Allentown Materials Corporation

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Running Head: ALLENTOWN MATERIALS CORPORATION Allentown Materials Corporation: The electronic products division María Alejandra Ferrer Southern States University 1 ALLENTOWN MATERIALS CORPORATION 2 Abstract In July, 1992 Don Rogers, the Vice President and General Manager of the Electronics Products Division (EPD) at Allentown Materials Corporation found himself on a very difficult position. Conflicts related to leadership and cultural organization were blocking his administration and the division`s objectives were not accomplished. In this paper it is proposed a vision to analyze this case, it is described the problem, its causes and it is outlined an action plan to counteract the situations that are affecting the…show more content…
The Diagnosis The nature of the problems seems to have its origins in the organizational culture and in the shift from the Bennet leadership to Rogers` one. The situation could be synthetized into 4 main causes: Informal organizational culture, shift in leadership styles, Roger`s mistakes, and disconnection between the division`s departments. Proof of causes Informal organizational culture: Ellet`s (2007) states: Thus, most divisions could discuss business problems face-to-face basis; the corporation operated like a relatively close-knit family…People at all levels and from diverse parts of the corporation interacted informally. (p. 184). ALLENTOWN MATERIALS CORPORATION 4 One of the serious problems that Roger faces is how informal the communications could be among the departments of his division so this brings a lot of problems with hierarchies, and decision making processes. The formal and informal discussions were placed in the same scenario and the orders, shipments, sales requests may be placed or discussed in an informal basis. The division was created and raised in Bennet`s nest so his influence was very strong and the EPD division culture differs a lot from the rest of the corporation. The discussions raises in a very informal environment where there is not hierarchy and the relationships among departments are too familiar. The division`s cultural relationship was created to fit Bennet`s
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