Harvard Case Study: Bausch & Lomb: Regional Organization
Case Overview
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.
Case Synopsis Company Background: The company was originally started in 1853 by John Bausch in Rochester, New York. The small store excelled because Bausch discovered
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The two divisions were often on different pages and experienced communication challenges. This created several pricing difficulties making it even harder to globally market the products. To further the problem, the ID felt as though their R&D received less than sufficient manufacturing resources, which limited the ability to forecast the global market. Difficulties in communication slowed R&D, decision making, and required a major change in the organizational structure. Gill decided to increase the capabilities of the ID and give specific regions more power in the decision making process. Regionalization: New structures were formed in order to approach the ID problems. The organizational reconstruction focused on speed of results, process to be driven by B&L executives, and input from as many B&L employees as possible. A significant amount of time and money was dedicated to creating a task force that was goal was to evaluate organizational structure. They concluded that it was necessary for a fine-tuning of the current organization structure, a regional structure, a product-region matrix, and a global product structure. Eventually the idea regionalization was adopted by the Advisory Committee. The ID was to be dissolved and replaced by headquarters in Europe, Middle East and Africa, Asia-Pacific, and the Western Hemisphere. Jobs in the ID were reallocated to different divisions and new products were developed according to align with the region's needs.
Dogs are known to have over 200 moveable or semi-movable joints in their body, and they must have comfortably freely moving joints throughout their life. Dr. Steve Allday, equine veterinarian specializing in lameness and sports medicine was the first developer of LubriSynHA. Dr. Allday’s idea was to keep synovial fluid healthy by protecting it from normal wear and tear by providing what he called “around-the-clock support of joint fluid.” Synovial fluid, or more commonly known as synovia is a fluid found in the cavities of synovia joints. Their purpose is to reduce the amount of friction between the surfaces of bones.
L L Bean has the ability to use analytics for point advantage and know what to do to get to next level, but still lack the ability to define competition hence it’s in Stage 4 of the analytical competition pyramid. Few examples to illustrate its Stage 4
The Business started as a footwear company by two brothers Rudolf and Adi after their father, who initially owned a shoe business. It started in 1924 in Germany.
The National Radio of United States New, the NRSUN, is a radio station which is broadcasted to help end the problems of the Dust Bowl. Our organization is devoted to providing nurses, doctors, and generally medical care to those who have been affected detrimentally by the Dust Bowl. We intend to give $130,000 to the cause to provide aid, but that would not be enough for the amount of medical care necessary. The broadcasting station is created to provide information to the audience to inform on what is going on out West, then to ask for donations to help the cause because our single donation we give will not be enough. The radio was chosen to raise awareness and the money because it was the most popular media device at the time. With it being so popular, it would be easier to convey a large group of people than a
The company’s objective is to enable business and operational success through integrated world class solutions and development by utilizing the organizational restructure of the Engineering and R&D departments. Having a centralized organization with a decentralized engineering department makes meeting the company objective quite difficult. Also, if the company’s objective does not align with the department specific objectives Campbell Soup is setting their selves up for failure. Sales and Marketing are concerned with increasing market share and gaining profit, while the Plants are worried about operational performance, and Engineering is focused on individual parts of the system. In order to have a successful company
A regiocentric staffing approach will allow Winch-it to move from a purely ethnocentric or polycentric approach to a geocentric approach, it will allow interaction between management being transferred to regional headquarters from subsidiaries in the region and PCNs transferred to the regional headquarters. Also, Winch-it may utilise this approach as a means of success as most manufacturers are based within the Asian subcontinent, this will allow Winch-it to have almost full control over all of the firms subsidiaries (Dowling, Festing & Engle 2008).
P&G intended to overcome the tensions and conflicts of interest that arose in the former matrix structure between category management and regional managers by the clear definition and reallocation of responsibilities for product development, brand design and business strategies to GBUs and market development to MDOs.
