Serena And Lily Case Study Analysis


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Background and Facts

Serena And Lily a workplace products seller for little and moderate sized companies has actually recently been associated with preparing for a merger with its rival House Deport, which has influenced performance levels in departmentswith the senior manager involved in legal difficulties put forth by the federal Profession Commission. With the Advertising and marketing Head putting forward the information of his separation from the company in one year, Jeannie Lewis, the present head of procedures has actually been asked to take the function in the near future. With challenges in the kind of a prospective social modification and also reduced worker morale, the company wants a full reengineering effort at the advertising division.

Trouble Declaration
Porter's 5 Forces Analysis
The possible social adjustment at the marketing department of Serena And Lily is raising uncertainty in the working environment causing various obstacles for the Jeannie Lewis who would be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant role in influencing tactical choices considering that Stapes Inc. had to desert its plans of combining with Office Deport after the Federal Profession Payment's treatment at the same time. Provided the reality that the store has a global presence with branches in UK, UNITED STATES, Canada as well as Germany, political factors in each of these nations might be able to impact performance or tactical goals. Federal Profession Payment's antitrust match against the merger took up valuable time of the company's senior monitoring suggesting that 'political' factors can have serious implications for an international business.

Economic Factors: Economic factors such as the appearance of local business in the worldwide circumstance recommend that Serena And Lily is flourishing in an environment where there is potential growth of organisations. Reality that store consumers are mainly looking for office products for house workplaces suggests that the market has a rising fad of entrepreneurs as well as home based businesses.

Social factors: Social patterns in the economic climate show that clients are seeking ease as well as eye-catching costs. Market research demonstrates how the consumer for Serena And Lily lacks recognition concerning finding remedies which can provide a mix of benefit and also affordable.

Technical factors: Technology plays a vital role in Serena And Lily's service approach especially as the company is piloting Technology centers which would supply technology sales and also support in the form of memory upgrades, outer installations. (Recap of INSECT in appendix 2).

OB Issues and Symptoms.

Numerous underlying Organizational Actions issues can be seen in Serena And Lily's case as highlighted in this area.

Worries about cultural adjustment: There is uneasiness concerning a cultural change that would occur when Todd Krasnow leaves from his setting as the Executive Vice President of Advertising And Marketing with the majority of the personnel currently showing unhappiness over this potential step. This predicted change has created anxiety in the workplace which has actually been coupled with the previous stress and anxiety of preparing the firm for a possible merging with Home Deport.
Pest Analysis
Difficult Task Environment for Newcomers: There is scarcity of personnel that can match the demanding atmosphere of a hectic company. Not just does this lead to problem in locating the best individuals, it puts stress and anxiety on brand-new hires as can not endure the pace as well as pressure that the company anticipates them to bear.

Dual Reporting Lines: Novices discover this business culture difficult and hard to cope with particularly as populated line relationships are suggested to be weak in general and objective setup as well as performance examination is still done by the strong line manager. This implies that novices can shed quality about their corresponding duties as well as goals especially as dotted line coverage does not keep them in direct interaction with the solid line supervisors.

Animosity From Cross Departmental Hiring: Krasnow's decision to make Lewis his successor instead of Bridget Coles even though it had actually been speculated that the latter would take Krasnow's placement came as a strike to her morale. Lewis might have been capable as well as suitable for the task yet the reality that Kransnow's departure would certainly make Coles a direct record to Lewis might have been the factor for Coles' resignation from solutions.

Concern & Task Insecurity: Anxiety as well as insecurity can be identified as 2 significant worries that Lewis would certainly be taking care of specifically as the merger has actually now be terminated as well as 2 elderly executives of the advertising department would certainly be leaving. The entire duty of the department would certainly be falling on Lewis's shoulders who would not just be in charge of brining concerning a social adjustment however would certainly additionally need to show herself in her new duty.

