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The Dark Side Of Information Technology Case Study Analysis

CASE SOLUTION

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Background and Facts

The Dark Side Of Information Technology an office products merchant for small and also medium sized services has actually lately been involved in preparing for a merger with its competitor Home Deport, which has impacted performance levels in departmentswith the senior supervisor involved in legal problems put forth by the government Trade Payment. With the Marketing Head advancing the information of his departure from the company in one year, Jeannie Lewis, the existing head of procedures has been asked to take the role in the near future. With obstacles in the kind of a possible social adjustment and also reduced worker morale, the organization requires a full reengineering effort at the advertising department.

Problem Statement
Porter's 5 Forces Analysis
The possible social modification at the marketing division of The Dark Side Of Information Technology is boosting unpredictability in the working environment resulting in numerous difficulties for the Jeannie Lewis who would certainly be changing the head of the department in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant duty in affecting tactical decisions considering that Stapes Inc. needed to desert its plans of combining with Office Deport after the Federal Profession Compensation's treatment at the same time. Given the fact that the store has a global visibility with branches in UK, UNITED STATES, Canada and Germany, political factors in each of these countries might be able to influence performance or critical objectives. Federal Profession Payment's antitrust suit against the merging used up useful time of the organization's elderly monitoring suggesting that 'political' factors can have major ramifications for a worldwide business.

Economic Factors: Financial factors such as the introduction of local business in the global situation suggest that The Dark Side Of Information Technology is prospering in an atmosphere where there is possible development of services. In addition to this, reality that shop consumers are mainly looking for office products for home offices suggests that the market has a climbing trend of entrepreneurs as well as home based companies.

Social factors: Social trends in the economy reveal that customers are seeking benefit as well as eye-catching rates. Marketing research shows how the consumer for The Dark Side Of Information Technology lacks understanding concerning discovering services which can provide a combination of ease and also inexpensive.

Technological factors: Innovation plays a vital role in The Dark Side Of Information Technology's company approach specifically as the company is piloting Technology facilities which would use technology sales as well as assistance in the kind of memory upgrades, outer setups. (Summary of INSECT in appendix 2).

OB Issues as well as Symptoms.

Numerous underlying Organizational Actions issues can be seen in The Dark Side Of Information Technology's case as highlighted in this section.

Worries regarding social change: There is concern concerning a cultural modification that would happen when Todd Krasnow leaves from his position as the Executive Vice Head Of State of Advertising with a lot of the staff members already showing discontent over this possible step. This expected adjustment has actually created anxiety in the work environment which has actually been coupled with the past tension of preparing the firm for a possible merger with Residence Deport.
Pest Analysis
Stressful Job Environment for Newcomers: There is scarcity of personnel that can match the difficult setting of a fast-paced organization. Not just does this lead to difficulty in locating the right individuals, it places stress on brand-new hires as can not stand up to the speed as well as pressure that the organization anticipates them to birth.

Dual Reporting Lines: Novices find this business culture troublesome and tough to handle specifically as populated line relationships are suggested to be weak generally and unbiased setup and also performance assessment is still done by the solid line supervisor. This implies that novices might lose quality concerning their particular duties as well as objectives especially as populated line coverage does not maintain them in direct communication with the strong line supervisors.

Bitterness From Cross Departmental Hiring: Krasnow's decision to make Lewis his follower instead of Bridget Coles despite the fact that it had been guessed that the last would take Krasnow's setting came as a blow to her spirits. Lewis might have been capable and also appropriate for the work but the fact that Kransnow's departure would make Coles a straight record to Lewis might have been the factor for Coles' resignation from services.

Worry & Task Instability: Fear as well as insecurity can be determined as 2 significant concerns that Lewis would certainly be dealing with specifically as the merger has actually currently be cancelled and 2 senior execs of the advertising and marketing department would certainly be leaving. The whole duty of the department would be falling on Lewis's shoulders who would certainly not simply be in charge of brining about a social adjustment yet would additionally need to confirm herself in her new duty.

Incompatible Management Design of Leader: Lewis's monitoring design and its conflict with the advertising division's duty can likewise be seen as an OB difficulty especially as she has been utilized to managing issues in the operations department where workers are shown to concentrate on processes and also get them. The advertising department on the other hand can be seen as a team of individuals who are used to being nurtured by Krasnow who focused more on output than processes.

Interdepartmental Disagreements: Interdepartmental disputes in between 3 divisions, marketing, merchandizing and operations respectively over the allotment of the marketing mix can be determined as an additional OB problem. Although the advertising and marketing division does not share the same vision as the various other two divisions pertaining to the aloocation of the marketing mix twoards promotions as well as advertsing, the merchandizing and also operations departments do not concur over the advertising and marketing mix allotment among one another either.

Fragmentation in Advertising Department: Disintegration in between the advertising and marketing departments can be determined as another OB problem which can require further focus. The truth that the marketing and advertising sections in the advertising division are separated is avoiding both departments from acquiring from each other's experience as well as knowledge. Integration of advertising and marketing with merchandising and operations would end up being more difficult if the advertising department itself is broken down which can be one more potential OB problem.

