Organisational Design and Change Essay Example | Topics and Well Written Essays - 2000 words

Organisational Design and Change - Essay Example Secondly, the framework makes clear of the choices and the plans an organisation makes and evaluation is easier. For instance, if a company pursued a strategy earlier, the executive can look at the result against the set framework to see whether the plan worked or not. This is beneficial because it provides vital information on sales (Hamel, n.d.). Thirdly, through the SWOT tool, the decision made becomes visible throughout all level of management. An SWOT analysis which establishes organisation’s strengths and weaknesses together with peripheral threats and prospects it faces. These modalities help executives generate strategies to utilise strengths or curtail weaknesses to rip the opportunity and shun risks (Eisenhardt, n.d). On the other hand, adherence to a specified strategy enables managers, first to build a shared collective intuition that augments the capacity of the top administration team to spot risks and opportunity more rapidly and more precisely. It also stimulates rapid conflict to advance the quality of strategic judgement without sacrificing considerable time and maintaining disciplined swiftness to oblige the decision course to a well-timed termination. Politically, the tax imposed on farmers in the countries producing the coffee essentially means that as by 2013, the Starbucks pays a huge price for all the coffee they procure. Therefore, any imposition or changes in taxation levels in the company are all passed to the consumers. For instance, if other countries revenue authorities impose a tariff it not only outcomes in loss of efficiency for Starbucks, but also enormous income transfers can turn incoherent with equity. Economic: An increase in interest rates derails Starbucks expansion strategies thus resulting in declining sales for Starbucks and sales of their suppliers. Consequently, if the nation where Starbucks of located is experiencing slows growth,

Case study Example | Topics and Well Written Essays - 500 words - 114

Case Study Example It specializes in the manufacturing of new glass products. This has contributed to the company’s outstanding reputation in the glass and ceramics markets over the years. This corporation has eight line divisions one of them being the Electronic Product Division (EPD) which focuses on the production of electronic resistors and capacitors. Under the leadership of Don Rogers, who is the Vice President and general manager of the division, EPD’s performance has steadily improved despite its decline in 1991 and 1992. One significant achievement of this unit is that it successfully managed to distribute its products to Original Equipment Manufacturers (OEM) due to its research and development strength. This factor opened new opportunities for the division that contributed to its growth. The growing market of the telecommunications industry is another factor that has led to the division’s growth because it has provided a ready market for products. EPD has been able to maintain competitive advantage because of its ability to respond to customers’ needs by introducing new products that are of high quality. There are various risks the division has been forced to take due to the uncertain business environment (Robertson & Caldart, 2009). The division’s leadership has further steered it to a higher level. Joe Bennett, for instance, used his management style to influence positively organizational behavior. His leadership led to group effectiveness and inter-functional coordination. Rogers, on the other hand, made sure the organization employed professional employees. The company’s success has however not gone without challenges. For example, it reached a point when EPD experienced a lack of growth. Their dollar volume dropped because of price cuts. This forced the management to reduce costs so as to maintain the gross margin. Despite these efforts the gross margin still reduced. As a result, the sales and marketing departments were blamed. The