Analysis
Alfa Laval is a leading global supplier of “specialized products and engineering solutions based on its key technologies of heat transfer, separation and fluid handling” (Alfa Laval Group, 2017b). Its mission is “to optimize the performance of (its) customers’ processes”, while its strategy is to “keep things simple and focus on cost-efficient solutions” (Alfa Laval Group, 2017c). Even though Alfa Laval may be categorized against the background of Mintzberg’s theory as a divisionalized form of organization, it fits this structural archetype merely in some respects. Henceforth, the purpose of the following analysis is to point out these divergences in context of their organizational origins and further challenges which the organization faces internally.
Alfa
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Significant diversity throughout its employee base of over 17,000 brings imminent challenges of cultural differences and linguistics (Alfa Laval 2017d). They have undertaken multiple acquisitions which materially heighten the amount of diversity to be handled by the HR department. Typically, the impact of a cross-border acquisition is negative with added communication difficulties, logistic problems and shared assumptions are found much harder to configure (Piekkari 2005). For instance, Alfa Laval acquired Norwegian company Frank Mohn AS in 2017, who withheld powerful market share in the manufacturing of pumping systems and shipping (Alfa Laval Group, 2017a). Piekkari (2005) discusses that combining companies often demotivates existing employees as they feel although relevant management are not transparent enough in the acquisition process and sense a surrender to a higher power rather than a positive marriage of equals. This then results in a decrease in important KPIs such as productivity and job satisfaction, which are often attached to increases in staff
Cathy did not see the shot coming and she never knew that it was the shot that hit her;
Our case study deals with Mass Merger. Since the 90s, together with the globalization of business, Mergers and Acquisitions have developed at an incredible pace. Thus, companies from all over the world can be lead to work together as one single corporation. Moreover, the world has become interdependent not only economically, but also culturally, that is to say one culture may influence another one or different cultures can be mixed. It is then obvious that intercultural issues have to be solved.
Brenda Gordon was injured when she attempted to exit from an elevator in the Hilton Hotel in Denver, where she was employed. The elevator door closed after
The immediate risk associating with the merger is concerning merging the two different cultures of Stonewall and Canadian Wallboard. During merger, culture shock may occur when key practices such as decision-making practices, compliance and autonomy, leader behaviors and management style, which define the way of working, dramatically change. Employees feel that their loyalty to companies are betrayed, and their status relationships are threatened. Culture shock will result in decreased productivity, lowered employee morale and trust to management, drained organizational adaptation, and less innovation. [8]
The company’s objective is to enable business and operational success through integrated world class solutions and development by utilizing the organizational restructure of the Engineering and R&D departments. Having a centralized organization with a decentralized engineering department makes meeting the company objective quite difficult. Also, if the company’s objective does not align with the department specific objectives Campbell Soup is setting their selves up for failure. Sales and Marketing are concerned with increasing market share and gaining profit, while the Plants are worried about operational performance, and Engineering is focused on individual parts of the system. In order to have a successful company
This case study describes an ice cream manufacturer, Compagnie du Froid S.A., founded by Jacques Truman’s father in 1985. It is a major competitor in the industry during summer and has presence in France, Italy and Spain. Compagnie du Froid practices decentralization in its organization, where each region is managed by a competent manager empowered to make business decisions in the best interest of the company.
The use of a case study analysis can help a student or group apply the best theory to an individual’s problems or issues. The green team will face the challenges as therapist to provide the necessary problem solving skills that may be suitable to this case study. Ana is the adult female in this case study who is face with different types of problems or issues. The green team will analyze the information, apply best theory, and provide results that will be appropriate for Ana’s major stressors. As there may be no wrong or right answer, it is the work of great minds
Some businesses in America transfer into bi-cultured after starting out as monoculture. This typically happens when one company buys out the other or they join each other and sub-merge. Every now and then this happens globally. Companies face changes when a merger takes place such as how the business will operate, wages, and or if there will be interference from the government. Once the merger has begun the rules are changed to better serve the company whether people are with it or against it. Company success stories are sent over to a list which is created called the Globe Project list. This list gives pointers and advice for globalized managers to practice based on several key items and characteristics required during a successful merger. Daft states, “Some of the characteristics are assertiveness, performance, and human orientation” (Daft, 2013 ).