Incompatible Management Design of Leader: Lewis's monitoring design and its conflict with the advertising department's role can likewise be seen as an OB obstacle particularly as she has been utilized to dealing with issues in the operations department where personnel are instructed to concentrate on procedures as well as get them. The advertising division on the other hand can be seen as a team of individuals who are utilized to being supported by Krasnow that concentrated extra on output than processes.

Interdepartmental Disagreements: Interdepartmental differences in between three divisions, marketing, merchandizing as well as procedures specifically over the allowance of the advertising and marketing mix can be determined as one more OB worry. Although the marketing department does not share the same vision as the other two divisions pertaining to the aloocation of the marketing mix twoards promos and also advertsing, the merchandizing as well as procedures departments do not concur over the marketing mix appropriation among one another either.

Disintegration in Marketing Division: Fragmentation in between the advertising and marketing divisions can be determined as an additional OB problem which can require more focus. The truth that the advertising and marketing areas in the advertising department are detached is stopping both departments from gaining from each other's experience as well as proficiency. Integration of marketing with merchandising and operations would certainly end up being harder if the advertising division itself is degenerated which can be one more possible OB concern.

Serena And Lily Analysis

Different concepts have actually been utilized to describe the scenarios to get additional clearness regarding the situation at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, most managers think that subordinates are passive and careless, have little ambition and withstand change. The tough version of this theory emphasized browbeating, limited controls, dangers and also punishments. Over time it creates low efficiency, refined sabotage and rivalry (Bargain, 2003). Although the circumstance at Serena And Lily is not entirely adhering to Theory X, it can be seen that brand-new hires are locating this setting rather difficult which may eventually bring about a greater disposition of the management in the direction of Concept X. According to McGregor's supported view, which he called Theory Y, the vital task of the management is to arrange business problems to make sure that people can accomplish their very own goals best by routing their initiatives towards organizational incentives. If individuals discover no complete satisfaction in their job, the management would have little choice however to rely upon concept X and also external control (Deal, 2003). Even while analyzing Lewis's administration design, concept X may have been suitable in the procedures division to some extent yet the Marketing department would need reliance on Theory Y so as to get the creativity and also creativity from the groups.

Tuckman's Teamwork Theory: Regarding Lewis's problem regarding bringing consistency between the marketing and advertising division is worried, this would originally cause clash as gone over by Bruce Tuckman in his 'Teamwork Theory'. (Tuckman, 1965). Based on Tuckman's concept shown in appendix 3, throughout the first phase of team advancement, people might not bond, as they are hectic locating their place in the team. By combining the advertising and marketing division's work, there might be the same initial detach which might result in the second stage of 'storming' where the teams test one another. It is just throughout the third phase or 'norming' when they would certainly come with each other to share ideas prior to the group can bring about harmony in the fourth phase 'carrying out'.

Bridges' Change Version: As per William Bridge's theory (appendix 4), people are quite unpleasant with adjustment, which is obvious by the scenario at Serena And Lily The circumstance can be viewed as a typical program of life if is studied based on Bridge's concept where he clarifies that individuals undergo 3 stages of transition when they experience adjustment. 'End, losing and Releasing', The Neutral Zone and 'The New Beginning' (Bridges, 2004). When people are presented with adjustment, they get in stage one and so there might be feelings like despair, uncertainty, stress, rage, worry, rejection and also disorientation.The situation at the marketing division of Serena And Lily is comparable so Lewis can get comfortable with the concept that it is not amazing habits. In the second stage, there may be a requirement to connect the gap in between the new as well as old society so Lewis may need to encounter this experience once Krasnow leaves. There might be reduced morale as well as low efficiency at this stage which ought to not be taken as a problem. It is throughout this phase that Lewis will need to provide advice to the department to make sure that they can find an orientation. It can be seen how Krasnow has actually currently made this shift much easier by making Lewis obtain associated with the department a year prior to his actual departure. Based on Bridges' Design, phase three will bring about visibility to understanding, High energy and also commitment as individuals will certainly embrace the modification (Bridges, 2004).
Vrio Analysis
Abraham Maslow in his Concept of 'Demands Power structure' (appendix 5) has reviews the significance of 'safety requires as being a reduced level requirement of a human for setting off inspiration. As seen in the pyramid shared in appendix 3, we can see just how 'the requirement to feel safe and secure and also out of risk' is at the second degree of needs. Prior to a staff member can be made to establish emotionally, he needs to have his 'Physical 'and also 'Safety' requires fulfilled.

