Liberal Government Of Ontarios Eco Tax Fiasco Case Study Solution


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Liberal Government Of Ontarios Eco Tax Fiasco Case Study Analysis

Background and Facts

Liberal Government Of Ontarios Eco Tax Fiasco a workplace materials seller for little and also medium sized companies has recently been associated with preparing for a merger with its rival House Deport, which has affected performance levels in departmentswith the senior supervisor involved in lawful complications presented by the federal Profession Compensation. With the Marketing Head putting forward the information of his separation from the business in one year, Jeannie Lewis, the existing head of operations has actually been asked to take the role in the near future. With difficulties in the type of a potential social adjustment and also low employee spirits, the company wants a complete reengineering initiative at the advertising and marketing division.

Problem Statement

The potential social change at the advertising and marketing department of Liberal Government Of Ontarios Eco Tax Fiasco is raising unpredictability in the working environment resulting in numerous obstacles for the Jeannie Lewis that would certainly be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant duty in impacting strategic choices considering that Stapes Inc. had to abandon its plans of merging with Office Deport after the Federal Profession Payment's intervention while doing so. Given the truth that the shop has an international visibility with branches in UK, USA, Canada and Germany, political factors in each of these nations might have the ability to impact efficiency or critical objectives. Federal Profession Commission's antitrust fit against the merging used up important time of the company's elderly administration suggesting that 'political' factors can have major effects for a global company.

Economic Factors: Financial factors such as the appearance of local business in the global circumstance suggest that Liberal Government Of Ontarios Eco Tax Fiasco is thriving in an atmosphere where there is prospective development of organisations. Along with this, reality that store consumers are mainly searching for workplace products for home offices suggests that the marketplace has an increasing trend of entrepreneurs as well as home organisations.

Social factors: Social fads in the economic situation reveal that consumers are trying to find benefit in addition to eye-catching prices. Marketing research demonstrates how the customer for Liberal Government Of Ontarios Eco Tax Fiasco does not have recognition about finding services which can use a mix of ease as well as low costs.

Technological factors: Technology plays a crucial role in Liberal Government Of Ontarios Eco Tax Fiasco's company technique particularly as the organization is piloting Technology centers which would certainly use technology sales and assistance in the kind of memory upgrades, outer setups. (Recap of PARASITE in appendix 2).

OB Issues and also Manifestations.

Several underlying Organizational Behavior issues can be seen in Liberal Government Of Ontarios Eco Tax Fiasco's case as highlighted in this area.

Apprehensions about cultural modification: There is worry concerning a cultural modification that would take place as soon as Todd Krasnow leaves from his setting as the Executive Vice Head Of State of Marketing with the majority of the team member already revealing unhappiness over this prospective relocation. This anticipated adjustment has actually developed stress in the office which has actually been coupled with the past tension of preparing the firm for a possible merging with Residence Deport.

Demanding Task Atmosphere for Newcomers: There is scarcity of employees that can match the stressful atmosphere of a hectic organization. Not just does this result in difficulty in discovering the best people, it places stress on brand-new hires as can not endure the rate as well as stress that the company expects them to bear.

Twin Coverage Lines: Newbies discover this business culture difficult and challenging to cope with specifically as populated line partnerships are indicated to be weaker in general as well as objective setup and also performance assessment is still done by the solid line manager. This suggests that newcomers can shed clearness about their particular functions as well as goals specifically as populated line reporting does not keep them in straight interaction with the strong line managers.

Animosity From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower instead of Bridget Coles although it had actually been hypothesized that the last would take Krasnow's setting came as an impact to her spirits. Lewis may have been capable and also appropriate for the job yet the reality that Kransnow's separation would certainly make Coles a direct record to Lewis might have been the factor for Coles' resignation from solutions.

Fear & Job Insecurity: Anxiety and also instability can be identified as two significant worries that Lewis would certainly be managing particularly as the merging has actually now be cancelled as well as two senior execs of the advertising and marketing department would certainly be leaving. The whole responsibility of the department would be falling on Lewis's shoulders who would not simply be in charge of brining regarding a cultural adjustment yet would certainly also have to verify herself in her new duty.

Incompatible Management Design of Leader: Lewis's administration design and also its incompatibility with the advertising department's role can additionally be seen as an OB challenge specifically as she has actually been made use of to dealing with concerns in the operations division where employees are educated to concentrate on processes and get them. The marketing department on the other hand can be seen as a group of individuals who are utilized to being nurtured by Krasnow that concentrated more on result than procedures.

Interdepartmental Disagreements: Interdepartmental differences in between three departments, marketing, merchandizing as well as operations specifically over the allotment of the advertising and marketing mix can be recognized as an additional OB concern. The advertising division does not share the same vision as the various other 2 departments relating to the aloocation of the advertising mix twoards promotions as well as advertsing, the merchandizing and also operations departments do not concur over the marketing mix allocation amongst one another either.

Disintegration in Advertising And Marketing Department: Fragmentation in between the advertising and marketing departments can be identified as one more OB concern which could require more focus. The truth that the marketing and advertising sections in the advertising and marketing department are detached is protecting against both departments from acquiring from each other's experience and also experience. Integration of advertising and marketing with retailing as well as procedures would certainly end up being harder if the advertising and marketing department itself is broken down which can be one more potential OB concern.

Liberal Government Of Ontarios Eco Tax Fiasco Analysis

Various concepts have been used to explain the situations to obtain further clearness about the circumstance available.

McGregor's Theory X & Y: According to Douglas McGregor's Theory X, most managers think that juniors are passive as well as careless, have little aspiration and also withstand adjustment. The circumstance at Liberal Government Of Ontarios Eco Tax Fiasco is not completely following Concept X, it can be seen that new hires are discovering this environment instead difficult which may ultimately lead to a higher inclination of the monitoring towards Theory X. Also while assessing Lewis's monitoring style, concept X may have been appropriate in the operations department to some degree however the Advertising department would need reliance on Concept Y in order to get the creative thinking as well as creativity from the teams.

