Modrow
Case Analysis
Instructions:-
- Should be written in 12 font, Times New Roman, double spaced with 1.0 margins.
- Citations must be included throughout the paper (APA format)
- Should be no less than 10 pages (reference page does not count)
- Case analysis must be submitted on Blackboard via Assignments tab by 5:59pm on due date
Introduction (5%) Provide a brief summary introducing the case and any relevant individuals.
The Problem Statement (10%) The problem statement should be a succinct statement of the main issue in the case. Be sure to separate the main issue (or “root cause” as W. Edwards Deming would label it), from symptoms of the problem. Try to make the statement in one sentence and clearly label it in your case analysis. If I can’t find it, you didn’t state it. In my experience of grading hundreds of cases, the more focused the problem statement, the more focused the analysis. These cases are often complex; you must identify the main issue and focus your problem solving on it. Show (later in your analysis) how solving this main issue will address other aspects (and/or symptoms) of the problem.
Alternatives (20%) The alternatives should directly relate to the problem statement. They can be creative, yet you must do a feasibility assessment of each. Pay attention to factors such as time, cost, and possible negative consequences. If you have a lengthy list of alternatives prune them to your best 4 or 5. You might also combine alternatives to produce a feasible set for analysis. In brainstorming alternatives, be sure to integrate material from the course (readings, lectures, and other material).
Analysis (25%) Your analysis should relate directly to the alternatives. Scrutinize each alternative in terms its pros and cons. In behavioral situations, it is rare that an alternative will have no negative consequences. Evaluate each in terms of strengths and weaknesses. Be willing to state the weakness of your alternative (even if it is your “favorite”). In this evaluation, be sure to integrate material from the course (readings, lectures, and other material).
Analysis (25%) Your analysis should relate directly to the alternatives. Scrutinize each alternative in terms its pros and cons. In behavioral situations, it is rare that an alternative will have no negative consequences. Evaluate each in terms of strengths and weaknesses. Be willing to state the weakness of your alternative (even if it is your “favorite”). In this evaluation, be sure to integrate material from the course (readings, lectures, and other material).
Decision (20%) Your decision should flow directly from the analysis above. It should be clear that one (or sometimes more) alternatives are preferable because they have more strengths and fewer weaknesses. If you have done an honest assessment, one course of action should emerge as the best, even in very difficult case situations where there seems to be no way out of difficult circumstances. The decision should be stated clearly, it should flow from the analysis and it should be the most feasible of the set evaluated in the analysis section. In justifying your decision, be sure to integrate material from the course (readings, lectures, and other material).
Action Plan (20%) Your action plan should be the implementation of the decision above. How will your decision be put into action? These recommendations should be clear, they should be practical, and take into account your earlier assessments of time, costs and possible negative consequences. This section is also an excellent place to integrate course material. Contingency plans (at least one) should be presented and ready in the event that the first course of action fails. These plans should also take into account time and cost factors. Your Action Plan should reflect material from the course (readings, lectures, and other material).
Solution
Case Analysis
Introduction
The case is about Modrow Company, the subsidiary of Tri-American Corporation based in Canada. The branch has 1000 employees whose primary function is fabricating aluminum. The advantages of Modrow are its location and the stable employees. The case focuses on Modrow’s expansion and modernization which the organisation did because of the estimated increase in the sales associated with building products. Dick Spencer is the newly appointed Modrow vice president, who has worked in some of Tri-American’s departments and locations for fourteen years. The employees are uneasy about Dick’s arrival in Modrow due to news about his performance as a ruthless leader. Dick finds Modrow challenging due to the ongoing changes. The case shows the mistakes that Dick makes in Modrow as he tries to introduce a new cost-reduction culture. Therefore, the paper will provide a critical analysis of the main problem identified in the case, alternatives for solving the problem, a detailed analysis of the options that focuses on the pros and cons. The paper will also contain a decision that will best address the problem and the action plan for implementing the decision.
