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HTC Corporation Organisational Development Case Study

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Updated: Apr 20th, 2021

Need for an organisational change

I will present the argument for organisational change. HTC Corporation has notable challenges, which include weak organisational structure, ineffective crisis management team, misplaced objectives, poor customer services, and employee’s performance. Additionally, HTC products and services cannot compete with rival markets. The rising rivalry between the HTC Corporation and other product calls for urgent measures. I will summarise various reasons for change

Ineffective strategic alliance and brand value

It is hard to compete with rival products when our product does not meet customer’s specification. For example, Nokia has regional outlets across the globe to ensure continuous supply. However, HTC cannot sustain its supplies because of poor communication. Our regional outlets and franchise do not communicate effectively. We must prioritise our resources to achieve capacity production and distribution. Areas with poor distribution network will be treated with caution. Thus, we must build a strategic alliance with the local contractors to ensure adequate distribution of HTC products. Our brand value will improve when the products and services satisfy the customer. We can only achieve this feat through organisational change.

Weak organisational strategy

Our regional sales representatives do not document daily transactions. Thus, we experience shortages during high sales. Such delay affects the brand value and reputation. A major obstacle to success is leadership. Previous study revealed that an effective leadership improves employee’s performance. Our engineers and production department expose the effects of poor leadership. An organisational change will improve employee’s performance and productivity. However, we will reduce the resistance to change using performance rewards. The feedback survey from employees revealed that executive resignations from the corporation accounted for the loss of confidence. We must improve this situation with the change management. A change in management will influence a new operational strategy.

Market segmentation and product life cycle

We must produce innovative products that meet client’s specifications. We must prioritise our regional strategies to attain development. The feedback revealed customer’s dissatisfaction with our products. They contend that the shelf life of HTC products is short compared to rival device. Thus, we must change our production strategy to meet consumer specifications. Product rebranding will rebuild our public image.

Rebranding can come in different packages to enhance growth. For example, the shelf life of HTC 1 product is less than a Nokia X1. Thus, the difference in shelf life affects daily sales. Advertisement is a major boost to the economy. Market segmentation will create opportunities to improve production and sales. We must introduce female segments in the advertising unit. Thus, the population of women cannot be pushed aside.

Brand Image

Poor support and customer services hamper growth. I will recommend urgent revitalization. Our support department must be reorganised to ensure quality service delivery. We could consider free services and repairs for HTC product under a warranty clause. This feature will rebuild consumer confidence in HTC products.

High prices for products

The cost of rival product mitigates the sale of HTC phones. This is caused by a weak price regime and strategy. To strengthen the production department, we must effect a change.

Demand for innovation

Rival phones have better features compared to HTC products. To boost our performance, we must adopt a new production strategy. Finally, the above submissions if considered will improve organisational performance.

Arguments against change

As a member of the board of directors, I will counter the movement for change with the submissions below.

Company’s objective

The change in organisational strategy will reduce employee’s performance. With the strategic development, we must continue to build confidence. However, a change in organisational strategy will affect our public image. It is difficult to make a complete change without employee’s resistance. Thus, attempting a change in leadership and operational strategy will affect employee’s performance. We need marketing efficiency to ensure steady performance. A change in leadership will draw negative public comments. It will also slow the production capacity of our regional plants.

Mindset

A change in organisational structure may be counterproductive because we need a new mindset and not just a new set of skills. Replacing the organisational structure without the mindset will be a failure. Thus, HTC Corporation does not require a change. We have competent engineers and workers that could revamp our ailing industry. The same workforce was responsible for our achievements. Thus, a change in the organisational structure will not produce positive results. We must develop a mindset of winners and great achievers. We must rebuild our image using progressive strategies. An organisational change may not align with the company’s vision for sustainability. Thus, it will be counterproductive to implement a change in operations.

Hidden plan

I believe that the agent for change must have an ulterior motive. There should be personal transformation before implementing organisational change. Thus, HTC Corporation is not ready for a change because we are challenged with marketing fluctuations. An organisational change will create tensions in the leadership structure. I believe that the need for a change will have adverse implications for the company. We must prioritise our decisions to ensure sustainability.

Cost

The cost of implementing the change could be used to fund innovative market survey. Organisational change is expensive and time consuming. Thus, we must reject the need for a change in the organisation. We could channel the resources to increase productivity. For example, the cost of hiring and implementing a new agenda may surpass the capital expenditures for a fiscal year. For the change to take place, you need a change management, protocol team, contingent measures, and a new strategy. Thus, we could channel our resources to other agents of change that will improve our production capacity.

Long-term strategic alliance

We have a long-standing strategic alliance with Microsoft Corporation, which remains a partner in progress. Thus, we can boost our performance with the alliance. We can also reexamine our long-standing relationship with foreign partners to ensure better performance. We have a list of options to reduce costs, which will be better than a change management.

Trademark and marketing strategy

We believe that our design and hardware could position HTC products on the spot light. Thus, we will sustain our design with adequate financing. We can build an exponential coverage of the Asian market. Thus, marketing campaign should be on target. A change in organisational strategy will slow the pace of innovation. To avert the effects of an organisational change, we must develop innovative ideas to boost regional sales. We must include a competitive feature in HTC products to guarantee customer’s satisfaction. We must provide durable accessories to complement our product and brand value. Thus, innovation will be better than organisational change. Finally, with the above points, I strongly object to a change in organisational structure and operations.

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