Describes fact that company is moving into new product lines

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Reference no: EM131265441

PLEASE REBUTTAL AND ANSWER EACH OF THE FOLLOWING QUESTIONS OR POST STATEMENTS. MUST BE 150 WORDS (PLEASE), WRITE IN 3RD PERSON. ONLY ONE REFERENCE CAN BE USED FOR EACH ANSWER. MUST BE 150 WORDS (PLEASE), WRITE IN 3RD PERSON.PLEASE MAKE SURE TO USE SCHOLARLY PEER REVIEWED ARTICLESAND PLACE EACH REFERENCE USED UNDER EACH ANSWER.

DQ 1

As we learned in our lecture this week, organizations often fail to have the adequate time for strategic planning. Perhaps that in and of itself paves the road to disaster when our activity no longer meets the organizational strategy or goals. Phan, Baird, and Blair (2014) found that activities based management success directly correlated to organizational life cycles through activity analysis and activity cost analysis. Using this hierarchy, they concluded that activities based management can assist in identifying the organizational life cycle. Simply put, this analysis enabled association to the activities with the overall resources output. While this method may not equal strategic planning and goal setting, it does offer an opportunity to outline where the organization is at through analysis of activities. But one may argue that is not enough.

As a real world example, I am nearly ready to publish the five-year strategic plan for my organization. First, this has required time and input to include identified measures of performance and effectiveness along the way. Additionally, since my organization does operate within an open system as we discussed this past week, there have been several influences among stakeholders to ensure that our overall effort nested with the overall planning scope of the entire Air Force. The overall weakness in organizational life cycle can surround itself around the inability to assess where an organization exists. Planning will incorporate constant assessment into the overall organizational goals consistently can help quickly identify the organizational life cycle.

Phan, T. N., Baird, K., & Blair, B. (2014). The use and success of activity-based management practices at different organisational life cycle stages. International Journal Of Production Research, 52(3), 787-803. doi:10.1080/00207543.2013.839893

DQ 2

According to the information provided in the case of Dell, this company, was once the top makers and suppliers of the personal computer and today the organization is ranked third behind two other companies. While still in the top three makers of PC in the US, the information provided shows clearly that there has been some decline. While no information was provided about its exact position of profitability and market share, from the information one could conclude that there must be some erosion in both aspects. Clearly if a company is slipping its sales must be declining, its market share would obviously be affected and its profitability.

No information was provided about what it is which has caused this decline in the organization but its growth has been stunted probably because it has reached the zenith of its beaucratization. In addition, excess beaucracy causes organizational inflexibility, and such organizations lose some innovative capacity, and or its marketing strategies. May become ineffective. The analysis would seem to suggest that the organization is at the fourth stage of its life cycle as organizational decline, lack of profitability, decline in market share are all symptomatic of an organization in its fourth stage of development. Lester and Parnell (2008)

The literature also describes the fact that the company is moving into new product lines and is thinking of Divisional structures to increase innovation and flexibility. This is also congruent with daft (2016) description of an organization in its last stage of development.

The question is whether the movement to return to the organization's entrepreneurial roots by affording divisions a level of autonomy a wise move? Clearly, the use of a divisional approach typifies a company or organization which is trying to redevelop and to change. Clearly, a less beaucratized, and loose structure facilitates innovation, and flexibility to respond to an organization's environment and if the new product lines that the company hopes to be involved in can be facilitated by this new approach to enable the organization to capture a sizable market share, then there is no reason why it should not pursue that strategy.

Refences

Daft, R.L. (2015). Organization theory and design (12th ed.) Mason, OH: South-Western, Cengage

Lester, D. L., & Parnell, J. A. (2008). Firm size and environmental scanning pursuits across organizational life cycle stages. Journal of Small Business and Enterprise Development, 15(3), 540-554. doi: https://dx.doi.org.lopes.idm.oclc.org/10.1108/14626000810892337

DQ 3

While Dell, Inc. remains a top contender in the computer industry, the past few years have experienced some decline and need for revitalization within the organization has seen a need to return to autonomy. Since Dell is a mature company, it exists primarily in the elaboration phase where decline has demonstrated the need to return to its roots by affording a level of autonomy (Daft, 2015). Over the year, the organization likely saw the need for control to ensure that the quality of product remained consistent, yet the control stifled the organizational construct. While the move to its roots is an admirable move, Dell Inc. will need to ensure that it conducts assessments within the strategic plan to ensure that the organization continue growth and maturity. In this case, Dell Inc. can adopt an activities-based management practice to assess how the organization continues to move forward while enabling an entrepreneurial spirit (Phan, Baird, and Blair, 2014).

Daft, R. L. (2015). Organization theory and design (12th ed.) Mason, OH: South-Western, Cengage Learning. ISBN-13: 9781285866345

Phan, T. N., Baird, K., & Blair, B. (2014). The use and success of activity-based management practices at different organisational life cycle stages. International Journal Of Production Research, 52(3), 787-803. doi:10.1080/00207543.2013.839893

DQ 4

Dell, Inc., is a top contender in the computer industry, but one thing I respect is that they recognized where they were in the lifecycle of the organization and had a strategic plan in place on how to revitalize the organization. The key idea is knowing your company's strength, understanding the market and environment and having a strategy in place as to how to address the problem. The initial start-up was with "entrepreneurial roots" and to revisit that design will be a wise move. Dell, Inc. CEO and top manager had open communication and their plan on how to resolve the problem is being aware of their rivals. In the computer industry organizations can't stifle the construct. With social media, internet and myriad of ways to communicate it was wise to assess the situation and have a stratetgic plan in place to be able to revitalize the organization. One important aspect that you noted Shawn is that they do need to move forwards with the entrepereneurial spirit but still have flexibility in place to assess the move for any problems with that decision. Daft, 2015 infers that organizations need to interpret the needs of a growing organization and respond to those systems that will carry and sustain the organizations in times of decline or tthreats to their growth. All of this involves planning strategically, follow-up and communication at all levels.

Reference no: EM131265441

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