My target in this newspaper is to analyze Sunflower Offered with respect to organizational size and composition, bureaucracy, and control and make tips for improvement in communications along with suggestions regarding the potential use of information technology for proper advantage. Sunflower Inc. is known as a large syndication company that purchases and distributes snack foods and liquor to stores throughout the Us and Canada.
The organization provides one hq and twenty two regions. Each region is encouraged to be independent to accommodate neighborhood tastes and practices. Competition is very extreme in the industry and Sunflower Inc. is unable to respond to market changes. The organization can be characterized as a bureaucracy in the formalization stage of the organizational life routine. According to the textbook, the formalization stage consists of the unit installation and use of rules, procedures, and control systems.
Through the current level of the company life routine and to boost its technology, increasing profits, and standardizing business tasks, a standard financial reporting system is executed that in comparison sales, costs, and income across business regions. Every single region was obviously a profit centre and the program showed that profits various extensively. Top rated management made the decision that standardization was required and initiated its costs and purchasing methods to be official. The company confronted the challenge of how to restructure to survive the competition and how to try this while functioning as both equally a large and small company.
Joe Steelman, chief executive of Sunflower, Inc., chosen Loretta Williams to be the movie director of charges and purchase. Your woman reported to Peter Langly, vice president of finance. Loretta Williams made a decision to use bureaucratic control by making use of new types of procedures. She sent out e-mails towards the financial and buying executives in each area notifying them of the new procedures. The challenge with William’s approach is the fact she ignored recommendations that Peter Langly had directed at her. Langly suggested that, although the e-mails were a good option, they may not be enough.
The locations were accustomed to decentralized decision making and Langly suggested that Williams should visit the locations and talk about purchasing and pricing policies with the professionals. He as well suggested it will be beneficial to wait to implement the procedures till after the annual company conference when Williams could meet the regional directors personally. Williams did not notice Langly’s recommendations and thus did not establish genuine authority the requirement of the bureaucratic control strategy.
William’s failed to create relationships with regional leading managers and found it difficult to implement her new types of procedures. With a standardized financial credit reporting system integrated that compared sales, costs, and earnings across business regions, a market control system may have allowed managers to review prices and profits and use this form of control’s requirement of exchanged relationship to evaluate and maximize possibilities in the market along with keep up with competition.
Top managers were linked to headquarters by an intranet. This form of networking backlinks people and departments in a company to share information and cooperate on projects. This kind of medium would be appropriate for most employees to acquire access to in order to improve inside communications. This will also be appropriate for communicating fresh procedures upon pricing and buying to employees. E-mail and blogs are very important web tools to accommodate collaboration among colleagues and to declare new staff.
Williams can take Langly’s ideas of visiting the regions and establishing human relationships with the executives to establish genuine authority by simply getting to know the organization’s personnel and to are more familiar with the business structure. This will help help changes that are necessary to confront problems and establish goals to remedy the down sides. Sunflower Inc. already comes with an intranet in position but can easily utilize external applications of IT to strengthen external coordination with customers, suppliers, and companions and add strategic value.
A approach should be to extend the corporate intranet to include customers, suppliers, and associates by the use of a great extranet. A great extranet is usually an external communications system that uses the net and is shared by agencies by making selected data offered to the different organizations that are sharing the extranet. Extranets play a crucial role inside the concept of integrated enterprise simply by allowing businesses to synchronize within the interior and the external environment. The usage of an intranet and an extranet will ensure that almost all regions are using the same top quality of products and stablishing a top quality brand that will help in the competitive marketplace. The use of information entrave, horizontal interactions, and consumer relationship management are methods to implement alter by the use of i . t to afford strategic advantage. As well, a market control system permits managers to compare prices and income and permits evaluation in the efficiency of each region and this involves employing a detailed research of the industry’s ability to take full advantage of its marketplace opportunities