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Why I Use The Case Method To Teach Accounting Case Study Solution

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Why I Use The Case Method To Teach Accounting Case Study Solution

Background and Facts

Why I Use The Case Method To Teach Accounting an office supplies retailer for tiny and also medium sized companies has lately been involved in planning for a merging with its rival House Deport, which has affected efficiency levels in departmentswith the senior supervisor associated with lawful complications put forth by the federal Profession Commission. With the Marketing Head advancing the news of his separation from the firm in one year, Jeannie Lewis, the present head of operations has actually been asked to take the role in the future. With obstacles in the form of a potential cultural adjustment as well as reduced employee morale, the company is in need of a complete reengineering effort at the advertising department.

Issue Statement

The prospective social modification at the advertising department of Why I Use The Case Method To Teach Accounting is boosting unpredictability in the workplace causing different difficulties for the Jeannie Lewis who would certainly be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant role in affecting calculated decisions given that Stapes Inc. had to abandon its strategies of merging with Office Deport after the Federal Profession Compensation's treatment while doing so. Offered the truth that the shop has an international presence with branches in UK, USA, Canada and also Germany, political consider each of these countries might be able to affect performance or tactical objectives. Federal Trade Compensation's antitrust fit against the merging occupied useful time of the company's senior administration suggesting that 'political' factors can have major effects for a global business.

Economic Factors: Financial factors such as the emergence of small businesses in the international circumstance suggest that Why I Use The Case Method To Teach Accounting is thriving in a setting where there is possible growth of companies. Truth that shop consumers are primarily looking for workplace products for home workplaces recommends that the market has an increasing trend of business owners and also residence based companies.

Social factors: Social trends in the economy reveal that customers are searching for comfort in addition to attractive costs. Market research shows how the consumer for Why I Use The Case Method To Teach Accounting lacks recognition regarding locating options which can provide a combination of comfort and also low costs.

Technical factors: Modern technology plays a crucial function in Why I Use The Case Method To Teach Accounting's service strategy specifically as the company is piloting Innovation centers which would certainly supply modern technology sales and also support in the kind of memory upgrades, peripheral setups. (Summary of PEST in appendix 2).

OB Issues and Manifestations.

Several underlying Organizational Habits concerns can be seen in Why I Use The Case Method To Teach Accounting's case as highlighted in this area.

Worries regarding cultural change: There is apprehension regarding a cultural modification that would certainly happen when Todd Krasnow leaves from his position as the Exec Vice Head Of State of Marketing with most of the employee already revealing discontent over this possible step. This expected change has actually developed stress in the workplace which has been combined with the past tension of preparing the firm for a potential merging with Home Deport.

Difficult Job Setting for Newcomers: There is scarcity of personnel that can match the stressful environment of a fast-paced company. Not just does this lead to difficulty in finding the right individuals, it puts tension on new hires as can not hold up against the speed as well as pressure that the company expects them to bear.

Double Coverage Lines: Beginners locate this organizational society difficult as well as hard to manage specifically as populated line connections are indicated to be weaker generally as well as objective setup and efficiency analysis is still done by the strong line supervisor. This suggests that beginners could lose quality about their respective functions and goals especially as populated line coverage does not maintain them in direct communication with the strong line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor as opposed to Bridget Coles despite the fact that it had actually been hypothesized that the latter would certainly take Krasnow's position came as a strike to her spirits. Lewis may have been qualified and also suitable for the work however the reality that Kransnow's separation would make Coles a direct report to Lewis may have been the reason for Coles' resignation from solutions.

Concern & Work Insecurity: Fear as well as instability can be identified as 2 major problems that Lewis would certainly be taking care of especially as the merger has actually now be cancelled and also 2 elderly executives of the advertising division would be leaving. The whole responsibility of the division would be dropping on Lewis's shoulders who would not just be in charge of brining concerning a cultural change but would likewise need to prove herself in her brand-new duty.

Inappropriate Administration Style of Leader: Lewis's management design and also its conflict with the advertising department's role can likewise be seen as an OB obstacle particularly as she has been made use of to taking care of issues in the operations department where personnel are educated to focus on procedures as well as obtain them. The marketing division on the other hand can be seen as a team of individuals that are made use of to being supported by Krasnow who concentrated much more on outcome than procedures.

Interdepartmental Disagreements: Interdepartmental arguments in between 3 divisions, advertising, merchandizing and operations specifically over the allotment of the advertising and marketing mix can be recognized as an additional OB worry. Although the advertising department does not share the exact same vision as the various other 2 departments pertaining to the aloocation of the marketing mix twoards promotions and advertsing, the merchandizing and also operations departments do not agree over the advertising and marketing mix allocation among each other either.

Disintegration in Marketing Division: Fragmentation in between the advertising and marketing departments can be determined as another OB problem which might need additional focus. The fact that the marketing and advertising sections in the marketing department are detached is protecting against both divisions from acquiring from each other's experience and also proficiency. Integration of marketing with retailing as well as operations would certainly become more difficult if the advertising division itself is disintegrated which can be an additional potential OB issue.

Why I Use The Case Method To Teach Accounting Analysis

Different concepts have actually been made use of to describe the scenarios to obtain further clearness regarding the circumstance available.

McGregor's Concept X & Y: According to Douglas McGregor's Concept X, most supervisors think that juniors are easy and lazy, have little aspiration as well as withstand change. The circumstance at Why I Use The Case Method To Teach Accounting is not completely complying with Concept X, it can be seen that brand-new hires are discovering this environment instead difficult which may at some point lead to a better inclination of the management in the direction of Theory X. Even while analyzing Lewis's monitoring design, theory X might have been ideal in the procedures division to some degree but the Advertising and marketing division would certainly need dependence on Theory Y in order to obtain the creative thinking as well as originality from the teams.