The Problem Statement
The main issue in the case is Dick Spencer’s inability to manage Modrow as a unique entity that has different cultures and practices that are different from his other postings. In the past, Dick excelled in his various roles by using different personalities befitting the job. As a sales agent, Dick was friendly, warm, and resourceful thus his continuous success in his sales career. As a troubleshooter, he was ruthless and focused on change that would bring about remarkable results. In London, his position prevented him from making any massive changes despite his directives to upgrade the branch’s performance. He later became a plant manager in Birmingham where he operated ruthlessly, the same way he did as a troubleshooter, to get things done. He managed to change the losses experienced in Birmingham to profits thereby streamlining the operations to meet the objectives of the corporation. However, operations in Modrow were challenging because Dick arrived in the branch amidst modernization and expansion changes. There was not much he could change despite the process being expensive and resulting in massive losses. It was also difficult to execute new methods and objectives since Modrow had recently received a lot of changes and the employees were adapting to the new operations. Modrow, therefore, was a challenge to Dick because he inherited the problems that resulted from the modernization and expansion changes. It was difficult for Dick to come up with better ways of doing business because the branch had to adapt and implement the new changes enforced by the administration. It was also difficult to understand the operations and make decisions that would steer the branch it a profitable path. Additionally, the employees had an existing culture that determined how the employees conducted business. It was challenging for Modrow to introduce a new culture without causing confusion, unrest, and resentment from the leaders present in the branch.
Alternatives
As mentioned, Modrow is facing challenges regarding profits because of Dick’s poor management skills. His past success was a result of firing the employees who failed to meet the necessary standards, training and educating the employees who survived the process, and evaluating methods used and simplifying or redesigning them based on the goals. He also worked closely with various specialists to identify specific problems and take the necessary actions for addressing those problems. An example is his work with the controller who assisted him to realize profits by using cost control measures. However, Modrow is different because the branch has already experienced great change and the employees are in the process of executing those plans into actions.
Dick has two alternatives that may assist him in the proper management of Modrow. Firstly, he needs to change the way he conducts operations and relates to the employees in the branch. His behavior of going round the branch surveying operations and making a mental note of the mistakes to solve in future is causing unrest in the branch. He may view it as a way to come to terms with the operations and to relate more with the employees, but it is reaping negative characteristics like mistrust, anxiety, second-guessing of operations, and time wastage. A good example of the results of his actions is the lost focus by the managers, supervisors, and foremen who focus their time on getting ready for Dick’s visits and analyzing the meaning of the visits instead of working on their specific duties. These rounds have also resulted to disrespect by the employees who view him as wasting time on their operations instead of managing the employees. The actions have also resulted in wasting valuable time, and frustrations for both him and the employees. Additionally, Dick should engage the leaders more in his decisions and ask for their professional advice on issues about the branch. Dick focuses most of his energy trying to figure out how the workforce conducts operations which wastes time and causes frustration. He should channel that energy into engaging with the leaders and coming up with better plans and ideas that all leaders agree with and are ready to enforce. He should also give freedom and independence to the specialists to do their jobs and come up with possible ideas for the branch instead of trying to juggle all the operations, some of which he lacks competency in while trying to come up with good ideas for Modrow.
Secondly, he can change the culture practiced in the branch. There is a lot of discord and unaccountability among the various departments. One instance is when Dick asked the siding department manager why the workers involved in scrapping were not using the new method he suggested, and the manager referred him to the fore manager stating that each department had its way of doing tasks. Additionally, it appears that the culture of Modrow does not support new changes. Resistance to change is evident when the employees and foreman explain to Dick that they use the cutting method because it is how they have always conducted that task. The people are also resistant to change as seen by the scraping workers who resorted to using shears to cut strips instead of implementing the suggestion offered by the vice president. The employees also practice old cultures that are not healthy for the branch’s future. One instance is when one manager points out that Dick should remain in his office like other vice presidents instead of nosing around in the operations, and instead allow the employees to do their job. The sentiment shows that the employees focus on their duties and do not take the time to evaluate the branch as a whole and focus on the operations that need change. They view Dick’s rounds around the branch as offensive and of a spying nature, despite Dick’s genuine interest to look into the operations and bring about change.
