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Logitech Learning From Customers To Design A New Product Case Study Solution

CASE ANALYSIS

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Background and Facts

Logitech Learning From Customers To Design A New Product an office materials seller for tiny and also average sized services has actually recently been associated with planning for a merging with its competitor Residence Deport, which has actually affected performance levels in departmentswith the senior manager associated with legal problems put forth by the government Profession Commission. With the Advertising Head advancing the information of his separation from the company in one year, Jeannie Lewis, the current head of operations has actually been asked to take the duty in the future. With challenges in the type of a potential social change as well as reduced worker morale, the company needs a full reengineering initiative at the advertising department.

Problem Statement

The potential cultural modification at the marketing division of Logitech Learning From Customers To Design A New Product is boosting uncertainty in the workplace causing different obstacles for the Jeannie Lewis who would certainly be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant duty in impacting tactical decisions because Stapes Inc. needed to abandon its strategies of merging with Office Deport after the Federal Profession Payment's intervention while doing so. Given the reality that the shop has a global presence with branches in UK, UNITED STATES, Canada and Germany, political consider each of these countries may have the ability to impact efficiency or critical goals. Federal Trade Compensation's antitrust suit against the merger used up beneficial time of the company's elderly monitoring suggesting that 'political' factors can have major effects for a worldwide business.

Economic Factors: Financial factors such as the development of local business in the international scenario suggest that Logitech Learning From Customers To Design A New Product is prospering in a setting where there is prospective development of businesses. Reality that store customers are mostly looking for office supplies for house workplaces suggests that the market has a climbing pattern of business owners as well as residence based businesses.

Social factors: Social patterns in the economic situation reveal that clients are trying to find comfort in addition to attractive prices. Market research shows how the client for Logitech Learning From Customers To Design A New Product lacks awareness concerning finding remedies which can provide a mix of benefit and also affordable.

Technical factors: Modern technology plays an important duty in Logitech Learning From Customers To Design A New Product's service method especially as the company is piloting Innovation centers which would offer innovation sales as well as assistance in the kind of memory upgrades, peripheral installations. (Recap of INSECT in appendix 2).

OB Issues and Symptoms.

Numerous underlying Organizational Habits concerns can be seen in Logitech Learning From Customers To Design A New Product's case as highlighted in this area.

Concerns regarding cultural modification: There is worry concerning a social adjustment that would certainly occur when Todd Krasnow leaves from his position as the Executive Vice President of Marketing with the majority of the personnel currently showing unhappiness over this possible relocation. This anticipated adjustment has developed tension in the workplace which has been coupled with the previous anxiety of preparing the firm for a prospective merging with Home Deport.

Difficult Task Environment for Newcomers: There is scarcity of personnel that can match the difficult setting of a hectic organization. Not just does this bring about trouble in discovering the ideal individuals, it puts stress on new hires as can not stand up to the pace as well as pressure that the company anticipates them to bear.

Twin Reporting Lines: Novices find this business culture cumbersome and also challenging to deal with particularly as dotted line partnerships are implied to be weaker generally and unbiased setting and efficiency examination is still done by the strong line manager. This indicates that newbies might shed clarity about their particular functions and goals specifically as dotted line reporting does not keep them in straight communication with the strong line supervisors.

Resentment From Cross Departmental Hiring: Krasnow's choice to make Lewis his successor as opposed to Bridget Coles even though it had been hypothesized that the latter would take Krasnow's position came as a strike to her spirits. Lewis might have been capable and proper for the work yet the fact that Kransnow's separation would certainly make Coles a direct record to Lewis may have been the factor for Coles' resignation from services.

Fear & Job Insecurity: Concern as well as instability can be determined as 2 major concerns that Lewis would certainly be dealing with particularly as the merger has actually now be terminated as well as 2 elderly executives of the marketing division would certainly be leaving. The whole duty of the division would certainly be dropping on Lewis's shoulders who would certainly not just be in charge of brining regarding a cultural modification yet would certainly additionally have to confirm herself in her new duty.

Inappropriate Monitoring Style of Leader: Lewis's monitoring design and its incompatibility with the advertising and marketing division'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 procedures department where employees are instructed to focus on procedures and get them right. The advertising department on the various other hand can be viewed as a team of people who are utilized to being supported by Krasnow that focused extra on result than procedures.

Interdepartmental Differences: Interdepartmental disagreements in between 3 divisions, advertising and marketing, merchandizing and also operations specifically over the allocation of the advertising and marketing mix can be determined as an additional OB worry. Although the advertising division does not share the very same vision as the other 2 divisions pertaining to the aloocation of the advertising mix twoards promotions and also advertsing, the merchandizing and operations departments do not concur over the marketing mix allocation amongst one another either.

Fragmentation in Advertising And Marketing Division: Fragmentation in between the marketing and advertising divisions can be identified as another OB issue which could need additional interest. The reality that the marketing and advertising areas in the advertising and marketing department are detached is protecting against both departments from acquiring from each various other's experience as well as knowledge. Integration of advertising and marketing with merchandising and operations would come to be harder if the marketing division itself is broken down which can be another prospective OB issue.

Logitech Learning From Customers To Design A New Product Analysis

Numerous theories have been utilized to explain the conditions to obtain further clearness concerning the situation at hand.