Tuckman's Team effort Concept: As much as Lewis's concern about bringing consistency between the marketing and advertising division is worried, this would at first lead to conflict as discussed by Bruce Tuckman in his 'Teamwork Concept'. By combining the advertising and marketing and advertising and marketing division's job, there might be the very same first separate which might lead to the 2nd phase of 'storming' where the teams challenge one another.

When individuals are presented with adjustment, they get in stage one and also so there might be emotions like unhappiness, unpredictability, frustration, rage, concern, rejection and disorientation.The scenario at the advertising and marketing division of Liberal Government Of Ontarios Eco Tax Fiasco is similar so Lewis can get comfy with the concept that it is not remarkable behavior. It is throughout this stage that Lewis will certainly have to provide assistance to the department so that they can locate a sense of direction. It can be seen exactly how Krasnow has actually already made this change less complicated by making Lewis obtain involved in the department a year before his actual departure.

Maslow's Requirement hierarchy: The OB issue pertaining to insecurity at the work environment has been activated to start with by the change in monitoring and also secondly by the truth that the merger will certainly no longer be started. Abraham Maslow in his Concept of 'Requirements Power structure' (appendix 5) has goes over the relevance of 'security needs as being a reduced level requirement of a human for setting off motivation. As seen in the pyramid cooperated appendix 3, we can see just how 'the need to really feel secure as well as untouched' is at the second degree of requirements. Before an employee can be made to create mentally, he needs to have his 'Physical 'and also 'Security' requires satisfied. This shows that unless the workers are made to really feel safe and secure concerning their existing work condition in Liberal Government Of Ontarios Eco Tax Fiasco they may not get to 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Liberal Government Of Ontarios Eco Tax Fiasco Case Study

Ramification of Analysis.

The OB analysis has checked out numerous concepts to comprehend exactly how to handle the present scenario at hand. The following 3 alternatives have actually been recommended to aid Lewis manage the business obstacles in the marketing division. Each of these choices has actually been proposed for reducing the shift needed to bring the advertising division according to the requirements of the marketplace as well as for making the cultural adjustment that would adhere to when the current leader leaves.

Assimilation of marketing and advertising features. Separating Adverting and also Manufacturing features. Integration of Marketing with Operations.

Examination of Alternatives.

Assimilation of Advertising & Advertising And Marketing Functions: The in-house marketing company of Liberal Government Of Ontarios Eco Tax Fiasco is currently stamina for the organization in regards to saving up on expenses connected to advertising and also promo. Considering that no new recruitment has actually been done after Bridget Cole's separation with the coverage line being directly appointed to Krasnow for the marketing function, this is a beneficial possibility for incorporating the advertising and marketing functions. Judith Shapiro who has earlier been spoken with by Lewis during the earlier merger days has know-how in business-to-business advertising and marketing together with firm and also retail marketing experience. Once Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising and marketing to manage both advertising and marketing features.

The benefit of this technique is that it will certainly incorporate both features while decreasing the demand for working with an additional source for advertising. Lewis would be heading the advertising and marketing division as well as in any case her replacement would be needed for the existing function that she is carrying out. The negative aspect of this option is that exterior hiring might bring about bitterness from interior workers that might be looking at the setting of EVP after Lewis takes over Krasnow's position.

Separating Adverting and Manufacturing: Provided the affordable pressures as well as premium quality work called for from the ad agency, it is advised that Lewis ought to enable the manufacturing device to be a different feature from the advertising unit. Since most advertising agencies had these 2 functions as separate devices, it makes even more feeling to adhere to the standard. Along with this, both features might be able to focus on their core triggers more successfully. However, the downside of this technique would certainly be that additional expenses would certainly have to be borne for setting up separate production features. In addition to this, a manufacturing head might have to be hired which can raise overheads for the organization.

Integration of Advertising with Operations: Given that Lewis is already dealing with the marketing and also operations divisions all at once; it makes good sense to integrate both functions because she has actually been efficiently looking after both ends. The truth that both divisions already have significant differences over allowance of sources recommends that this integration may be able to bring about consistency particularly as Lewis would be heading both ends.However there are numerous drawbacks of this relocation specifically as it would certainly put excessive concern over Lewis's shoulders. The fact that Lewis has to adapt her management style for the advertising and marketing department suggests that these two departments would be culturally varied. Along with this, Lewis might not be able to apply one type of leadership design to both departments which can cause ineffectiveness in either one of both functions.


An analysis of the 3 alternatives indicates that combination of advertising and marketing and procedures would certainly not be a possible move due to the huge differences between the 2 divisions despite the truth that currently Lewis is handling both. While splitting up of the manufacturing feature might have been a beneficial step for the marketing division, the truth that it would certainly indicate putting a third feature under Lewis's wing indicates this should be stayed clear of.

Action Plan.

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

Marketing and advertising features would certainly be combined.

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

Manufacturing function will certainly continue to be component of advertising and marketing under marketing function.

Lewis will certainly divide herself from operations.

A democratic leadership design with staff member empowerment will certainly be made use of in marketing department.

Open door plan and focus on cross department interaction will certainly be aimed at getting rid of discord.

Backup plan.

If the integration does not work out as intended, a backup strategy would certainly follow which would separate the manufacturing function from the marketing function to decrease the lots on the SVP of marketing and advertising. In case Judith Shapiro does not get employed, Lewis will certainly be heading the advertising and marketing department without an SVP. In that case the manufacturing function will most definitely be divided by putting it under an SVP manufacturing.