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REV: APRIL 23, 2012
ROSABETH MOSS KANTER
MATTHEW BIRD
Pierre Frankel in Moscow (A): Unfreezing Change
In April 2007, Pierre Frankel – the Deputy Managing Director of Russia for H-IT, a global information technology company – reviewed résumés in search of a native Russian to help him lead the subsidiary’s turnaround. A French national, Frankel considered the fact that he was engaging in such an activity in his current office as a small but notable victory since arriving three months earlier.
Corporate executives had sent Frankel from the company’s headquarters in Zurich, Switzerland to
Moscow, Russia in January 2007 with the difficult task of turning around a top-priority subsidiary – while not holding the top position.
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and Indian companies. From 2003 to 2006, Frankel served as an executive assistant to the President of
Global Field Operations, and in late 2006 he was promoted to Vice President of Business Operations, reporting to the President of Europe, Middle East, and Africa (EMEA). At the time, EMEA operations were split into three regions – Southwest Europe, Northern Europe, and Central/Eastern Europe
(CEE). CEE was based in Zurich, Switzerland.
Shortly after taking the new role, the Managing Director of CEE asked Frankel to lead a strategic project to develop operations in Russia, an underperforming subsidiary which, despite vast market potential and technology talent, failed to meet revenue and profitability objectives. (See Exhibit 1.)
The H-IT Russia organization handled sales, marketing, distribution, and service for the country.
Most of its employees had technical backgrounds and there was some support staff. Frankel visited
Moscow several times in the fall of 2006 to craft the subsidiary’s business plan before presenting it to
EMEA and global executives. It was well received – so well, in fact, that it led to a new assignment.
In December 2006, a new EMEA President arrived. Russia remained a top priority, prompting the
Deputy MD of CEE to sell Frankel on the idea of leading an on-site growth project in Moscow.
Originally, Frankel was supposed to report to the Deputy MD of
SALES BUDGET: Budgeted unit sales Selling price per unit Total Sales April 65,000 10 650,000 May 100,000 10 1,000,000 June 50,000 10 500,000
accepted the position of CEO in August 1993. Quickly, he recognized the need to cut costs and increase brand
Please note that this Assessment document has 8 pages and is made up of 7 Sections.
The Daniel Gill, the chairman and CEO faces the possibility of changing the organizational structure of Europe, Asia/Pacific, and the Western Hemisphere. The current organization includes an International Division which oversees production and marketing for countries outside the United States. The goal of changing the organizational structure of these three regions is to increase sales growth internationally and decentralize responsibility away from headquarters to field operations.
Customer Operations Group, C. Greystone expressed frustration with his divisions’ performance—he has also stated, “We’ve been forced”; VP Northeast Region, B. Walker stated, “some branch managers seem to spend most of their time worrying about the new performance measurement system—the skills and attitudes on many levels are mismatched with our current needs”; Branch Manager M. Pauley asks, “Exactly who handles all the pieces of a sale like this”, Sales Team Member 3 stated the situation is getting depressing. The organizational behavior put forth by the CEO and the Research and Advanced Development Group manufactured an internal discontent with divisions and individuals. As a result, the needs of the Manufacturing and Marketing were not considered and retain the support needed to function. The lower level individuals in the these divisions were unfairly treated and disengaged from the goal of the company which lead to ambiguity of company clear and direct goals (accountability and responsibility); flawed construction of Business Units and Sub Units; mass confusion of consolidating; geographic displacement; lack of division communication; lack of training; and most importantly the lack of sharing product
He didn't work again until January 2012 when he began working at Connective Capital Management, LLC (Connective Capital) as a senior research analyst. The job posting stated that the senior research analyst would "lead research activities in technology and industrial sectors, with responsibility for all aspects including idea generation, technology/product review, business model and competitive analysis, primary research utilizing Connective's industry network, valuation modeling, and risk management". The job listing also stated a preference for candidates with MBAs from top
Aware of the need for action more visible than diplomatic maneuvering and concerned with the
In 2009, promoted to the position of Business Manager and entrusted with signature authority on contracts and checks. Responsbility highlights:
Management is the process of getting tasks done through the use of people. Through management decisions, our team will have one of the leading coffee shops within the BizCafe simulation. Within the management aspect of the company, we must first look at human capital, which are the skills, values, and overall output of an employee and the price at which these facets are worth. The managers of The Grind must delegate tasks through the serving staff of our company. The servers are the face of The Grind, meaning that it will be the servers who will interact to build strong customer relations with the guests of The Grind. However, there should be an efficient number of servers working on the clock at any given time throughout the day; The Grind should strive to always be properly staffed. If the shop is understaffed, customers will experience longer wait times, rushed customer interactions, and an overall subordinate experience; however, if the shop is overstaffed, each individual employee is most likely to give less production, and more importantly, our shop’s payroll will be out of proportion, meaning we will be spending too much money on labor. Wages also effect overall production from the employees. If we pay our servers too little, compared to the competition, we are likely to see less production, unhappy employees, and a large turnover rate. On the other hand, if we pay our servers too much, we risk blowing our weekly labor cap if our sales do not exceed the
The company transformation from private equity ownership with an immediate shift of CEO marked new challenges for the company. The company has been going through rigorous changes to keep up with the strong
Honicker Corporation is a USA based, successful dashboard manufacturer. It has opportunities for international expansion, but due to the ultraconservative culture it did not happened until they faced a change in management in 2009. Honicker was a rich company, and to expand, they took the short road and acquired four companies around the world: Alpha, Beta, Gamma, and Delta. There were two commonalities among these companies: they serviced mainly in their own geographical area, and senior management knew their geographical culture and hold good reputation with their stakeholders.
When new CEO, Jean-Marrie Messier took over the charge of the company, he started managing the company in his own way. Central to Messier 's new operating principles was that CGE must return to its core activities. Looking forward, his plan was to reduce the importance of Construction and Property while building the role of communications. Complete divestment from real estate had been eliminated as an option in the near term because Messier believed that the market would not allow a quick liquidation of these assets. Messier created alliances with cash rich partners to supplement CGE 's resources in fast growth areas with high capital requirements.
The positive outcome of this strategy is that the company is easy to control the market. It is because through the franchising, the local company needs to get the agreement contract from the main company. The local company can manage the local market well because it has already familiar with the cultural of that country. The negative outcome is that the local company didn’t follow the rules that have set by the main company and boycott them because they take control of the business.
In the cases analyzed, we might infer that during a period of economic difficulties companies had gone through deep discontinuity. As such, this determined the need for a turnaround to realign the companies’ strategies with the external and internal environment. These changes impacted the four companies analyzed previously.
The objective of this report was to analyze Vivint-Smart Home Solutions’ performance in terms of organisational culture, management and leadership styles and motivation and how organizations have been affected by them. In this report, we identified that Vivint has an association of Hierarchy and Market organisational culture, relationship-oriented and task-oriented leadership styles and servant leadership style. Moreover, it demonstrated that Vivint has intrinsic and extrinsic rewards. These resulted in successful and unsuccessful practices of Vivint based on the Undercover Boss TV series based on three aspects which have been mentioned above. In addition, this report critiqued the Undercover Boss method for discovering the problems within an organisation and recommended other processes for uncovering issues. The results showed that organisational culture, management and leadership styles as well as motivation played significant roles in Vivint’s performance. Recommendations have been made to improve the unsuccessful practices of Vivint such as training managers to be empathic problem solver, examining and updating the working condition regularly, bonus for employees who give feedback voluntarily on management processes and offering fund to employees who are in need of support.