Effect on Customer Demand
Summary of the case
This case study follows a Tool Manufacturer where an in-depth organizational analysis was conducted comprising of qualitative interviews with senior management. Hence, process mapping was conducted to detail the main activities of the organization. The process mapping demonstrated how the customer and the organization interacted. The customer would initially approach the Tool Manufacturer through associated marketing or more typically on the basis of previous work completed. On the basis of customer requirements a preliminary drawing of the tool would be drafted and sent to the customer. The customer would then accept the draft drawing, which would then be manufactured accordingly. Nevertheless, not all was well. Several projects had been delayed, resulting in a loss of revenue for the business. Worst of all, several tools had been manufactured to incorrect draft specifications, which then had to be scrapped and started again. Such was the case due to inter departmental conflicts. An e.g. of such conflict is demonstrated between the Drawing Department and the Machine Shop where the Draft specification drawings rather than finalized drawings were given to the Machine Shop to produce the tool. There was lack of responsibility and accountability. This conflict not only created internal problems, but also reduced employee motivation and job satisfaction. Further research revealed that individuals tended to see themselves working in a vacuum or in a cliché as opposed to working within the wider organization. This had several consequences including worker conflict, interdepartmental conflict and poor employee relations. The conflict had a wider implication that jeopardized the business as a whole. Customer orders were being delayed, orders were not being produced to the correct specification and some orders were of such inferior quality (due to their frequent
References: dean, jr, j. w., & snell, s. a. (1996, June). The Strategic Use of Integrated Manufacturing: An Empirical Examination. Strategic Management Journal, 17(6), 459-462. Retrieved December 8, 2012, from jstor. kozlowski, S. W., & ilgen, d. r. Enhancing the Effectiveness of Work Groups and Teams. , 7(3), 77-81. Retrieved December 11, 2012, from jstor. northup, t. (2006, October). effective communication; a necessity for successful organization. Retrieved December 9, 2012, from http://www.lmgsuccess.com/documents/EffectiveComm.pdf tutek, p. h., & ay, d. c. RESOLVING CONFLICT BETWEEN MARKETING AND ENGINEERING: A QUEST FOR EFFECTIVE INTEGRATION. , 535-536. Retrieved December 8, 2012, from http://www.opf.slu.cz/vvr/akce/turecko/pdf/Tutek.pdf