Analysis
There are two alternatives which have the ability to fix the main problem in the case. The analysis section will scrutinize both alternatives by providing the advantages and disadvantages of both. The first alternative involves Dick changing the way he conducts business and his relations with his employees. The advantages of this alternative include Increased productivity. Once Dick explains to the employees the main reasons for his rounds, the employees will feel more at ease when he is around and focus on their jobs as opposed to performing tasks to please him. The employees will have the freedom and independence to perform their duties. They will also know that Dick respects them especially when he allows them to do their duties and provide recommendations for the way forward, instead of Dick trying to perform the duties done by the different departments. The employees will respect and trust Dick’s intentions. Also, the leaders will work together and come up with strategies that will result in productivity. Consequently, Modrow will start registering profits and will continue having a stable workforce. Dick will also be less stressed because he will focus on his duties thus find more time for his family. The employees will be more open with Dick and provide creative ideas of how to handle operations. The leaders will also support Dick in his role and ensure that the branch meets its objectives. The disadvantages of this alternative include: excessive freedom will result in arrogance by the employees thereby making it difficult to work together. Familiarizing too much with the employees may make them lose respect for Dick. Additionally, the employees may not trust Dick’s intentions fully thus not fully open up to the new changes.
The second alternative involves Modrow adopting a new culture. A change in culture will ensure that the employees are more accountable for the operations of the branch (Raineri, 2011). The previous practice that involves different departments doing their duties while not caring about other departments will stop. A new culture that promotes change will ensure that the employees embrace positive change and reduce resistance as evidenced in the case (Desson, & Clouthier, 2010). Also, a new culture will get rid of old practices that were not beneficial to Modrow and replace them with healthy practices that support achieving the objectives of the branch. A new culture will also improve the productivity of the branch, and form unity among the employees and the leaders. However, the alternative has some disadvantages. Incorporating the new culture will result into time wastage while the employees adapt to the new changes. The wastage of time may cripple some operations. It will also waste resources especially during cases of adopting changes that require financial investments. The employees may resist to the change thus make it difficult to implement. The change may not bring about progress to the branch. Also, making other changes to Modrow after the branch has faced modification may confuse the employees, and they may lose focus from enforcing the previous changes.
Decision
Despite the dire need of a culture change by Modrow, the most effective change is Dick changing the way he conducts business and his relations with his employees. The case shows incidents of employee mistrust, and Dick not involving himself in the budgeting process then insisting on the leaders and employees to enforce his personal interest of cost reduction. Dick also fails to inform the leaders about his plans or the mistakes the employees are making thus causing unrest in the branch. He also fails to consult with the leaders about the best way of doing operations. His actions have caused unrest, the leaders losing focus hence reduced productivity, and fear about job security especially because of news about Dick’s ruthless past. Once Dick changes the way he conducts business and his relations with the employees, Modrow will increase its productivity levels thus increased profits. The employees will also relax and focus on their jobs and will work independently and freely thus come up with innovative ideas for conducting their operations. There will also be unity among the leaders as they collaborate to meet organizational objectives.
Leadership affects employee motivation, productivity, and the future of businesses. Therefore, Dick needs to change his managerial and leadership skills so that Modrow can experience positive change. As previously mentioned, one of Modrow’s advantages was its stable workforce. Dick’s mode of management and leadership is, however, affecting the workforce and how they are doing business. The choice to take away the electric hacksaw and impose the new decision of bending the strips was dictatorial. There are other constructive ways to bring about change, like explaining to the employees the reason for making some decisions, providing proper training, and explaining the benefits that arise from some changes. Therefore, things in Modrow will better once Dick changes his way of conducting business.
However, the branch also needs to change its operations to progress, achieve productivity and make profits. Some operations are wasteful regarding wasting financial resources, consuming time, and wasting energy like how the employees conducted scrapping process. Failure to adapt to Dick’s methods showed ignorance, resistance to change, and disrespect to authority. Modrow’s culture requires change. Dick may change and become the best manager who understands and supports his employees, but a poor culture may prevent Modrow from flourishing. He should, therefore, change the culture practiced in Modrow as he changes how he conducts business.
