Samsung Electronics Tv In An Era Of Convergence Case Study Solution


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Samsung Electronics Tv In An Era Of Convergence Case Study Solution

Background and Facts

Samsung Electronics Tv In An Era Of Convergence an office products store for little and also average sized services has just recently been associated with planning for a merger with its rival Residence Deport, which has actually impacted performance degrees in departmentswith the elderly manager involved in legal complications put forth by the federal Profession Compensation. With the Advertising Head advancing the information of his separation from the business in one year, Jeannie Lewis, the existing head of operations has been asked to take the role in the near future. With obstacles in the kind of a potential social adjustment and also low staff member morale, the organization is in need of a total reengineering effort at the marketing department.

Problem Declaration
Porter's 5 Forces Analysis
The potential cultural adjustment at the marketing department of Samsung Electronics Tv In An Era Of Convergence is enhancing uncertainty in the working environment resulting in different difficulties 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 function in impacting critical choices since Stapes Inc. needed to desert its strategies of combining with Workplace Deport after the Federal Trade Compensation's intervention while doing so. Provided the fact that the store has a global visibility with branches in UK, USA, Canada and also Germany, political consider each of these countries may be able to affect efficiency or strategic goals. Federal Profession Compensation's antitrust fit against the merger took up valuable time of the organization's senior monitoring recommending that 'political' factors can have serious effects for an international company.

Economic Factors: Financial factors such as the development of local business in the international situation recommend that Samsung Electronics Tv In An Era Of Convergence is flourishing in a setting where there is possible growth of companies. Reality that store clients are primarily looking for workplace materials for home offices recommends that the market has a climbing fad of entrepreneurs as well as house based companies.

Social factors: Social trends in the economic situation reveal that customers are looking for convenience as well as eye-catching rates. Marketing research demonstrates how the customer for Samsung Electronics Tv In An Era Of Convergence lacks understanding concerning finding solutions which can supply a mix of benefit and affordable.

Technological factors: Modern technology plays an important role in Samsung Electronics Tv In An Era Of Convergence's company technique particularly as the organization is piloting Technology centers which would offer innovation sales and assistance in the type of memory upgrades, outer installations. (Recap of PARASITE in appendix 2).

OB Issues and Manifestations.

Several underlying Business Behavior concerns can be seen in Samsung Electronics Tv In An Era Of Convergence's case as highlighted in this area.

Concerns about cultural adjustment: There is uneasiness regarding a cultural change that would certainly take place as soon as Todd Krasnow leaves from his placement as the Exec Vice President of Advertising with most of the employee currently revealing unhappiness over this potential step. This anticipated adjustment has developed tension in the office which has been coupled with the past stress of preparing the company for a prospective merger with House Deport.
Pest Analysis
Stressful Job Environment for Newcomers: There is shortage of workers that can match the stressful setting of a hectic company. Not just does this cause trouble in finding the ideal individuals, it puts anxiety on brand-new hires as can not withstand the rate and also pressure that the company anticipates them to birth.

Twin Reporting Lines: Newbies find this organizational society cumbersome as well as tough to deal with particularly as dotted line partnerships are implied to be weaker as a whole and unbiased setting and also efficiency analysis is still done by the solid line supervisor. This implies that newbies can shed quality regarding their respective functions and goals particularly as populated line reporting does not maintain them in direct communication with the strong line managers.

Bitterness From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower as opposed to Bridget Coles despite the fact that it had actually been speculated that the last would certainly take Krasnow's position came as an impact to her morale. Lewis may have been qualified and proper for the task but the fact that Kransnow's departure would make Coles a direct record to Lewis might have been the reason for Coles' resignation from services.

Fear & Task Insecurity: Worry as well as insecurity can be determined as two significant problems that Lewis would certainly be handling specifically as the merging has now be cancelled and also two elderly execs of the marketing division would be leaving. The entire obligation of the department would be dropping on Lewis's shoulders that would not simply be in charge of brining concerning a cultural modification yet would also have to show herself in her new role.

