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VTI Group’s Strategic Management Analysis Case Study

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Updated: May 8th, 2021

Strategic and Operational Plan

VTI Group is a company for the analysis that aims at selling small to medium cars and its spare parts, offering second-hand cars and car for lease across different cities in Australia. It was founded in 2000. Its headquarter is at 380 Bourke Street Melbourne. VTI Group cooperates with European suppliers to achieve a competitive edge. Car leasing becomes unpopular in Australia because customers are able to buy new cars on their own. Therefore, the employees who currently work at the leasing department should be re-trained and develop new skills to maintain an appropriate organisational culture and communicate all goals.

Communication Strategy

VTI Group is in need of a properly developed communication strategy. The main communication objectives are to engage with stakeholders, achieve new organisational boundaries, ensure all workers understand what changes are expected, develop new services for customers, and communicate additional needs of the company (Puto et al. 157). To achieve these goals, several communication methods may be offered, including storytelling as a type of verbal communication to compare and contrast the achievements of different organisations and give clear examples to current employees, written communication may be in forms of e-mails (to inform all people about possible changes and expected improvements), training manuals (to provide the staff with a guide on how to be re-skilled), and personal letters (to motivate every employee personally).

Regarding the case of VTI Group, three audiences can be interested in a new communication strategy. Employees introduce services and develop their skills. The objective of the strategy is to ensure awareness. Methods include e-mail, regular meetings, and discussions. Customers are another group of people who observe the results of re-training and re-structuring. Short interviews and feedback can be used as a method of communication to evaluate the effectiveness of a new strategy. Finally, stakeholders have to demonstrate their desire for cooperation. Skype meetings and e-mails are the two communication methods of this strategy to involve new people in the business.

In terms of a new communication strategy, employers have to consult with their employees on different issues. There are many provisions of consultation with employees, including the termination of employment, occupational health and safety, parental leave conditions, and working hours (Australian Government). The level of employee satisfaction with the condition may be estimated through monthly anonymous surveys and the results of the work achieved during a certain period.

Grievance Procedure

If the cases of employee grievance occur, the following grievance procedure can be applied to VTI Group.

The aim of this grievance procedure is to provide all employees with a chance to raise their grievance and find a resolution as quickly and fairly as possible. If employees have complaints concerning their employment, they have to discuss everything with their direct supervisors informally first. The process of discussion consists of three stages: statement (when the informal discussion does not help to change the situation), meeting (a supervisor should respond within 5 working days and invite an employee for personal communication where the grievance should be stated and discussed), and appeal (if a request does not achieve positive results, an employee has a right to appeal within the next 10 days and a meeting with senior managers who decision is final on the case).

Such procedure should help managers and employees ensure effective resolutions of conflicts and organisational concerns in the company. New communication strategies help to identify current problems and find solutions. The goal that the employers of VTI Group should achieve is the evaluation of employees’ opinions and the possibility to be heard regarding recent changes and current opportunities.

Scenario 1

As General Manager of VTI, I have to deal with numerous complaints and develop effective solutions as quickly as possible to avoid the growth of new concerns. This time, I face a problem based on cultural diversity issues in the company. Bill informs about the inability to gather all team members regarding their cultural differences and nationality issues. My task is to develop and refer to a cultural diversity policy and explain to the employees how the representatives of different nationalities should cooperate.

According to Australian Human Rights Commission, Australia is a multicultural country where one in four of 22 Australian citizens is born or has direct relatives overseas. In addition, there are many residents in Australia from such countries as the United Kingdom, China, New Zealand, and India (Australian Human Rights Commission). Therefore, it is not a surprise that our company hires people with different cultural backgrounds. However, it is not a reason to develop new conflicts. It is a chance to learn from each other and obtain new experience and knowledge. According to the Racial Discrimination Act of 1975, all Australian companies and citizens have to remember about their common commitment to racial equality and respect each other’s rights (Australian Human Rights Commission). Our corporate policy aims at recognising and respecting the value of nationality and cultural diversity. We promote a positive attitude to this variety and support all cultures in the company. Informative meetings and special evenings have to be organised to give specific knowledge to all employees.

