...Case 20: Rondell Data Corporation Problem Statement: The problem in this case is that the firm is working in simple differentiated structure causing poor interdepartmental coordination. • Lack of flexibility: Rondell’s departments have shown an inability to deal with the 900 production change orders and 2,500 changed drawings this year. • Centralized structure: Decision-making happens from leadership. Mid-level managers carry little responsibility towards accepting product changes. • Informal structure: “Doing things collectively and informally just doesn't work as well as it used to.”. This would not work for a company of 800 employees. • Products are going to production before they are fully developed; under pressure from sales to get out the unit- this hinders the entire process. • Incorrect use of specialists: Engineering services employees are used below their capacity to contribute and are denied functions they could be performing. Solution Statement: The solution to the problem we have identified is to implement a matrix organization structure to increase coordination. • Matrix structures endorse flexibility, encouraging an environment that deals better with adjusting to change. Functional areas maintain a stock of talented employees to meet projects' requirements. • Mutual adjustment is the primary means of coordination within the upper layers of a matrix structure, and decision-making is decentralized among matrix managers. • A matrix structure will create...
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...The Rondell Data Corporation was founded in 1939. The company’s original plan was to manufacture several electrical testing devices that Bob Rondell invented while he was an engineering faculty member of a university. By 1947, the company started to make radio broadcasting equipment. During the late 1960’s, the company had increased its business to include data transmission equipment. The company was known for their high-quality innovative designs and described itself as being able to “convert problems to solutions” in their sales brochures. The organizational structure of the Rondell Data Corporation is mechanistic and did not allow for effective communication. There were many departments and layers of management, yet there was no clear integration of communication within the company. An organic structure would have facilitated widespread communication necessary for all employees to achieve complete communication necessary for efficiency (Daft, 31). The key issue in this case is the tension between the historically informal departments of ESD and Production. There has been a relatively high amount of turnover in the ESD department. The production department is rather isolated and there are tensions over a lack of respect among the departments regarding quality control. Forbus’ ESD department is scattered and he has difficult time distinguishing himself as the leader; there is low morale among his employees. The company should revisit their organizational...
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...The Rondell Data Corporation was founded in 1939. The company’s original plan was to manufacture several electrical testing devices that Bob Rondell invented while he was an engineering faculty member of a university. By 1947, the company started to make radio broadcasting equipment. During the late 1960’s, the company had increased its business to include data transmission equipment. The company was known for their high-quality innovative designs and described itself as being able to “convert problems to solutions” in their sales brochures. The organizational structure of the Rondell Data Corporation is mechanistic and did not allow for effective communication. There were many departments and layers of management, yet there was no clear integration of communication within the company. An organic structure would have facilitated widespread communication necessary for all employees to achieve complete communication necessary for efficiency (Daft, 31). The key issue in this case is the tension between the historically informal departments of ESD and Production. There has been a relatively high amount of turnover in the ESD department. The production department is rather isolated and there are tensions over a lack of respect among the departments regarding quality control. Forbus’ ESD department is scattered and he has difficult time distinguishing himself as the leader; there is low morale among his employees. The company should revisit their organizational design...
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...Rondell Data Corporation and W.L. Gore & Associates, Inc. Question: President Bill Hunt is clearly uncomfortable sacking Frank Forbus, that too on Christmas Eve. He says, “I can’t understand why we have such poor luck in the engineering director’s job lately”. If the present trend at Rondell continues, future engineering directors too would, quite likely, find their jobs on the line; even as yet other new products are likely to overshoot schedules. Based on a comprehensive examination of the case, what would you suggest to help Rondell with their present problems? Answer: Rondell Data Corporation is grappled with inter departmental conflicts with rampant blame game. Every department beginning from sales till production kept blaming each other. Each one had their own goals and were aligned to achieve those. For example: Sales people were more inclined towards meeting the customer needs, in a broader terms the market demands as and when required. Moreover, they were more gripped towards maintaining the reputation of Rondell, i.e.“providing varied and differentiated products to the consumers, right from its inception”. So, the sales department took up orders and kept giving false promises of delivery dates to the consumers which at most times overshoot the scheduling...