Tuckman's Team effort Concept: As for Lewis's problem about bringing harmony between the marketing and advertising department is concerned, this would at first lead to conflict as gone over by Bruce Tuckman in his 'Teamwork Theory'. (Tuckman, 1965). According to Tuckman's concept shown in appendix 3, during the initial stage of team growth, people might not bond, as they are hectic finding their place in the group. By incorporating the advertising and marketing division's work, there might coincide initial detach which can bring about the second stage of 'storming' where the teams challenge one another. It is just during the 3rd phase or 'norming' when they would certainly come with each other to share suggestions before the team can bring about harmony in the 4th stage 'executing'.

When people are provided with modification, they enter phase one and also so there might be feelings like sadness, unpredictability, aggravation, temper, fear, rejection and also disorientation.The situation at the advertising and marketing division of Why I Use The Case Method To Teach Accounting is similar so Lewis can obtain comfy with the suggestion that it is not amazing habits. It is throughout this phase that Lewis will certainly have to give assistance to the department so that they can find a sense of instructions. It can be seen how Krasnow has currently made this transition much easier by making Lewis get entailed in the department a year before his real separation.

Maslow's Demand pecking order: The OB concern pertaining to instability at the office has been set off to start with by the modification in monitoring and secondly by the truth that the merger will certainly no more be initiated. Abraham Maslow in his Theory of 'Demands Pecking order' (appendix 5) has goes over the relevance of 'protection requires as being a lower degree need of a human for setting off inspiration. As seen in the pyramid cooperated appendix 3, we can see how 'the demand to feel secure as well as out of danger' is at the second level of demands. Before a worker can be made to develop emotionally, he requires to have his 'Physical 'as well as 'Safety' requires satisfied. This indicates that unless the employees are made to feel safe and secure concerning their present employment condition in Why I Use The Case Method To Teach Accounting they may not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Why I Use The Case Method To Teach Accounting Case Study



Implication of Analysis.

The OB analysis has actually checked out various concepts to comprehend exactly how to manage the existing scenario handy. The following three options have been suggested to aid Lewis take care of the organizational difficulties in the advertising department. Each of these choices has actually been recommended for relieving the shift needed to bring the advertising and marketing division in accordance with the needs of the market and for making the social modification that would comply with when the existing leader leaves.

Combination of advertising and marketing functions. Separating Adverting and also Manufacturing functions. Assimilation of Marketing with Procedures.

Assessment of Alternatives.

Assimilation of Advertising & Advertising And Marketing Functions: The in-house advertising and marketing agency of Why I Use The Case Method To Teach Accounting is currently toughness for the organization in terms of conserving up on overheads related to marketing and promotion. Since no brand-new recruitment has been done after Bridget Cole's separation with the coverage line being directly designated to Krasnow for the advertising and marketing function, this is a positive opportunity for integrating the advertising and marketing functions. Judith Shapiro who has earlier been interviewed by Lewis throughout the earlier merger days has know-how in business-to-business advertising together with firm as well as retail marketing experience. When Krasnow leaves, Lewis can employ Shapiro as an EVP for advertising and marketing to manage both advertising and marketing features.

The advantage of this strategy is that it will incorporate both functions while minimizing the requirement for hiring an extra resource for advertising and marketing. In addition to this, Lewis would certainly be heading the advertising division and in any case her substitute would certainly be required for the current duty that she is doing. The drawback of this option is that external hiring might cause animosity from inner employees who might be eying the position of EVP after Lewis takes over Krasnow's placement.

Separating Adverting and also Production: Provided the affordable stress as well as top quality work needed from the advertising agency, it is recommended that Lewis ought to enable the production unit to be a different function from the marketing device. Considering that a lot of ad agency had these two functions as different devices, it makes more feeling to comply with the standard. Both functions may be able to concentrate on their core triggers extra successfully. However, the drawback of this method would be that added costs would have to be borne for establishing separate production functions. A manufacturing head might have to be worked with which can boost overheads for the organization.

Combination of Marketing with Procedures: Given that Lewis is already dealing with the advertising as well as operations divisions at the same time; it makes good sense to incorporate both functions since she has been effectively taking care of both ends. The fact that the two divisions already have major differences over appropriation of sources suggests that this integration may be able to cause consistency especially as Lewis would be heading both ends.However there are different downsides of this relocation specifically as it would certainly put too much burden over Lewis's shoulders. The reality that Lewis has to adjust her monitoring style for the advertising department recommends that these two divisions would be culturally varied. Lewis might not be able to apply one kind of leadership design to both divisions which might result in inadequacy in either one of the 2 functions.

Recommendation.



An assessment of the 3 options suggests that integration of marketing and also operations would not be a feasible action due to the vast differences between the 2 divisions in spite of the reality that presently Lewis is dealing with both. While splitting up of the manufacturing feature might have been a beneficial relocation for the marketing department, the truth that it would certainly mean putting a 3rd feature under Lewis's wing indicates this must be avoided.

Activity Plan.

Lewis will take over the function of EVP Advertising and marketing after Krasnow leaves.

Advertising and Marketing features would certainly be merged.

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

Production feature will stay part of advertising and marketing under marketing feature.

Lewis will divide herself from operations.

An autonomous management style with employee empowerment will certainly be used in advertising division.

Open up door plan as well as emphasis on cross departmental communication will certainly be targeted at eliminating discord.

Backup strategy.

If the assimilation does not exercise as planned, a backup plan would comply with which would separate the manufacturing function from the advertising function to lower the load on the SVP of advertising and marketing. In case Judith Shapiro does not get hired, Lewis will certainly be heading the marketing division without an SVP. In that case the manufacturing function will absolutely be separated by putting it under an SVP manufacturing.