Both changes will ensure that Modrow changes for the better. It will be pointless for a leader to adopt a better managerial perspective aimed at affecting positive change, to employees who still practice traditional practices. Dick should appeal to the employees to adopt a better culture to enable the branch to move forward. The new culture should accept change and aim at bringing about productivity to the branch. It should also respect the people in leadership positions and provide support that will assist the leaders to achieve their leadership roles. The culture should also promote cost reduction techniques and support all individuals who come up with ideas aimed at improving the organization. Eventually, Modrow will be united in achieving its objective since all employees will work together to achieve the organizational goals. Dick should, therefore, make individual changes about how he runs Modrow’s affairs as he concurrently changes the culture practiced in the branch. Such a decision will ensure that the entire branch changes for the better.
Action Plan
For Dick, the process of change is both an internal and external process. He should understand that employees fear when people in leadership positions follow closely on how they conduct their operations. The employees become restless, and this affects how they do their business. He should respect the leaders and contact them when operations are amiss. He can still conduct supervisory rounds but not in a way that causes unrest and tension in the branch. He should also learn that imposing demands on leaders on employees does not reap positive rewards. The employees end up resenting the leader, which is not good for development. He should then involve the leaders in coming up with the way forward for the branch. He can do this by informing the leaders that the performance of the branch is bad and that the top management is alarmed by the negative trend. Effective communication will make the leaders and employees understand the reasons for some of Dick’s actions. It will also provide an avenue for new strategies that the employees can use in realizing the goals of the branch and the organization (Robbins, Judge, & Hasham, 2009). Communication will also make it easier to engage with the vice president without any fears of being fired. Dick should also encourage the employees to come up with better ways of conducting business that will increase productivity while reducing costs (Kirchmer, 2011). Engaging the employees will make it easier to enforce any course of actions since it is their idea. The process will not waste any resources as it focuses on the individual change of the vice president, Modrow leaders, and the employees.
Similarly, Dick should explain
to the employees about the need for a new culture. He should explain the
disadvantages and results of the current practice. Dick should make the
employees understand that their resistance to change was one of the reasons why
the branch took time before fully embracing the expansion and modernization
process. He should also explain the benefits of a new culture and make the
employees give their suggestions. Involving them will make it easier for the
employees to embrace a new culture. Once everyone is on board, Dick should
involve the employees and their leaders in setting up the new Modrow culture.
The leaders can then finalize on the new culture and develop policies that are
in line with the new culture (Kreitner, &
Kinicki, 2012).
Management should then embrace the culture so that it can act as a role model
to the employees. Dick and the other leaders should encourage the employees to
practice the new culture. Management should not punish any employees who take
time to embrace the culture. Instead, management should be patient with the
employees to prevent any resistance. Eventually, the entire Modrow team will
have a set of new rules and policies that will define the new culture of the
branch. This action plan will ensure that Dick changes his management ways and
gets the support of the people. It will also ensure that Modrow changes its
culture. The cultural change process will not use any resources as it will
focus on changing the perception of the employees. It will also not waste time
because a good organizational culture will direct the branch in a positive path
while attaining its goals.
References
Desson, K., & Clouthier, J. (2010). Organizational Culture – Why Does It Matter?. Presentation, Symposium on International Safeguards International Atomic Energy Agency Vienna, Austria.
Kirchmer, M. (2011). High Performance Through Process Excellence (1st ed.). Berlin: Springer-Verlag Berlin Heidelberg.
Kreitner, R., & Kinicki, A. (2012). Organizational Behavior (10th ed.). Irwin: McGraw-Hill.
Raineri, A. (2011). Change management practices: Impact on perceived change results. Journal Of Business Research, 64(3), 266-272. http://dx.doi.org/10.1016/j.jbusres.2009.11.011
Robbins, S., Judge, T., & Hasham, E. (2009). Organizational Behavior (1st ed.). Harlow: Pearson Education Limited.