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...Reading books is called QEP. IDG News Service - Apple has emerged as the most valuable brand in the world, passing Coca-Cola which held the top position for 13 years, according to a report released by brand consultancy Interbrand. The maker of high-profile products like the iPad and iPhone, which was ranked second last year, saw its brand value grow 28% this year to $98.3 billion. Other tech companies that figured in the top five rankings for 2013 were Google at number two and IBM and Microsoft at fourth and fifth place, respectively. Google was number four in 2012, while IBM was third and Microsoft held the fifth position last year. "Few brands have enabled so many people to do so much so easily, which is why Apple has legions of adoring fans," Interbrand said in the report released Monday. Apple has set a high bar for aesthetics, simplicity and ease of use that other tech brands have to match, and Apple itself will have to continually exceed, the report said. Competitor Samsung Electronics, at number eight, saw its brand value go up 20% to $39.6 billion, as the brand continues to strengthen its position globally, spending more than $4 billion in marketing last year, and launching innovative products such as the Galaxy S4 and Galaxy Note II, according to the Interbrandreport. The challenge for Apple is to slow "Samsung's momentum and capture the booming Chinese mobile market." As significantly, the world is awaiting another innovative product from Apple, which could be perhaps...
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...Rondell Case Study 1 Running head: THE RONDELL DATA CORPORATION CASE STUDY The Rondell Data Corporation Case Study Russ Joseph Ricky Sethi Bonnie VanKampen Michelle Woodley University of Southern California Rondell Case Study 2 The Rondell Data Corporation Case Study The importance of both organizational design and culture are evident in analyzing the case study of the Rondell Data Corporation. By exploring the background of the problem, information regarding organizational functioning, the impact of organizational culture on the strategy and success of the company, and problem identification, recommendations can be offered. Possible solutions to the current dilemma at Rondell Data Corporation will provide an increased understanding of the role of organizational structure related to the improvement and overall performance of a company. Background Bob Rondell started the Rondell Data Corporation in 1920. The basis for its inception was Rondell’s invention of several electrical testing devices, while on staff as an engineering faculty member of a large university. In 1947, the company entered into the radio broadcasting equipment market. By the early 1960’s, the company had increased its business to include data transmission equipment. The company had a reputation of being a source of high quality innovative designs and described itself as being able to “convert problems to solutions”...
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...Case 20: Rondell Data Corporation John A. Seeger Bentley College "Damn it, he's done it again!" Frank Forbus threw the stack of prints and specifications down on his desk in disgust. The Model 802 wide-band modulator, released for production the previous Thursday, had just come back to Frank's Engineering Services Department with a caustic note that began, "This one can't be produced, either. . . ." It was the fourth time Production had kicked the design back. Frank Forbus, director of engineering for Rondell Data Corp., was normally a quiet man. But the Model 802 was stretching his patience; it was beginning to look just like other new products that had hit delays and problems in the transition from design to production during the eight months Frank had worked for Rondell. These problems were nothing new at the sprawling old Rondell factory; Frank's predecessor in the engineering job had run afoul of them too, and had finally been fired for protesting too vehemently about the other departments. But the Model 802 should have been different. Frank had met two months before (July 3, 2004) with the firm's president, Bill Hunt, and with factory superintendent Dave Schwab to smooth the way for the new modulator design. He thought back to the meeting. . . . "Now we all know there's a tight deadline on the 802," Bill Hunt said, "and Frank's done well to ask us to talk about its introduction. I'm counting on both...
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...Licensed to: CengageBrain User Licensed to: CengageBrain User This is an electronic version of the print textbook. Due to electronic rights restrictions, some third party content may be suppressed. Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. The publisher reserves the right to remove content from this title at any time if subsequent rights restrictions require it. For valuable information on pricing, previous editions, changes to current editions, and alternate formats, please visit www.cengage.com/highered to search by ISBN#, author, title, or keyword for materials in your areas of interest. Copyright 2012 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it. Licensed to: CengageBrain User Organization Theory & Design, Eleventh Edition Richard L. Daft With the Assistance of Patricia G. Lane Vice President of Editorial, Business: Jack W. Calhoun Publisher: Erin Joyner Executive Editor: Scott Person Developmental Editor: Erin Guendelsberger Sr. Editorial Assistant: Ruth Belanger Marketing Manager: Jonathan...
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