Nestle Malaysia
Summary
This analysis builds a case for Batato to move on with the implementation of the SWATs now. It first presents an analysis of the current Organizational Alignment w.r.t. to the external environment & internal alignment (work/tasks, people & rewards systems). Then it talks about the key features of the SWAT & what aspects of the Organizational Alignment would be affected as a result of the implementation of the SWATs. Along the way are given the recommendations for handling the mis-alignments arising as a result of this.
Nestle Malysia- Current Organizational Alignment
In June 2005, Nestle Malaysia is performing well above the average in the Malaysian context running smoothly & performance between 75% & 90% of their target KPI.
The external environment is quite smooth with Malaysia being a peaceful place & competitive landscape having been well marked out & perfectly aligned with the company’s strategy.
Internally all the elements of the organization – structure, work systems, people & processes seem well aligned to achieve the objectives while following the company strategy to achieve the best performance.
While this picture looks very good at the moment, there are clear indications that some things need to be changed to achieve better operational performance in the factories so that target KPIs can be elevated a notch higher & motivation level of the workers can be challenged to help achieve better overall performance.
Introduction of SWAT
While SWAT looks like a good answer to the sustainability issue at the first glance, the implementation of this approach should be studied very carefully w.r.t to the organizational & cultural fit as it aims at challenging all the 3 aspects of the structure, work system/ tasks/ processes & people.
Therefore all the features should be carefully studied in the current context when people have high beliefs about their self-efficacy & self-esteem
This analysis builds a case for Batato to move on with the implementation of the SWATs now. It first presents an analysis of the current Organizational Alignment w.r.t. to the external environment & internal alignment (work/tasks, people & rewards systems). Then it talks about the key features of the SWAT & what aspects of the Organizational Alignment would be affected as a result of the implementation of the SWATs. Along the way are given the recommendations for handling the mis-alignments arising as a result of this.
Nestle Malysia- Current Organizational Alignment
In June 2005, Nestle Malaysia is performing well above the average in the Malaysian context running smoothly & performance between 75% & 90% of their target KPI.
The external environment is quite smooth with Malaysia being a peaceful place & competitive landscape having been well marked out & perfectly aligned with the company’s strategy.
Internally all the elements of the organization – structure, work systems, people & processes seem well aligned to achieve the objectives while following the company strategy to achieve the best performance.
While this picture looks very good at the moment, there are clear indications that some things need to be changed to achieve better operational performance in the factories so that target KPIs can be elevated a notch higher & motivation level of the workers can be challenged to help achieve better overall performance.
Introduction of SWAT
While SWAT looks like a good answer to the sustainability issue at the first glance, the implementation of this approach should be studied very carefully w.r.t to the organizational & cultural fit as it aims at challenging all the 3 aspects of the structure, work system/ tasks/ processes & people.
Therefore all the features should be carefully studied in the current context when people have high beliefs about their self-efficacy & self-esteem