Company X is facing a lot of problems these days. It manufactures white goods like washing machines, microwaves, refrigerators, and air conditioners. The company's margins are under pressure and the profits and market share are declining. The production department blames the marketing department for not meeting sales targets and marketing blames production department for producing goods, which are neither of good quality nor meeting, customers expectations. The finance department blames both the production and the marketing department for a declining return on investment and bad marketing.
Which quality of management do you think the company is lacking? Explain briefly. What steps should the company's management take to bring the company back on track?
Company X is facing a lot of problems these days. It manufactures white goods like washing machines, microwaves, refrigerators, and air conditioners. The company's margins are under pressure and the profits and market share are declining. The production department blames the marketing department for not meeting sales targets and marketing blames production department for producing goods, which are neither of good quality nor meeting, customers expectations. The finance department blames both the production and the marketing department for a declining return on investment and bad marketing.
Which quality of management do you think the company is lacking? Explain briefly. What steps should the company's management take to bring the company back on track?
Coordination is missing in Company X. All the departments are not coordinating with each other and that is why they end up in blaming each other for the poor performance.
To bring coordination, management should take the following steps:
(i)After the goals are established, it should be communicated to all departments well in advance to understand its importance and their specific roles.
(ii) Managers ensure that all departments coordinate with each other.
(iii) Whenever there is a difference of interest, the managers should try and strike a balance so that they all work in the same direction.
(iv) Meetings between the departmental heads of production, marketing, finance, etc, should be organised on a regular basis and in routine to solve problems when they emerge.
Coordination is missing in Company X. All the departments are not coordinating with each other and that is why they end up in blaming each other for the poor performance.
To bring coordination, management should take the following steps:
(i)After the goals are established, it should be communicated to all departments well in advance to understand its importance and their specific roles.
(ii) Managers ensure that all departments coordinate with each other.
(iii) Whenever there is a difference of interest, the managers should try and strike a balance so that they all work in the same direction.
(iv) Meetings between the departmental heads of production, marketing, finance, etc, should be organised on a regular basis and in routine to solve problems when they emerge.
