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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 services has actually lately been associated with planning for a merging with its rival Home Deport, which has impacted effectiveness levels in departmentswith the elderly manager associated with legal problems presented by the federal Profession Compensation. With the Marketing Head putting forward the news of his departure from the firm in one year, Jeannie Lewis, the current head of operations has been asked to take the role in the future. With obstacles in the form of a potential cultural change and low worker spirits, the company wants a total reengineering initiative at the advertising and marketing division.

Trouble Declaration
Porter's 5 Forces Analysis
The prospective cultural adjustment at the advertising and marketing division of Why I Use The Case Method To Teach Accounting is boosting unpredictability in the working environment leading to different challenges 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 duty in influencing tactical choices given that Stapes Inc. had to abandon its strategies of combining with Office Deport after the Federal Trade Payment's intervention at the same time. Offered the fact that the shop has a worldwide visibility with branches in UK, U.S.A., Canada and Germany, political consider each of these countries might have the ability to impact efficiency or strategic goals. Federal Trade Compensation's antitrust match against the merging took up useful time of the organization's senior monitoring suggesting that 'political' factors can have significant ramifications for a global service.

Economic Factors: Financial factors such as the development of local business in the international situation recommend that Why I Use The Case Method To Teach Accounting is prospering in an atmosphere where there is potential development of companies. In addition to this, truth that store clients are primarily looking for workplace products for office recommends that the market has a rising trend of entrepreneurs as well as online services.

Social factors: Social patterns in the economic situation reveal that consumers are trying to find comfort along with attractive prices. Marketing research demonstrates how the client for Why I Use The Case Method To Teach Accounting does not have recognition regarding locating options which can offer a mix of convenience and also low costs.

Technical factors: Technology plays an essential role in Why I Use The Case Method To Teach Accounting's business technique specifically as the company is piloting Technology centers which would offer modern technology sales as well as assistance in the kind of memory upgrades, outer installments. (Summary of INSECT in appendix 2).

OB Issues and also Symptoms.

A number of underlying Business Behavior concerns can be seen in Why I Use The Case Method To Teach Accounting's case as highlighted in this section.

Apprehensions regarding social adjustment: There is uneasiness concerning a social modification that would certainly take place once Todd Krasnow leaves from his setting as the Executive Vice President of Advertising And Marketing with a lot of the staff members currently revealing unhappiness over this prospective action. This predicted adjustment has created stress in the office which has been coupled with the previous tension of preparing the firm for a possible merging with House Deport.
Pest Analysis
Stressful Task Environment for Newcomers: There is lack of workers that can match the difficult environment of a fast-paced company. Not just does this result in problem in discovering the ideal people, it places stress on brand-new hires as can not hold up against the speed as well as stress that the company anticipates them to bear.

Dual Coverage Lines: Beginners find this organizational society difficult and also tough to manage especially as dotted line partnerships are meant to be weaker as a whole as well as unbiased setup as well as efficiency examination is still done by the solid line supervisor. This indicates that novices could shed clearness concerning their corresponding roles and also objectives particularly as dotted line coverage does not keep them in direct communication with the strong line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor rather than Bridget Coles even though it had actually been hypothesized that the latter would certainly take Krasnow's placement came as a strike to her morale. Lewis may have been qualified and also proper for the task however the fact that Kransnow's separation would make Coles a straight report to Lewis may have been the factor for Coles' resignation from solutions.

Worry & Job Insecurity: Worry as well as insecurity can be recognized as 2 significant worries that Lewis would be managing particularly as the merger has now be cancelled and two elderly execs of the advertising and marketing department would certainly be leaving. The entire obligation of the department would be dropping on Lewis's shoulders that would not simply supervise of brining concerning a social modification but would certainly likewise need to prove herself in her brand-new duty.

Inappropriate Management Design of Leader: Lewis's administration design and also its conflict with the advertising and marketing department's function can additionally be viewed as an OB challenge especially as she has been utilized to taking care of issues in the procedures department where workers are shown to concentrate on processes and get them right. The advertising department on the various other hand can be seen as a group of individuals that are made use of to being supported by Krasnow who focused more on outcome than processes.

