Paradoxical Twins Acme And Omega Electronics
By
ABC
Paradoxical Twins Acme And Omega Electronics
Defining the issue
After reading the case of the “Paradoxical Twins Acme and Omega Electronics”, I found Both Acme and Omega produce similar products and offer similar services. Acme president John Tyler is a very tough going individual and he is portrayed to be an autocratic individual because there is one way communication in Acme. The case provides an opportunity to evaluate both Acme and Omega’s organization structure of a business. Both companies used to have the same organizational structure but after they were sold to different investors, as a consequence of this, each company has its own procedures and company policies. Following are the same facts about both the company mentioned in the case after they became the separate business entity.
Acme retained original management and promoted GM to the president. They have well defined organizational structure and decisions are often taken by top management without consulting manufacturing department. And they have well defined job responsibilities and authority.
Omega hired a new president and upgraded several existing personnel within the plant.They don’t have the organizational structure and they believe that Organizational chart seems like artificial barrier. They have a participative management style of leadership and they don’t have well defined job specification.
Acme has shipped the 100 prototypes on 2 shifts, and 20% of these units were found defective. While Omega has shipped the100 units on time, and no defective items were detected. Despite of these facts, and although, as seen in the previous section,Omega was more effective than Acme, the photocopier manufacturer decided to split the final contract between Acme and Omega, under the conditions of maintaining zero defects and lowering the final cost Justifications of this decision could be:
1-Acme retained the original structure