Carlson Companies, a private company known for its existence in marketing, business, leisure travel, and the hospitality industries, has over 180,000 employees across the United States. Carlson Shared Services, the Information Technology (IT) division, provides services to its internal clients and thus must support a wide range of applications and services. In 2002, the IT division decided to implement a storage area network (SAN) that in turn would meet the six (6) goals established in order to meet the needs of a growing company.
The second major barrier to a successful merger between the two companies is a lack of corporate cohesion. The corporate cultures of both companies are very distinct. Royal biscuit is a new corporation that grew rapidly under the entrepreneurial expertise of one man, while Edeling is a mature family-owned business. The companies differ historically, politically and foundationally. Members of both corporations are expressing resistance towards the merger. Royal biscuit employees feel threatened by the merger and are engaging in anti-German antics; some workers don’t want to be loose their job to an Edeling worker or, in other words, to “some sausage-eater” (Reimus, B., 2004, p. 3). Edeling employees, instead, feel that Royal Biscuit employees don’t respect their corporate history. Therefore, it is imperative that Brighton and Wallach come to a cultural compromise in order to collaborate on a leadership plan and create competencies between employees within both of the
The business model of SAS is such that it in general it offers services coupled with software. Unlike typical firms in the industry it follows an annual software subscription model. Rather than sell its software, SAS leases to its customers - a strategy of immense importance in understanding the company’s relationship to its users. The fact that leases must be renewable annually creates a tremendous emphasis on customer satisfaction and quality in addition to stabilising its revenue. Furthermore, its products are made based on what customers require and its developmental process is almost wholly customer driven. There is also a strong focus on employee satisfaction leading to customer retention and loyalty which SAS
After reading the case of the “Paradoxical Twins Acme and Omega Electronics”, I found Both Acme and Omega produce similar products and offer similar services. Acme president John Tyler is a very tough going individual and he is portrayed to be an autocratic individual because there is one way communication in Acme. The case provides an opportunity to evaluate both Acme and Omega’s organization structure of a business. Both companies used to have the same organizational structure but after they were sold to different investors, as a consequence of this, each company has its own procedures and company
According to Miles et al. (1978, p. 547), an organization is both its purpose and the mechanism constructed to achieve the purpose. It means that the concept of organization is embracing both goals and all the elements that represent unique combination. Miles et al. (1978, p. 553) draws the conclusion that structure and the processes taking place inside the organization are closely aligned; it is hard to speak about one without mentioning the other. It is important to understand the conclusion drawn by Miles et al. (1978). It illustrates how the
The modern business culture must, by necessity, be fluid if it is to succeed globally. There is interaction between employees, between stakeholders, and between global environments. In fact, this environment is formed through multiple interactions between the strengths, weaknesses and opportunities presented through the organization's unique culture. Since truly the one constant in business is change, it is how we adapt to such changes; as individuals and part of groups, that helps manifest behaviors as he culture evolves. Indeed, many believe that one of the templates that make up this fluidity is the concept, even more popular in the late 20th and early 21st centuries, of mergers and acquisitions (Horibe, 2001).
High level of Productivity: Increasing productivity at the workplace has been one of the major challenges for managers and leaders and to the company in general. Due to the fact that every organization has its own unique company structure and objectives, different strategies may be used to challenge or address the company in order to increase productivity. One of those strategies involves adopting workplace diversity and managing it effectively. When management takes the welfare of its workers at heart by means of offering them proper compensation, health care and employee appraisal, it enables workers to feels they belong to the company irrespective of their cultural background by remaining loyal and hardworking which helps to increase the company’s productivity and