can bring about harmony in the fourth stage 'doing'.

Bridges' Transition Design: According To William Bridge's concept (appendix 4), people are fairly awkward with change, which is noticeable by the circumstance at Walking On A Tightrope Maintaining London As A Financial Center The scenario can be viewed as a normal program of life if is examined based on Bridge's concept where he explains that people undergo three stages of shift when they experience adjustment. 'End, shedding and also Letting go', The Neutral Zone and also 'The New Beginning' (Bridges, 2004). When people exist with change, they go into phase one therefore there may be feelings like unhappiness, unpredictability, aggravation, anger, concern, rejection and disorientation.The situation at the advertising and marketing department of Walking On A Tightrope Maintaining London As A Financial Center is comparable so Lewis can get comfortable with the idea that it is not amazing behavior. In the 2nd stage, there might be a need to bridge the gap between the new and also old culture so Lewis may need to face this ordeal once Krasnow leaves. There may be low spirits as well as low efficiency at this stage which should not be taken as a trouble. It is throughout this stage that Lewis will certainly need to provide assistance to the department to ensure that they can discover a sense of direction. It can be seen how Krasnow has actually already made this shift less complicated by making Lewis get involved in the division a year before his real departure. Based on Bridges' Design, stage 3 will produce openness to knowing, High energy and commitment as individuals will accept the adjustment (Bridges, 2004).
Vrio Analysis
Maslow's Requirement hierarchy: The OB concern pertaining to instability at the workplace has actually been triggered firstly by the modification in administration and also secondly by the truth that the merger will no longer be initiated. Abraham Maslow in his Concept of 'Requirements Hierarchy' (appendix 5) has reviews the relevance of 'security requires as being a reduced degree requirement of a human for setting off motivation. As seen in the pyramid shared in appendix 3, we can see just how 'the demand to really feel safe and safe' is at the second degree of demands. Prior to an employee can be made to create emotionally, he requires to have his 'Physiological 'and also 'Safety and security' needs fulfilled. This suggests that unless the workers are made to really feel safe and secure concerning their current employment condition in Walking On A Tightrope Maintaining London As A Financial Center they may not reach 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Walking On A Tightrope Maintaining London As A Financial Center Case Study

Effects of Analysis.

The OB analysis has looked at various concepts to comprehend exactly how to handle the present situation handy. The adhering to three options have been suggested to aid Lewis deal with the business challenges in the advertising division. Each of these options has actually been suggested for reducing the transition needed to bring the advertising and marketing division in line with the demands of the market as well as for making the social adjustment that would follow as soon as the current leader leaves.

Integration of marketing and advertising functions. Dividing Adverting and also Production functions. Assimilation of Advertising And Marketing with Operations.

Assessment of Alternatives.

Judith Shapiro who has actually earlier been interviewed by Lewis during the earlier merging days has knowledge in business-to-business advertising and marketing along with firm and also retail advertising and marketing experience. When Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising to take care of both advertising and marketing and also advertising features.

The advantage of this approach is that it will certainly integrate both features while reducing the demand for working with an added resource for advertising and marketing. Lewis would certainly be heading the advertising and marketing department and also in any case her substitute would certainly be required for the current duty that she is carrying out. The downside of this choice is that exterior hiring might produce animosity from interior employees that might be considering the setting of EVP after Lewis takes over Krasnow's setting.

Separating Adverting and also Production: Offered the affordable stress as well as high quality work needed from the marketing firm, it is advised that Lewis should permit the production unit to be a separate feature from the advertising and marketing system. Since the majority of advertising and marketing firms had these 2 functions as separate systems, it makes more feeling to adhere to the norm.

Integration of Advertising And Marketing with Workflows: Given that Lewis is already taking care of the marketing and operations divisions at the same time; it makes good sense to integrate the two features considering that she has actually been effectively caring for both ends. The fact that both departments currently have significant distinctions over allowance of sources recommends that this combination might have the ability to produce consistency specifically as Lewis would be heading both ends.However there are various disadvantages of this move particularly as it would certainly place way too much concern over Lewis's shoulders. The truth that Lewis has to adapt her administration style for the marketing department recommends that these two departments would certainly be culturally diverse. In addition to this, Lewis might not be able to apply one kind of leadership style to both departments which might result in inadequacy in either among both functions.


An analysis of the 3 choices shows that integration of advertising and marketing as well as procedures would not be a practical move because of the huge differences between the two divisions despite the fact that presently Lewis is dealing with both. While separation of the manufacturing feature may have been a positive action for the advertising division, the truth that it would certainly indicate placing a third feature under Lewis's wing indicates this ought to be stayed clear of too. The integration of the marketing department is the best choice in regards to obtaining the optimum arise from the division. An action plan for this alternative is gone over listed below.

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

Advertising and Marketing functions would be merged.

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

Production function will remain part of advertising and marketing under advertising function.

Lewis will certainly divide herself from procedures.

A democratic leadership style with staff member empowerment will certainly be utilized in advertising division.

Open door plan and also focus on cross department interaction will certainly be aimed at eliminating dissonance.

Contingency plan.

If the assimilation does not work out as prepared, a contingency strategy would adhere to which would certainly divide the manufacturing function from the advertising feature to decrease the load on the SVP of advertising and marketing. In case Judith Shapiro does not get employed, Lewis will be heading the advertising and marketing department without an SVP. In that case the manufacturing feature will definitely be divided by positioning it under an SVP manufacturing.