The Dark Side Of Information Technology Analysis

Various theories have actually been used to discuss the situations to obtain more clarity about the circumstance at hand.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Theory X, the majority of supervisors think that juniors are passive and also careless, have little passion and withstand change. The hard variation of this concept highlighted coercion, limited controls, hazards as well as penalties. In time it creates reduced performance, refined sabotage and also rivalry (Deal, 2003). Although the circumstance at The Dark Side Of Information Technology is not completely adhering to Concept X, it can be seen that brand-new hires are finding this setting instead difficult which may ultimately result in a better disposition of the administration in the direction of Theory X. As per McGregor's advocated sight, which he called Concept Y, the important job of the monitoring is to prepare business conditions to make sure that people can accomplish their very own objectives best by guiding their initiatives in the direction of organizational rewards. If people discover no contentment in their work, the management would certainly have little selection however to depend on concept X and outside control (Bargain, 2003). Also while analyzing Lewis's administration design, concept X might have been suitable in the procedures division somewhat yet the Advertising and marketing division would certainly require dependence on Theory Y so as to get the creative thinking and originality from the groups.

Tuckman's Synergy Theory: As much as Lewis's worry concerning bringing harmony between the advertising and marketing as well as advertising department is concerned, this would originally lead to clash as talked about by Bruce Tuckman in his 'Team effort Concept'. By incorporating the advertising and advertising department's work, there may be the exact same preliminary separate which can lead to the 2nd phase of 'storming' where the groups test one an additional.

When individuals are presented with change, they enter phase one and also so there might be emotions like unhappiness, uncertainty, frustration, anger, anxiety, denial and also disorientation.The situation at the advertising division of The Dark Side Of Information Technology is comparable so Lewis can get comfortable with the idea that it is not phenomenal behavior. It is during this phase that Lewis will certainly have to offer support to the division so that they can find a sense of instructions. It can be seen exactly how Krasnow has actually currently made this change less complicated by making Lewis get entailed in the division a year before his real departure.
Vrio Analysis
Abraham Maslow in his Concept of 'Requirements Hierarchy' (appendix 5) has discusses the relevance of 'protection requires as being a lower degree need of a human for triggering inspiration. As seen in the pyramid shared in appendix 3, we can see how 'the requirement to feel protected and also out of risk' is at the 2nd level of needs. Before a staff member can be made to develop emotionally, he requires to have his 'Physiological 'and also 'Security' needs fulfilled.

SWOT Analysis for The Dark Side Of Information Technology Case Study



Implication of Analysis.

The OB analysis has taken a look at numerous concepts to understand just how to handle the present situation handy. The following three alternatives have actually been recommended to aid Lewis handle the organizational obstacles in the marketing department. Each of these alternatives has actually been recommended for reducing the change required to bring the marketing department according to the needs of the market and also for making the social adjustment that would adhere to once the existing leader leaves.

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

Assessment of Alternatives.

Combination of Advertising & Advertising Functions: The internal advertising and marketing firm of The Dark Side Of Information Technology is currently strength for the organization in regards to conserving up on expenses related to advertising and also promo. Because no brand-new recruitment has been done after Bridget Cole's departure with the coverage line being straight assigned to Krasnow for the marketing feature, this is a positive possibility for integrating the advertising and marketing features. Judith Shapiro who has actually earlier been talked to by Lewis throughout the earlier merging days has knowledge in business-to-business advertising and marketing along with agency and also retail marketing experience. As soon as Krasnow leaves, Lewis can employ Shapiro as an EVP for marketing to deal with both advertising and marketing functions.

The advantage of this approach is that it will certainly incorporate the two functions while decreasing the need for working with an added resource for marketing. Lewis would certainly be heading the advertising division and in any kind of case her substitute would be needed for the current function that she is carrying out. The disadvantage of this option is that external hiring may bring about animosity from inner personnel who may be eying the position of EVP after Lewis takes over Krasnow's placement.

Separating Adverting and also Manufacturing: Provided the competitive stress as well as top quality work called for from the ad agency, it is recommended that Lewis ought to allow the manufacturing device to be a different feature from the advertising and marketing system. Because a lot of ad agency had these two features as different devices, it makes more sense to comply with the norm. Both features may be able to concentrate on their core activates a lot more successfully. The negative aspect of this strategy would be that additional expenses would certainly have to be borne for setting up separate production functions. A production head may have to be hired which could boost expenses for the company.

Integration of Advertising with Workflows: Considering that Lewis is already caring for the marketing and also procedures divisions concurrently; it makes sense to incorporate both functions given that she has actually been effectively caring for both ends. The fact that both divisions currently have major distinctions over allowance of sources recommends that this combination might have the ability to cause harmony specifically as Lewis would be heading both ends.However there are various negative aspects of this move specifically as it would certainly put way too much concern over Lewis's shoulders. The truth that Lewis has to adapt her monitoring design for the marketing division recommends that these two divisions would be culturally diverse. In addition to this, Lewis may not have the ability to apply one sort of leadership style to both departments which could result in inefficiency in either one of the two features.

Recommendation.



An examination of the 3 alternatives indicates that assimilation of marketing as well as procedures would certainly not be a possible relocation due to the large distinctions between the two departments in spite of the reality that presently Lewis is managing both. While separation of the production feature may have been a favorable move for the advertising division, the truth that it would certainly suggest positioning a 3rd function under Lewis's wing suggests this must be stayed clear of.

Activity Strategy.
Recommendation
Lewis will take control of the duty of EVP Advertising after Krasnow leaves.

Advertising and Marketing features would be combined.

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

Manufacturing function will continue to be part of marketing under marketing function.

Lewis will certainly divide herself from operations.

An autonomous management style with worker empowerment will be used in advertising department.

Open door policy as well as focus on cross department communication will be focused on getting rid of discord.

Backup plan.

If the assimilation does not exercise as intended, a contingency plan would follow which would separate the manufacturing feature from the advertising and marketing feature to lower the lots 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 division without an SVP. In that case the production feature will most definitely be divided by positioning it under an SVP production.