Learning When To Stop Momentum Case Study Solution


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Background and Facts

Learning When To Stop Momentum a workplace materials retailer for little and also average sized services has just recently been associated with preparing for a merging with its rival House Deport, which has actually influenced performance degrees in departmentswith the senior supervisor involved in lawful difficulties put forth by the government Trade Compensation. With the Advertising Head putting forward the information of his departure from the business in one year, Jeannie Lewis, the present head of operations has been asked to take the function in the future. With difficulties in the form of a potential cultural adjustment and also reduced staff member morale, the company wants a full reengineering initiative at the advertising and marketing division.

Problem Statement
Porter's 5 Forces Analysis
The potential social modification at the advertising department of Learning When To Stop Momentum is boosting unpredictability in the workplace bring about various challenges for the Jeannie Lewis who would be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in affecting calculated choices considering that Stapes Inc. had to desert its plans of merging with Workplace Deport after the Federal Profession Payment's intervention in the process. Offered the fact that the store has an international visibility with branches in UK, USA, Canada and Germany, political consider each of these countries may be able to influence efficiency or calculated objectives. Federal Trade Payment's antitrust fit against the merger took up useful time of the company's elderly administration recommending that 'political' factors can have serious ramifications for a worldwide service.

Economic Factors: Financial factors such as the introduction of small companies in the international scenario suggest that Learning When To Stop Momentum is flourishing in an atmosphere where there is potential development of companies. Fact that store customers are mostly looking for office supplies for home offices recommends that the market has an increasing trend of entrepreneurs and also home based companies.

Social factors: Social trends in the economy reveal that consumers are looking for convenience along with attractive prices. Market research shows how the consumer for Learning When To Stop Momentum does not have understanding regarding discovering services which can provide a mix of ease and affordable.

Technical factors: Innovation plays a crucial role in Learning When To Stop Momentum's company technique specifically as the company is piloting Technology facilities which would certainly supply modern technology sales and also assistance in the form of memory upgrades, peripheral installments. (Summary of PEST in appendix 2).

OB Issues and also Effects.

Numerous underlying Organizational Behavior concerns can be seen in Learning When To Stop Momentum's case as highlighted in this area.

Apprehensions about cultural modification: There is uneasiness regarding a social change that would occur once Todd Krasnow leaves from his setting as the Exec Vice Head Of State of Advertising And Marketing with most of the personnel already showing unhappiness over this possible step. This anticipated change has actually created anxiety in the workplace which has been paired with the past stress of preparing the company for a potential merger with Residence Deport.
Pest Analysis
Demanding Job Setting for Newcomers: There is lack of employees that can match the demanding environment of a hectic organization. Not only does this result in difficulty in discovering the right people, it places anxiety on new hires as can not withstand the pace and stress that the organization anticipates them to birth.

Double Coverage Lines: Newbies find this organizational culture troublesome as well as challenging to deal with especially as populated line connections are indicated to be weaker in general and also unbiased setup and also efficiency evaluation is still done by the solid line supervisor. This indicates that beginners can lose quality regarding their respective functions as well as objectives specifically as populated line reporting does not maintain them in straight interaction with the solid line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor rather than Bridget Coles even though it had been speculated that the last would certainly take Krasnow's setting came as a blow to her morale. Lewis might have been qualified and ideal for the task yet the truth that Kransnow's separation would make Coles a direct record to Lewis might have been the reason for Coles' resignation from services.

Fear & Job Instability: Worry and insecurity can be identified as 2 significant concerns that Lewis would certainly be taking care of specifically as the merger has actually now be terminated and 2 elderly execs of the advertising and marketing department would be leaving. The entire duty of the department would certainly be falling on Lewis's shoulders that would certainly not just supervise of brining about a cultural change yet would likewise have to confirm herself in her brand-new duty.

Inappropriate Administration Design of Leader: Lewis's management design as well as its incompatibility with the advertising division's role can also be viewed as an OB challenge particularly as she has been used to handling issues in the operations department where employees are educated to concentrate on processes and also get them right. The advertising department on the other hand can be viewed as a group of people who are utilized to being nurtured by Krasnow who concentrated extra on outcome than processes.

Interdepartmental Disagreements: Interdepartmental differences in between three departments, advertising, merchandizing and operations respectively over the appropriation of the advertising and marketing mix can be recognized as one more OB issue. Although the advertising and marketing division does not share the exact same vision as the various other two divisions relating to the aloocation of the advertising mix twoards promotions and advertsing, the merchandizing and procedures divisions do not agree over the advertising mix allotment among one another either.

Fragmentation in Advertising Department: Disintegration in between the advertising and marketing departments can be determined as an additional OB concern which can need additional attention. The reality that the marketing and advertising sections in the advertising and marketing department are detached is stopping both departments from acquiring from each other's experience and expertise. Integration of advertising with retailing and operations would certainly come to be more difficult if the advertising and marketing department itself is degenerated which can be another possible OB issue.