P&G set up the newly reorganized global operations. I’m going to explain how the company works with its new global operations strategy and how P&G could push SK-II to world brand by using P&G’s target market – China, Europe, and Japan. By using the implement of Organization 2005 (O2005), the company is expected to have more annual growth rate together with less expense. P&G gives more compensation along with more responsibility tasks. P&G allows every employee in company to hold firm’s stock. P&G transferred primary profit responsibility from P&G four regional organizations to seven global business units.
“Hapalochlaena lunulata is about 20 cm at maximum spread, but under normal circumstances, it appears much smaller than this. H. lunulata is dark brown to dark yellow in color, but with brilliant blue rings thought to be warning coloration that "glow" when it is angry. The reason the rings are blue is thought to be that the visual range of the octopus is most sensitive in the blue part of the spectrum. At the small beak at the junction of its eight arms rather than manufacturing ink, H. lunulata makes poison like the tetrodotoxin found in poisonous puffer fishes. Bacteria in their salivary glands produce it. The venom, contained in its saliva and designed to subdue or kill its prey is particularly lethal to human beings.” (Campbell 2000,
Whenever a company decides to change the corporate structure, especially internationally, I don’t think it’s a good idea to just jump right into the process. I think Mr. Javier is very wise to think through all the potential problems before he pulls the trigger. The consultant RI hired has a great idea of establishing a new international department at their headquarters. By doing this, they can appoint a product director of each segment of their international businesses. The new international department would have authority to coordinate the new activities and innovations, and they would have a team to travel with them to each of the different regions. It’s important that the team be made of people who are familiar with business in those regions so that nothing is lost in translation. It’s also important for the Business Managers to trust the Product Directors are there for their best interest so that the Business Manager does not try to
In the organizational context, I recommend Winch-It to adopt ‘Sales subsidiary structure’. I judged that it was the most appropriate stages to dive in among the four stages of internationalization considering the company’s situation and attitude. In the staffing context, I recommend Winch-It to take the ethnocentric approach in the staffing context and the balance sheet approach in international compensation. Finally, in international performance management, I listed several issues need to be concerned and suggested adopt not ‘TCN role conception’ but ‘PCN role conception’.
There was no aligned/clear goal or strategies and there were difficulties in maintaining common standards across regions, which caused a friction between the regional office that was situation in Hong Kong and the local country business units. This problem mainly occurred because all business units had different ideas, priorities and strategies with no coordination or common ground. The interpretation of the regional goal and the method of achieving it, were left to the local country business units. The regional functional mangers did not have any direct responsibility for their departments within each business units. The lack of a clear mission statement posed another challenge as each business unit had its own ideas and thought its own market was special. The ambiguity and difference of job responsibilities and description caused frustration at the regional office, as they felt disconnected from the business units
When dealing with organizational change on such a large scale, there are a lot of factors which also come into play. Changing the global strategy of the organization affects all the other sections of the company, directly or indirectly. Regrouping the business according to geographic regions means that there will also be restructuring of management and also technological advances will need to be changed. This will include changing people; there was a need to speed up the process of the organizational change which was aimed at making changes to its operating model and ways of working. The changes will allow the business to better focus on growth opportunities, to be more agile in responding to consumer needs in the marketplace and be more cost effective in doing
Under Linden’s leadership, FWD’s organizational structure changed from a geographical structured company to a product oriented company. In 2006, Linden changed FWD’s worldwide regional structure from three regions worldwide to six regions worldwide. The worldwide regions were originally broken up into Asia, the Americas, and Europe; but Linden wanted six regions worldwide; mature and developing Asian countries, Europe, Africa, and the Americas were
These characteristics were prevalent in La Bella’s original business strategy. Chandeliers were manufactured in Italy and then sold outside of the domestic market. However, due to the numerous economic crises, they were forced to change their strategic orientation. La Bella did not use the global model (standardized products); instead, they moved to a multinational orientation (tailored products).