Inappropriate Administration Design of Leader: Lewis's management design and its conflict with the marketing division's role can also be seen as an OB obstacle specifically as she has been used to handling issues in the operations department where employees are taught to concentrate on procedures and obtain them. The advertising division on the various other hand can be seen as a team of people that are made use of to being nurtured by Krasnow who focused a lot more on outcome than processes.

Interdepartmental Arguments: Interdepartmental disputes between 3 divisions, marketing, merchandizing as well as operations specifically over the allowance 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 other 2 divisions pertaining to the aloocation of the marketing mix twoards promotions as well as advertsing, the merchandizing as well as procedures departments do not concur over the advertising and marketing mix allocation amongst one another either.

Fragmentation in Advertising Department: Disintegration between the advertising and marketing divisions can be determined as another OB concern which might need additional focus. The truth that the marketing and advertising areas in the advertising and marketing department are disconnected is preventing both departments from getting from each various other's experience and also experience. Integration of advertising and marketing with merchandising as well as procedures would certainly end up being more difficult if the advertising department itself is disintegrated which can be one more potential OB worry.

Samsung Electronics Tv In An Era Of Convergence Analysis

Different concepts have actually been utilized to explain the scenarios to get more quality about the scenario at hand.
Swot Analysis
McGregor's Theory X & Y: According to Douglas McGregor's Theory X, a lot of managers think that juniors are easy and also lazy, have little ambition and withstand adjustment. The tough version of this theory highlighted threat, limited controls, hazards as well as punishments. Over time it creates reduced performance, subtle sabotage as well as competition (Deal, 2003). The situation at Samsung Electronics Tv In An Era Of Convergence is not totally following Theory X, it can be seen that new hires are finding this environment rather stressful which might eventually lead to a higher inclination of the management towards Theory X. Based on McGregor's advocated view, which he called Concept Y, the necessary job of the management is to arrange organizational conditions to make sure that individuals can achieve their very own goals best by routing their initiatives towards business benefits. If people locate no contentment in their work, the administration would certainly have little selection however to depend on concept X as well as exterior control (Offer, 2003). Also while examining Lewis's monitoring design, concept X might have appropriated in the procedures department somewhat yet the Advertising and marketing department would certainly need dependence on Concept Y in order to get the creative thinking as well as creativity from the groups.

Tuckman's Team effort Concept: As for Lewis's problem about bringing harmony in between the advertising and marketing division is concerned, this would at first cause contrast as reviewed by Bruce Tuckman in his 'Synergy Concept'. (Tuckman, 1965). As per Tuckman's concept displayed in appendix 3, during the first phase of team advancement, people might not bond, as they are hectic discovering their area in the team. By combining the marketing and advertising department's work, there might be the same preliminary separate which can result in the 2nd stage of 'storming' where the teams test each other. However, it is just during the 3rd stage or 'norming' when they would collaborate to share ideas prior to the team can bring about harmony in the fourth stage 'doing'.