Learning When To Stop Momentum Analysis

Numerous theories have been used to discuss the circumstances to get additional quality about the circumstance available.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, the majority of supervisors think that staffs are easy and careless, have little aspiration and stand up to modification. The difficult variation of this theory stressed threat, tight controls, dangers and also punishments. Over time it generates low efficiency, subtle sabotage and competition (Bargain, 2003). The scenario at Learning When To Stop Momentum is not completely complying with Theory X, it can be seen that brand-new hires are discovering this setting instead difficult which might eventually lead to a greater disposition of the administration in the direction of Concept X. As per McGregor's advocated view, which he called Concept Y, the essential job of the monitoring is to organize organizational problems so that people can attain their own objectives best by guiding their initiatives in the direction of organizational rewards. If individuals discover no satisfaction in their work, the monitoring would have little selection but to count on theory X and exterior control (Bargain, 2003). Also while assessing Lewis's administration style, theory X might have appropriated in the procedures division somewhat however the Marketing department would certainly need reliance on Concept Y to get the imagination as well as originality from the teams.

Tuckman's Teamwork Concept: As far as Lewis's worry concerning bringing harmony in between the advertising and marketing and also advertising and marketing division is worried, this would at first lead to clash as discussed by Bruce Tuckman in his 'Teamwork Theory'. By integrating the advertising and marketing and advertising division's work, there may be the very same initial separate which could lead to the 2nd stage of 'storming' where the groups challenge one another.

When people are offered with change, they go into phase one as well as so there may be emotions like sadness, unpredictability, irritation, anger, fear, rejection and disorientation.The circumstance at the advertising division of Learning When To Stop Momentum is comparable so Lewis can get comfortable with the idea that it is not extraordinary behavior. It is during this phase that Lewis will certainly have to offer guidance to the department so that they can discover a feeling of instructions. It can be seen exactly how Krasnow has already made this transition simpler by making Lewis obtain involved in the department a year before his actual departure.
Vrio Analysis
Abraham Maslow in his Concept of 'Demands Pecking order' (appendix 5) has reviews the importance of 'safety and security requires as being a reduced degree need of a human for setting off inspiration. As seen in the pyramid shared in appendix 3, we can see how 'the need to feel secure and also out of threat' is at the 2nd level of requirements. Before a staff member can be made to establish psychologically, he requires to have his 'Physical 'as well as 'Security' requires fulfilled.

SWOT Analysis for Learning When To Stop Momentum Case Study

Effects of Analysis.

The OB analysis has actually taken a look at various concepts to recognize how to manage the present situation at hand. The following 3 options have been suggested to help Lewis handle the organizational difficulties in the advertising department. Each of these choices has been recommended for alleviating the shift needed to bring the marketing department in accordance with the requirements of the marketplace and also for making the social modification that would certainly adhere to as soon as the present leader leaves.

Combination of advertising and marketing functions. Separating Adverting and Production features. Assimilation of Marketing with Operations.

Analysis of Alternatives.

Assimilation of Advertising And Marketing & Advertising And Marketing Functions: The internal advertising and marketing agency of Learning When To Stop Momentum is already strength for the company in terms of conserving up on expenses related to advertising and marketing and also promotion. Given that no new recruitment has actually been done after Bridget Cole's separation with the coverage line being directly assigned to Krasnow for the advertising function, this is a positive possibility for integrating the advertising and marketing features. Judith Shapiro who has actually earlier been interviewed by Lewis throughout the earlier merging days has knowledge in business-to-business marketing together with agency and also retail advertising and marketing experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for advertising and marketing to deal with both advertising and marketing features.

The benefit of this strategy is that it will certainly incorporate both features while decreasing the need for working with an extra resource for advertising. Lewis would be heading the advertising department and also in any kind of case her substitute would certainly be required for the existing duty that she is doing. The drawback of this option is that outside hiring may cause animosity from inner employees who may be considering the placement of EVP after Lewis takes control of Krasnow's setting.

Dividing Adverting and Manufacturing: Provided the competitive pressures as well as top quality job needed from the advertising agency, it is recommended that Lewis needs to allow the manufacturing system to be a separate feature from the advertising and marketing system. Because most ad agency had these two functions as different systems, it makes even more sense to comply with the standard. Both features might be able to focus on their core triggers extra successfully. The drawback of this technique would certainly be that extra costs would have to be borne for setting up separate manufacturing functions. Along with this, a manufacturing head may have to be worked with which could boost overheads for the company.

Combination of Advertising And Marketing with Workflows: Since Lewis is currently taking care of the marketing and also operations departments concurrently; it makes feeling to integrate the 2 features because she has actually been successfully taking care of both ends. The truth that Lewis has to adapt her management design for the advertising division recommends that these two divisions would certainly be culturally diverse.


An analysis of the three options shows that assimilation of advertising and marketing and also procedures would certainly not be a feasible relocation because of the huge differences in between the two departments although that presently Lewis is managing both. While separation of the production feature may have been a beneficial move for the advertising and marketing department, the reality that it would mean putting a 3rd feature under Lewis's wing means this should be prevented also. The combination of the marketing department is the best choice in terms of getting the optimal results from the department. An activity plan for this option is reviewed below.

Action Plan.
Lewis will certainly take control of the role of EVP Marketing after Krasnow leaves.

Advertising and Marketing features would be merged.

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

Production function will stay component of marketing under advertising and marketing function.

Lewis will separate herself from operations.

An autonomous leadership style with employee empowerment will certainly be used in advertising and marketing division.

Open up door policy as well as focus on cross departmental interaction will be focused on eliminating dissonance.

Contingency plan.

If the assimilation does not work out as intended, a contingency plan would certainly adhere to which would certainly divide the manufacturing function from the advertising feature to reduce 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 production function will most definitely be divided by positioning it under an SVP production.