Key Issues At Cushy Armchair

771 Words May 21st, 2016 4 Pages
Key issues at Cushy Armchair:

Organization – Leadership: Though Alison Sampson has good business leadership skills, she has no cultural understandings. If the existing systems, structures and culture are not aligned with the new required behaviors, managers must adjust them. After her appointment in Cushy, she first needs to try to understand the organization culture and work culture. Instead, she decided to make the changes directly. Peter Drucker said strategic management is “analytical thinking [formulation] and a commitment of resources to action [execution]. CA’s strategic management is not in the form of analytical thinking and executions of the changes were failed.

Alison or Cabletronica didn’t do any kind of motivational analysis. Will employees accept the change? What is the predisposition of employees toward the change? Will they support or resist it? This is the single most important question to assess the organization’s readiness for change because high motivation leads people to acquire the needed skills and to exert the extra effort that contributes to success.

People – Culture – Autonomous Business groups: Cushy Armchair’s current organizational structure is decentralized and running by fully autonomous business groups in 17 countries. That means there are 17 managements independently working, or more likely 17 sub-organizations driving in CA and looks like there are two bosses. This is described in Marth’s book as, Matrix organization, a structure in…
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