McGregor's Concept X & Y: According to Douglas McGregor's Concept X, many supervisors believe that staffs are easy and also careless, have little ambition and also withstand adjustment. The circumstance at Logitech Learning From Customers To Design A New Product is not entirely complying with Theory X, it can be seen that new hires are discovering this atmosphere rather demanding which might eventually lead to a greater inclination of the administration in the direction of Theory X. Also while assessing Lewis's management style, theory X may have been appropriate in the procedures department to some level yet the Advertising and marketing department would certainly need dependence on Concept Y in order to obtain the imagination and creativity from the teams.

Tuckman's Teamwork Theory: Regarding Lewis's issue about bringing consistency between the advertising and marketing department is worried, this would initially lead to conflict as talked about by Bruce Tuckman in his 'Teamwork Theory'. (Tuckman, 1965). As per Tuckman's theory shown in appendix 3, throughout the first phase of group development, individuals may not bond, as they are active finding their place in the group. By incorporating the advertising and marketing division's job, there might coincide preliminary detach which could cause the 2nd stage of 'storming' where the groups test one another. Nevertheless, it is only during the 3rd phase or 'norming' when they would certainly come together to share ideas before the team can bring about harmony in the 4th phase 'carrying out'.

When individuals are presented with change, they get in stage one as well as so there may be emotions like unhappiness, unpredictability, irritation, temper, anxiety, rejection and also disorientation.The scenario at the advertising division of Logitech Learning From Customers To Design A New Product is similar so Lewis can obtain comfortable with the concept that it is not remarkable behavior. It is throughout this stage that Lewis will certainly have to provide advice to the division so that they can discover a feeling of instructions. It can be seen how Krasnow has actually currently made this change less complicated by making Lewis get entailed in the division a year before his real separation.

Maslow's Need power structure: The OB issue related to instability at the workplace has been set off first of all by the modification in monitoring and second of all by the reality that the merging will no longer be launched. Abraham Maslow in his Theory of 'Needs Pecking order' (appendix 5) has talks about the importance of 'safety needs as being a lower degree demand of a human for activating inspiration. As seen in the pyramid shared in appendix 3, we can see how 'the need to really feel safe and also unharmed' is at the second degree of demands. Before a staff member can be made to establish psychologically, he needs to have his 'Physical 'and 'Safety' needs fulfilled. This suggests that unless the employees are made to feel safe and secure about their present employment condition in Logitech Learning From Customers To Design A New Product they might not reach 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Logitech Learning From Customers To Design A New Product Case Study



Implication of Analysis.

The OB analysis has checked out various concepts to comprehend just how to manage the present scenario at hand. The adhering to 3 choices have actually been suggested to assist Lewis manage the business difficulties in the marketing department. Each of these alternatives has actually been recommended for relieving the transition needed to bring the advertising department according to the demands of the marketplace and for making the cultural adjustment that would adhere to once the existing leader leaves.

Assimilation of marketing and advertising features. Dividing Adverting as well as Manufacturing functions. Integration of Advertising And Marketing with Workflow.

Evaluation of Alternatives.

Judith Shapiro that has earlier been spoken with by Lewis during the earlier merger days has knowledge in business-to-business marketing along with firm as well as retail advertising and marketing experience. When Krasnow leaves, Lewis can hire Shapiro as an EVP for marketing to handle both advertising and advertising and marketing functions.

The benefit of this technique is that it will integrate the two functions while reducing the need for employing an extra source for marketing. Lewis would be heading the advertising and marketing division and in any kind of case her substitute would be needed for the existing duty that she is performing. The downside of this alternative is that exterior hiring might cause resentment from inner workers that might be eying the placement of EVP after Lewis takes control of Krasnow's setting.

Separating Adverting as well as Production: Given the competitive pressures and high top quality job called for from the advertising and marketing agency, it is recommended that Lewis must enable the production device to be a different function from the marketing device. Since the majority of marketing firms had these two features as separate devices, it makes even more sense to adhere to the standard.

Assimilation of Advertising And Marketing with Workflows: Considering that Lewis is currently taking care of the advertising and marketing as well as procedures departments simultaneously; it makes feeling to incorporate the 2 features considering that she has actually been efficiently taking treatment of both ends. The reality that Lewis has to adapt her monitoring style for the advertising department suggests that these two departments would be culturally varied.

Suggestion.



An examination of the three alternatives shows that integration of marketing and also procedures would not be a feasible step due to the large differences in between the 2 departments in spite of the reality that currently Lewis is taking care of both. While separation of the manufacturing feature might have been a desirable relocation for the marketing department, the reality that it would suggest positioning a third function under Lewis's wing implies this must be prevented.

Activity Plan.

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

Marketing and advertising functions would certainly be combined.

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

Manufacturing function will continue to be part of marketing under advertising and marketing feature.

Lewis will separate herself from operations.

An autonomous leadership design with employee empowerment will be used in marketing division.

Open up door policy as well as focus on cross departmental communication will certainly be targeted at removing discord.

Backup plan.

If the assimilation does not exercise as prepared, a contingency plan would certainly adhere to which would separate the production feature from the marketing function to reduce the lots on the SVP of marketing and advertising. In case Judith Shapiro does not obtain worked with, Lewis will certainly be heading the marketing department without an SVP. In that case the manufacturing feature will certainly be separated by positioning it under an SVP manufacturing.