Design Case Study

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Updated: Jan 23rd, 2024

Design: Whirlpool case study

Product design decisions could be categorized as unstructured decisions, as based on how they are derived and implemented. Unstructured decisions are characterized by their complex nature as they do not follow established standards in the formulation process. Unstructured decisions are those experienced in situations whereby elements are unknown or undefined.

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Goals set for this decision making process are often defined in general terms, and are mostly incomparable with alternatives since there is no clear way of measuring their effects. It is difficult to link performance to the actual decision as it would be difficult to isolate factors incorporated in the final decision

Chuck Jones’ decision to change the way design decisions are made came after a meeting with Whirlpool’s resource allocation team. Chuck was unable to persuade the resource allocation team to invest a further $5 in a Kitchen Aid refrigerator that was being redesigned, by adding some ornamentation (Robbins & Coutler, 2008).

In this case, Chuck failed to explain the potential return on investment from the ornamentation, and the sum invested. His argumentative approach of “trust me, I’m a designer” did not work either. Chuck resolved to improve the design process into one that was more objective, rather than subjective.

Whirlpool has new criteria for its design decisions. In the new system, the company develops prototypes that are subsequently presented to customer focus groups in order to ascertain customer preferences. In this stage, designers are free to use their creativity to develop prototypes that they think will appeal to customers.

Results obtained from the customer focus groups are charted against competitor products and the company’s own products as well. This allows Whirlpool to evaluate viability and practicability of proposed designs. This approach gives decision makers objective evidence on which they can base their investment decisions. Therefore, this approach is factual based, rather than being solely subjective.

Goals: MasterCard’s master plan

Setting goals is critical when planning for training events. MasterCard’s learning event, dubbed the Roadmap to the Future, aims to train the company’s employees on the changes expected after the company went public.

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The goal of the training event was to ensure that all employees understood the changes that would be experienced now that the company was now a public institution. The goal in this case will set the agenda for the training events, and will help the company in deciding the topics that should be covered by the training event, and who will carry out the training based on their knowledge of the study topics.

Both strategic and operational plans will be useful when the event is being carried out. Strategic goals illustrate future targets that the company is aiming for, while operational goals describe measurable outcomes in the near future (Robert-Phelps, 1998). The topic titled “How We Make Money” serves as an operational goal as it describes the company’s business model, while the final topic, dubbed “New Climate, New Culture, New Company” is a strategic goal as it sets out what the MasterCard strategic vision of the future.

There are several challenges that can be expected from the training event, given that intensive training exercises are being out all over the world in a short time frame. Due to the large size of the company, it will be difficult to monitor progress of the training events since most of them will be carried out simultaneously. Subsequently, management staff will be stretched making the monitoring process more difficult.

MasterCard could prepare for this challenge through adequate planning on the timing of the events, and also ensure that it has the right staff to carry out the training, so as to ease the monitoring process. Planning is important in that it provides a clear picture of the direction in which the company is heading. Through planning, employees will be able to understand the organization’s strategic goals and operational targets.

Strategy: Live Nation

Live nation seems to be using a social platform as its growth strategy. It’s the world’s largest events and live music promoter, with more than 64 million people attending its events each year, including concerts, music venues and festivals.

Live Nation claims to be the future of the music business, as it tries to revolutionize the music business by connecting music artists to their fans both online and on stage. The company’s chief competitive advantage is that it handles all aspects of an artist’s music business, thereby allowing artists to focus more on their music.

Mike Rapino, Live Nation’s CEO, might use a SWOT analysis to evaluate the company’s strategic positioning. Through a SWOT analysis, the company will be able analyze both internal and external factors that influence the achievement of the company’s strategic goals. Internal factors involve the company’s weaknesses and strengths, while external factors include opportunities and threats that are prevalent in the market. In this case, a SWOT analysis acts as a tool for corporate planning.

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From the company’s recent annual report, the Live Nation is seeking to expand its presence in the world’s largest markets and grow its revenue in areas surrounding ticket sales and live events (SEC, 2011). The company hopes to achieve this by expanding ticket sales and online businesses through ecommerce.

The company also wants to increase its list of corporate sponsors in order to penetrate new markets, and subsequently grow its distribution network. Mike Rapino’s strategic direction for the company has so far led to yearly growth in revenues, despite the struggling music industry, which means that it is working for the benefit of the company.

References

Robbins, S. P. & Coutler, M. (2008). Management. 10th ed. New York, NY: Pearson Prentice Hall.

Roberts-Phelps, G. (1998). Training event planning guide. Burlington, VA: Ashgate Pub. Co.

United states securities and exchange commission. (2011). . [Data File]. Web.

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IvyPanda. 2024. "Design." January 23, 2024. https://ivypanda.com/essays/design-case-study/.

1. IvyPanda. "Design." January 23, 2024. https://ivypanda.com/essays/design-case-study/.


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