To promote cultural diversity, ethical principles, building workplace relationships, I am going to introduce one significant change in the company that is to hire a new person who can demonstrate effective leadership over different cultural groups, develop a diverse workforce, investigate a working environment, and report me on the achievements and changes observed. Frequent communication, open meetings, and special thematic events organised by a manager that is responsible for the development of the cultural diversity policy can provide employees with an opportunity to tell about their cultures, traditions, and knowledge. Sometimes, it is hard for people to start talking about something. Bill, who reported on this case, can be a good candidate for this job.

Scenario 2

According to this scenario, I have to meet the team and resolve its cultural concerns and conflicts using our organisational policies and procedures. First, my task is to identify the potential problems that may come from the team. I think that the main challenge will be connected with the inability to formulate one particular opinion about the situation. There will be as many opinions as many people are involved in the conflict. I have to be ready to listen to each person, make notes, and investigate the whole situation from different perspectives. It can be hard to explain to the team that one solution will be made soon regarding their concerns. However, the opinions of one group of people may be not as crucial as the opinions and attitudes of another group of people.

Therefore, a possibility of losing trust and promoting unexpected behaviour may be observed. The team should be gathered together, and similar instructions should be given so that no one can feel as being left behind. Every team member is under the same conditions. To avoid misunderstandings or prejudices, written communication should be avoided. It is better to choose an oral communication style and organise a meeting at least in one hour before a working day is over. It is important to inform every employee. Phone calls and messages may be used as an informative means. The meeting should not take much time to demonstrate respect for employees’ personal lives and affairs.

I prefer to use a functional communicator style. Such choice helps me focus on a process, details, and timelines without nothing gets missed (Murphy). My functional communication should promote an assertive behaviour so that I can demonstrate respect of the needs and opinions of all team members and allow everyone sharing their thoughts. My task is to demonstrate support and gather opinions. In case the situation is hard to control, an aggressive style of communication should be used to give clear explanations of the needs and opportunities of the company. I want to believe that my choice of an assertive functional communicator can be enough to find a solution to this cultural diversity issue.

Scenario 3

According to this scenario, I have to perform the functions of General Manager who should develop new internal and external contacts and promote communication. Networking plays an important role in the development of trustful relationships between different people. Even if employees think that there is no need to go outside, and they can still perform their work well, they should not neglect the benefits of networking (Amiel). Networking promotes a possibility to participate in different training programs and events to develop the level of knowledge. Networking is a chance to never stay alone and share personal thoughts and ideas with someone else. Another benefit is the presence of constant support, critique, or explanations with the help of which organisational improvement is possible, and a competitive edge is achievable. Certain positive outcomes can be observed in the company in the forms of increased productivity, a better workplace understanding, and a reduced number of conflicts.

In the company where cultural diversity is a burning issue, I would prefer to follow a supportive networking style in combination with the direct features. It is wrong to believe that clear guidelines and instructions can solve the problem and promote internal and external communication. Employees have to be supported and motivated. Therefore, the supportive style is preferred to identify employees’ values and promote sincerity and steadiness in the workplace. If some people are in need of more time and explanations to comprehend the goals and choose the steps, this style helps to clarify the reasons and support all team members.

Strong relations within the network can be built with the help of frequent meetings and the provision of clear guidelines and training programs. Sometimes, people are eager to improve their understanding of the matter but lack skills, knowledge, and practice. Improvements are possible when employees are able to ask questions, get professional answers, try something new, and learn from their mistakes. A good leader has to support and inspire people. However, the explanation of details and training should not be included as the leader’s obligations. The task is to find an expert and make sure this person meets all expectations and complete tasks. Strong workplace relationships should be built on trust, development, and exchange of information in a clear way.

Scenario 4

In the company, internal relationships should be developed according to the following plan:

  1. Create a clear mission statement of the company and promote its essence by each employee;
  2. Divide team-building activities on formal and informal;
  3. Communicate and discuss recent changes, achievements, and concerns on a regular basis (once per month);
  4. Set goals and identify leaders for each department;
  5. Promote rewards for great achievements and contributions.