Interdepartmental Disagreements: Interdepartmental disagreements between 3 departments, advertising, merchandizing as well as procedures respectively over the appropriation of the advertising mix can be recognized as an additional OB concern. The advertising department does not share the same vision as the various other 2 divisions relating to the aloocation of the marketing mix twoards promotions and also advertsing, the merchandizing as well as procedures departments do not concur over the marketing mix allocation amongst one an additional either.

Disintegration in Advertising And Marketing Division: Fragmentation between the advertising and marketing departments can be identified as one more OB problem which might need more interest. The truth that the advertising and marketing sections in the advertising and marketing division are disconnected is avoiding both departments from gaining from each other's experience and competence. Integration of marketing with retailing and procedures would come to be harder if the advertising and marketing division itself is disintegrated which can be another potential OB problem.

Why I Use The Case Method To Teach Accounting Analysis

Different theories have actually been made use of to clarify the situations to obtain more clarity regarding the situation handy.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, most managers believe that staffs are passive as well as lazy, have little passion and stand up to change. The hard variation of this theory highlighted threat, tight controls, risks as well as punishments. Gradually it generates reduced efficiency, subtle sabotage as well as rivalry (Bargain, 2003). Although the situation at Why I Use The Case Method To Teach Accounting is not completely adhering to Theory X, it can be seen that new hires are locating this setting instead difficult which might at some point bring about a better inclination of the administration towards Theory X. As per McGregor's advocated sight, which he called Theory Y, the crucial job of the monitoring is to organize business problems so that individuals can attain their very own goals best by guiding their efforts in the direction of business incentives. If people discover no contentment in their work, the monitoring would certainly have little option however to rely upon concept X as well as exterior control (Offer, 2003). Also while evaluating Lewis's management design, theory X might have appropriated in the operations department somewhat but the Advertising and marketing division would require reliance on Theory Y to get the creative thinking as well as creativity from the groups.

Tuckman's Teamwork Theory: Regarding Lewis's concern concerning bringing consistency in between the marketing and advertising department is concerned, this would at first bring about clash as reviewed by Bruce Tuckman in his 'Teamwork Concept'. (Tuckman, 1965). Based on Tuckman's concept shown in appendix 3, throughout the first phase of group development, people might not bond, as they are hectic locating their place in the group. By incorporating the advertising and marketing department's job, there may coincide first separate which can bring about the second phase of 'storming' where the groups challenge one another. It is only throughout the third stage or 'norming' when they would certainly come together to share ideas prior to the team can bring around harmony in the 4th stage 'carrying out'.

Bridges' Transition Design: According To William Bridge's concept (appendix 4), people are rather unpleasant with modification, which is obvious by the circumstance at Why I Use The Case Method To Teach Accounting The scenario can be viewed as a normal course of life if is examined based on Bridge's theory where he discusses that individuals go through 3 phases of shift when they experience adjustment. 'End, shedding and also Releasing', The Neutral Zone as well as 'The New Beginning' (Bridges, 2004). When individuals exist with modification, they get in phase one and so there may be feelings like sadness, uncertainty, irritation, rage, concern, rejection and also disorientation.The circumstance at the marketing division of Why I Use The Case Method To Teach Accounting is comparable so Lewis can get comfortable with the suggestion that it is not remarkable habits. In the second phase, there might be a need to connect the gap between the brand-new and old culture so Lewis might have to face this challenge once Krasnow leaves. There may be low morale as well as reduced performance at this stage which need to not be taken as a trouble. It is throughout this stage that Lewis will certainly need to provide advice to the division to make sure that they can locate a sense of direction. It can be seen exactly how Krasnow has actually already made this shift easier by making Lewis obtain associated with the department a year prior to his actual departure. According to Bridges' Version, stage 3 will cause visibility to learning, High power and dedication as individuals will welcome the modification (Bridges, 2004).
Vrio Analysis
Maslow's Requirement pecking order: The OB concern related to instability at the workplace has been activated firstly by the modification in management and also secondly by the reality that the merger will no longer be launched. Abraham Maslow in his Theory of 'Requirements Power structure' (appendix 5) has reviews the importance of 'protection requires as being a lower level demand of a human for causing motivation. As seen in the pyramid cooperated appendix 3, we can see exactly how 'the demand to feel secure as well as out of danger' goes to the 2nd level of requirements. Prior to a worker can be made to develop mentally, he needs to have his 'Physical 'as well as 'Safety' needs fulfilled. This suggests that unless the employees are made to really feel safe about their present work status in Why I Use The Case Method To Teach Accounting they might not reach 'Self-Fulfillment'. (King, 2009).