SWOT Analysis for Serena And Lily Case Study

Effects of Analysis.

The OB analysis has actually considered different concepts to comprehend exactly how to cope with the current situation at hand. The adhering to 3 alternatives have actually been recommended to help Lewis deal with the organizational difficulties in the advertising and marketing department. Each of these options has actually been proposed for alleviating the shift required to bring the advertising division in line with the requirements of the market and for making the cultural modification that would certainly follow when the present leader leaves.

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

Evaluation of Alternatives.

Assimilation of Marketing & Advertising And Marketing Functions: The in-house advertising and marketing agency of Serena And Lily is already toughness for the company in regards to conserving up on expenses associated with advertising and also promo. Given that no new recruitment has been done after Bridget Cole's separation with the coverage line being directly designated to Krasnow for the advertising function, this is a positive opportunity for integrating the advertising and marketing functions. Judith Shapiro that has actually earlier been interviewed by Lewis throughout the earlier merger days has experience in business-to-business advertising in addition to agency as well as retail advertising experience. As soon as Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising to take care of both marketing and advertising features.

The benefit of this strategy is that it will incorporate both functions while decreasing the demand for working with an extra source for marketing. Lewis would be heading the advertising department and in any kind of case her substitute would certainly be required for the existing function that she is carrying out. The drawback of this option is that outside hiring may bring about bitterness from internal employees who might be considering the setting of EVP after Lewis takes control of Krasnow's placement.

Separating Adverting and also Manufacturing: Provided the affordable pressures and premium quality work required from the advertising agency, it is suggested that Lewis ought to permit the production system to be a different function from the marketing unit. Given that many advertising agencies had these two features as separate devices, it makes more sense to adhere to the standard. Both functions might be able to focus on their core turns on more effectively. Nonetheless, the negative aspect of this method would certainly be that additional expenses would certainly need to be borne for establishing different manufacturing features. A production head may have to be hired which can raise overheads for the company.

Integration of Marketing with Operations: Since Lewis is currently taking treatment of the advertising and procedures divisions concurrently; it makes feeling to incorporate the two functions considering that she has actually been efficiently taking treatment of both ends. The reality that Lewis has to adjust her management design for the advertising and marketing division suggests that these 2 divisions would be culturally diverse.


An analysis of the three choices shows that integration of advertising and operations would not be a possible relocation as a result of the vast differences in between both divisions although that currently Lewis is managing both. While separation of the manufacturing feature may have been a desirable step for the advertising and marketing department, the fact that it would certainly imply putting a 3rd feature under Lewis's wing means this need to be avoided. The assimilation of the advertising division is the very best choice in regards to obtaining the optimum results from the department. An action prepare for this alternative is talked about below.

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

Marketing and advertising functions would certainly be combined.

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

Manufacturing feature will certainly remain component of marketing under marketing feature.

Lewis will certainly divide herself from procedures.

An autonomous leadership style with staff member empowerment will certainly be utilized in advertising and marketing department.

Open up door policy and focus on cross department communication will certainly be targeted at getting rid of dissonance.

Backup plan.

If the combination does not work out as planned, a backup strategy would certainly follow which would certainly separate the manufacturing feature from the advertising and marketing feature to lower the tons on the SVP of advertising and marketing. In case Judith Shapiro does not obtain worked with, Lewis will certainly be heading the advertising and marketing department without an SVP. In that case the manufacturing feature will definitely be divided by positioning it under an SVP manufacturing.