Bridges' Transition Version: According To William Bridge's theory (appendix 4), people are quite unpleasant with adjustment, which is noticeable by the circumstance at Samsung Electronics Tv In An Era Of Convergence The situation can be viewed as a regular course of life if is studied according to Bridge's theory where he clarifies that people go through 3 phases of change when they experience adjustment. 'End, shedding and Letting go', The Neutral Zone and 'The New Starting' (Bridges, 2004). When individuals are presented with modification, they get in stage one and so there might be emotions like sadness, unpredictability, irritation, anger, fear, denial as well as disorientation.The situation at the marketing department of Samsung Electronics Tv In An Era Of Convergence is comparable so Lewis can get comfortable with the suggestion that it is not phenomenal behavior. In the 2nd stage, there might be a need to bridge the void in between the new and old culture so Lewis may need to face this challenge when Krasnow leaves. There may be low spirits and also reduced efficiency at this stage which must not be taken as a problem. It is throughout this phase that Lewis will certainly need to offer advice to the division to make sure that they can discover a sense of direction. It can be seen exactly how Krasnow has already made this change less complicated by making Lewis obtain involved in the department a year prior to his actual separation. Based on Bridges' Version, stage 3 will certainly produce openness to knowing, High power as well as commitment as individuals will certainly embrace the modification (Bridges, 2004).
Vrio Analysis
Maslow's Requirement power structure: The OB concern pertaining to instability at the office has been set off firstly by the change in administration as well as secondly by the fact that the merging will certainly no more be started. Abraham Maslow in his Theory of 'Demands Hierarchy' (appendix 5) has discusses the significance of 'safety and security needs as being a lower degree demand of a human for activating inspiration. As seen in the pyramid cooperated appendix 3, we can see how 'the demand to really feel safe and secure as well as unharmed' is at the second degree of requirements. Before an employee can be made to develop psychologically, he requires to have his 'Physiological 'and 'Safety and security' needs fulfilled. This indicates that unless the workers are made to feel secure about their existing work status in Samsung Electronics Tv In An Era Of Convergence they may not reach 'Self-Fulfillment'. (King, 2009).

SWOT Analysis for Samsung Electronics Tv In An Era Of Convergence Case Study

Effects of Analysis.

The OB analysis has taken a look at numerous theories to comprehend how to cope with the present situation handy. The complying with three choices have actually been suggested to assist Lewis take care of the organizational challenges in the advertising and marketing department. Each of these alternatives has been suggested for reducing the change needed to bring the advertising and marketing division in line with the needs of the market and also for making the cultural modification that would comply with once the current leader leaves.

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

Analysis of Alternatives.

Judith Shapiro who has actually earlier been interviewed by Lewis during the earlier merger days has competence in business-to-business marketing along with agency and also retail advertising experience. When Krasnow leaves, Lewis can work with Shapiro as an EVP for advertising to manage both advertising and marketing and marketing features.

The benefit of this approach is that it will integrate both features while reducing the need for hiring an additional source for advertising and marketing. In addition to this, Lewis would be heading the marketing division as well as in any case her substitute would be needed for the current function that she is performing. The negative aspect of this alternative is that outside hiring might produce resentment from internal workers who may be considering the setting of EVP after Lewis takes over Krasnow's setting.

Dividing Adverting and Manufacturing: Offered the competitive stress and high top quality job called for from the marketing company, it is advised that Lewis must enable the manufacturing device to be a different feature from the advertising and marketing system. Considering that the majority of marketing agencies had these two features as separate systems, it makes even more feeling to adhere to the standard.

Integration of Advertising And Marketing with Workflows: Because Lewis is already taking treatment of the advertising and marketing as well as procedures departments at the same time; it makes feeling to incorporate the two functions given that she has been successfully taking care of both ends. The truth that Lewis has to adjust her management style for the advertising and marketing department recommends that these 2 departments would certainly be culturally varied.


An assessment of the 3 choices suggests that combination of advertising and also operations would not be a practical relocation due to the substantial distinctions between the 2 departments despite the truth that presently Lewis is dealing with both. While separation of the manufacturing feature might have been a favorable move for the advertising department, the truth that it would suggest positioning a third feature under Lewis's wing implies this need to be prevented.

Action Strategy.
Lewis will certainly take over the function of EVP Advertising after Krasnow leaves.

Advertising and Marketing functions would certainly be combined.

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

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

Lewis will certainly divide herself from operations.

An autonomous management design with worker empowerment will certainly be made use of in marketing department.

Open up door policy as well as emphasis on cross departmental interaction will certainly be aimed at eliminating disharmony.

Backup strategy.

If the integration does not exercise as prepared, a backup strategy would follow which would certainly divide the manufacturing function from the advertising feature to decrease the load 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 certainly be divided by placing it under an SVP production.