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



Effects of Analysis.

The OB analysis has actually taken a look at different theories to understand just how to deal with the current circumstance at hand. The adhering to 3 choices have been suggested to aid Lewis take care of the business obstacles in the marketing department. Each of these options has been recommended for easing the shift needed to bring the advertising department in line with the needs of the market as well as for making the cultural adjustment that would adhere to once the present leader leaves.

Combination of marketing and advertising functions. Separating Adverting and also Manufacturing functions. Assimilation of Advertising And Marketing with Operations.

Assessment of Alternatives.

Judith Shapiro that has earlier been interviewed by Lewis during the earlier merger days has proficiency in business-to-business marketing along with firm and retail advertising and marketing experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising and marketing to take care of both marketing and also advertising and marketing functions.

The advantage of this technique is that it will incorporate both features while lowering the need for employing an extra resource for advertising and marketing. In addition to this, Lewis would be heading the marketing department and also all the same her replacement would certainly be needed for the existing role that she is performing. The downside of this choice is that exterior hiring might produce resentment from internal personnel that might be eying the position of EVP after Lewis takes control of Krasnow's setting.

Separating Adverting and Production: Given the competitive stress and also high quality job called for from the marketing agency, it is advised that Lewis ought to enable the production unit to be a different function from the marketing device. Because the majority of advertising agencies had these two functions as different devices, it makes more sense to adhere to the standard.

Integration of Marketing with Procedures: Since Lewis is already caring for the advertising and marketing and also procedures departments all at once; it makes good sense to integrate the two functions given that she has been efficiently dealing with both ends. The reality that both divisions already have significant distinctions over allotment of sources suggests that this assimilation may be able to produce consistency particularly as Lewis would be heading both ends.However there are numerous drawbacks of this move specifically as it would certainly put excessive worry over Lewis's shoulders. The truth that Lewis needs to adapt her management design for the advertising department recommends that these 2 departments would certainly be culturally varied. Lewis might not be able to apply one type of management design to both divisions which can result in inefficiency in either one of the two features.

Referral.



An evaluation of the three alternatives shows that assimilation of advertising and marketing and operations would not be a practical step due to the large distinctions in between the 2 divisions despite the reality that presently Lewis is managing both. While splitting up of the manufacturing feature might have been a favorable step for the marketing department, the fact that it would imply placing a third feature under Lewis's wing suggests this need to be prevented.

Action Plan.
Recommendation
Lewis will take control of the duty of EVP Advertising and marketing after Krasnow leaves.

Marketing and advertising functions would certainly be merged.

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

Manufacturing function will stay part of advertising and marketing under advertising feature.

Lewis will certainly separate herself from procedures.

An autonomous leadership style with staff member empowerment will certainly be used in advertising division.

Open up door plan and emphasis on cross departmental communication will be focused on removing dissonance.

Backup strategy.

If the assimilation does not work out as intended, a contingency plan would adhere to which would separate the production feature from the advertising function to reduce the load on the SVP of marketing and advertising. In case Judith Shapiro does not get employed, Lewis will certainly be heading the advertising division without an SVP. In that case the manufacturing feature will certainly be separated by positioning it under an SVP production.