Sunflower - OD
Introduction:
Sunflower Incorporated is a large company with more than 5000 employees and gross sales over $700 million in 1991. They are covering the United States and Canada with dividing them into 22 regions. They are decentralized; each region has its own salespeople, finance and warehouse.
Sunflower started to have a reporting system to have better monitoring for the sales, costs and profits. They found a big variance in the revenues between the different regions and made it difficult that the high profited regions use low quality materials. And so this can dramatically impact the whole company and hurt their image and so the management decided that standardization is needed.
The Sunflower Inc. hired Albanese as a director of pricing and purchasing to establish the needed rules to recover the situation. Albanese decided very quickly the needed changes but she did not get the expected results.
How Albanese managed the change?
Albanese did not follow any of the known successful approaches for changes; she did the change without the needed analysis. And to analyze the change using the open model for planned changes, she had to do (Entering and Contracting, diagnosing, planning and Implementing Change, Evaluating and Institutionalizing Change). She started directly to understand the issue, she did not do a sufficient analysis, she went for the standardization to decrease costs and to have better management, this was based on the reports she had with the huge variance in profits between regions and the difference in quality which highlighted with the low quality in high profited regions.
With the very quick analysis, she went for having the control from her office. She did align with the regional executive on how to implement this new strategy, how they will set the changes in the goals, how they will monitor the efficiency of the change, whether they will need training for the staff or not, whether the current culture accept this change or not, will
Sunflower Incorporated is a large company with more than 5000 employees and gross sales over $700 million in 1991. They are covering the United States and Canada with dividing them into 22 regions. They are decentralized; each region has its own salespeople, finance and warehouse.
Sunflower started to have a reporting system to have better monitoring for the sales, costs and profits. They found a big variance in the revenues between the different regions and made it difficult that the high profited regions use low quality materials. And so this can dramatically impact the whole company and hurt their image and so the management decided that standardization is needed.
The Sunflower Inc. hired Albanese as a director of pricing and purchasing to establish the needed rules to recover the situation. Albanese decided very quickly the needed changes but she did not get the expected results.
How Albanese managed the change?
Albanese did not follow any of the known successful approaches for changes; she did the change without the needed analysis. And to analyze the change using the open model for planned changes, she had to do (Entering and Contracting, diagnosing, planning and Implementing Change, Evaluating and Institutionalizing Change). She started directly to understand the issue, she did not do a sufficient analysis, she went for the standardization to decrease costs and to have better management, this was based on the reports she had with the huge variance in profits between regions and the difference in quality which highlighted with the low quality in high profited regions.
With the very quick analysis, she went for having the control from her office. She did align with the regional executive on how to implement this new strategy, how they will set the changes in the goals, how they will monitor the efficiency of the change, whether they will need training for the staff or not, whether the current culture accept this change or not, will