External relationships in VTI Group can be developed and maintained regarding the following issues:

  1. Meetings with different groups to discuss their roles and contributions to the company;
  2. Identification of all contacts and regular updating;
  3. Formal and information communication in written and oral forms:
    1. Annual written reports;
    2. Month face-to-face meetings;
    3. Regular training;
    4. Frequent online communication or talks via phones.
  4. Formulation of guidelines and timetables;
  5. Identification of rules and policies for all groups in the same form.

These plans may be united in one to help Alex and Justin solve their problems and improve their work as managers of internal and external relationships. The activities that Alex can use are the development of special guidelines that are approved by the leader of the company and can be introduced to all customers and communication with the representatives of other departments who are ready to share their experiences. Justin may use such activities as the establishment of deadlines and fines if the deadlines are not met without clear reasons and the improvement of written communication with the help of which he can state his questions and concerns and have evidence to use for discussion with leaders whose duty is to avoid conflicts of interests according to the Australian Corporations Act 2001.

To achieve positive results at VTI Group, as General Manager, I have to deal with numerous activities. Some of them are listed below. They aim at explaining the required skills, knowledge, and steps to be taken in organisational development.

Activity 1

The development of trust in a team is impossible without a professional and emotionally respective attitude. Despite the level of their professionalism, many people cannot get rid of their emotions in communication. Therefore, people should demonstrate their emotions in a professional way. It can be achieved if fast decisions and opinions are avoided, clear statements and phrases are chosen, and good and kind stories are used as illustrative examples.

Activity 2

Assertive communication is a style that can be used by employees for cooperation with people who have different emotional attitudes. Emotional intelligence is a key factor in this type of communication. It helps to show empathy to all participants and clearly state a problem (Meyers 37). The users of this style should know how to understand the emotions of different people and use different details and examples to build good and trustful relationships.

Activity 3

Constructive management of conflict with the team includes such steps as the recognition of a problem, listening to all participants of the case, and identify the possible points of agreement and disagreement. Then, it is necessary to develop a plan of communication and find enough evidence to support each point. Finally, a decision should be made regarding mutual discussions or even an anonymous survey in case the team is not able to come to the same conclusion at the end of discussion.

Activity 4

Successful management of conflict should include such processes as gathering evidence and evaluation of each team member’s opinion.

Activity 5

In resolving their work difficulties, team members should introduce trustful policies, explain roles, and discuss mutual goals of the company in order to provide guidance. Cooperation with an HR expert, the development of listening abilities, and observation of other teams’ experiences help to promote counselling. Finally, to support, team members should learn from each other, have access to different stress reliefs, and develop different forms of communication.

Activity 6

Difficulty Action Person Reasons Strategy Resources
1 Poorly defined goals The development of a clear mission statement of the company Leader Inform and motivate employees Organisational brochures and official site improvements Online activities and personal imagination
2 Lack of trust The promotion of frequent meetings Department leaders Support the staff Open communication and feedback Open-door policies
3 Lack of experienced staff Training programs and free education External educators and department leaders Increase the level of knowledge Collaboration with new people Outside training
4 Low stress resistance The increase of stress relievers Department managers Reduce emotional stress Compromising Yoga classes or personal notes

Activity 7

The Racial Discrimination Act of 1975, Age Discrimination Act 2004, and Work Health & Safety Act 2011 are the legislation relevant to conflict management and building workplace relationships in Australian companies.

Works Cited

Amiel, Itzik. “The Significance of Internal Networking: 7 Easy Ways.” I-Zik, 2016, Web.

Australian Government: Australian Public Service Commission. “Consultation.” Australian Government. 2016, Web.

Australian Human Rights Commission. . 2014, Web.

Meyers, Mike. Mike Meyers’ CompTIA A+ Guide to Managing and Troubleshooting PCs. 4th ed., McGraw Hill Professional, 2016.

Murphy, Mark. “Which of These 4 Communication Styles Are You?” Forbes. 2016, Web.

Puto, Christopher P, et al. “Marketing Plans and Communication Strategies.” Decision Making in the Workplace: A Unified Perspective, edited by Roy Beach, Psychology Press, 2016, pp. 155-166.

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