This milestone is designed to continue the critical analysis in Milestone One with a shiftin lens to leadership and organizational culture. This short paper assignment is the second milestone in the analysis of the company within your final project. It should begin with a brief description (one paragraph) to transition the reader to the new analysis lens. The largest component of this short paper should focus on the leadership approach and any shifts through the course of the case study example, including any aspects of the culture that influenced the organization. Lastly, the final aspect of the short paper is to connect the analysis into insights and conclusions. This assignment will be submitted in the form of a 750-word minimumpaper.
Prompt
Use the following case study to do your organizational analysis:
The GM Culture Crisis: What Leaders Must Learn From This Culture Case Study
.
After reading the case study, answer these questions:
Evaluate Leadership Theory
Describe a leadership styleused in the case study and why there was a shift in leadership style throughout the case study.
Explain the characteristics and decisionsof management in the case study that help explain the shift in leadership style.
Identify the internal and external influenceson the organization that may have caused the shift in leadership style. Be sure to explain your choices.
Assess Organizational Culture
Discuss the internal culturepresent within the organization. Be sure to utilize terms relative to organizational behavior.
Insights and Conclusions
Explain why the leadership style(s) and internal culture of the organization complementeach other or do not complement each other.
Explain how the leadership styles and internal culture of the organization may have influenced the behavior of the employeeswithin the organization. You could consider providing specific instances or examples from within the case study to support your response.
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Final Project
Dania Atieh
Southern New Hampshire University
IT 210
2
Light Collections Technology Strategy
Introduction
With the advancement in technology, most businesses are moving towards the embrace
of e-commerce. With the onset of Covid-19, many consumers preferred to shop on the online
platform as compared to traditional brick-and-mortar stores. It has helped many businesses
become more accessible to consumers and this leads to the improvement in the sales of the
company. With the improvement in the usage of mobile phones and innovation, the behavior of
consumers continues to change as consumers are now more informed and this leads to a shift in
the perception of the beauty industry. Light collections are in the beauty industry and specialize
in clothing, shoes, and handbags and the main target market is women and men. The shop has
made considerable sales by using the brick-and-mortar model but is looking towards the
advancement of sales through the use of e-commerce to make sure that there is reaching out to a
wider audience and this is critical in enhancing the profitability of the company. One of the
strategies that will be applied is the use of wireless, mobile computing, and mobile commerce
this is a critical strategy as involves the use of wireless devices such as tablets and cell phones
and this is important for the users as this allows for the ease of conducting the transactions online
including the purchase and the payments of the products. The second strategy to use is intelligent
systems and this is important as it helps the shoppers in the selection of the recommended
products this is through the highlighting of the products through images or languages and this
leads to the interaction with the different customers. It helps in the personalization of the
information and this plays a key role in the retail industry through the improvement of the
company revenues.
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Business Requirements
The objective of the use of e-commerce is to ensure that there is an increase in the
customer base and this is important for the company as it will help in the achievement of the
sales of the company and to focus on the rapid growth of the company. The growth of the
company is critical and this will ensure with the increase in the customer base, there is a wider
reach to the potential customers. The increase in customer base leads to the improvement of the
business sales and this is through the enhancement of the conversion rate (Santos et al., 2023).
With a high rate of conversation, there is more interaction and this makes it easy for the
customers to navigate the process and ensure that there is increased engagement with the
customers. The objective will ensure that customers make more purchases and this will lead to
the improvement of the market share of the company market.
The second objective is the creation of awareness of the brand and this is important as it
will help in increasing the competitiveness of the company in the market. An understanding of
the market is important as this will help in ensuring that there is a connection with the target
market leading to the building of the brand and this is critical as it creates a connection with the
potential customers. The opportunities that are created are important as this helps in setting the
right intelligence setups for the customers that are considered to be loyal to the company (Santos
et al., 2023). With this, there is the ease of comprehension of the objective through the use of ecommerce. The third objective is improving the experience of the customers and this leads to
enhanced customer satisfaction. The objective is important as it leads to the attraction of more
customers and helps to make the company more accessible.
The project will entail the advancement of the company website and this will ensure that
there is the ease in shopping on the online platform. The project will also entail being active on
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the social media platforms such as Instagram, Facebook, Twitter, and TikTok and this is
important as it will help in reaching out to potential customers. It is important to the owner of the
business as the aim is to reach a wider audience and this will lead to the enhancement of the
changes that are required for the growth of the business in the competitive market. In satisfying
the objectives of the business, being present on all the social media platforms and especially with
the use of intelligent systems will create more traffic to the company website (Bertola &
Teunissen, 2018). The key technological requirements that are requirements will ensure that
there is the integration of online shipping, management of the inventory and the shipping
process, tracking of the order by the customers, and will integrate of the sales and the payments
both for the customers and the company.
Competitors and Technology
One of the competitors in the industry is Macy’s and they apply Wireless, mobile
computing, and mobile commerce in reaching out to potential customers. The technology used
by the company is meant to ensure that the target market is young women who are clicking on
the inspiration products and this makes it easy for them to shop from the company website
(Macy’s, 2023). The technology ensures that they show the latest trends in the fashion industry
and this makes sure that they thrive from mobile shopping. In the implementation of the
technology, the company uses the Cortexica Company that powers the features in Macy’s
application and this has allowed for the uploading of the images within the shortest time possible
(Bertola & Teunissen, 2018). At the back end, the company ensures that they are conducting
campaigns and this is important in attracting the target market.
Nordstrom Rack is one of the competitors that applied the intelligence systems and this
has helped in transforming the agile systems of the company through the use of internal tools
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(Townsend, 2018). With the use of intelligent systems, the software identifies potential
customers and helps in improving engagement that leads to the effective retaining of the
customers and acquisition of others (Nostrodom, 2023). The company is benefitting from the use
of technology as the use of technology is centered on the customers and the improvement of their
experience. An example is making sure that the customer makes a conscious decision that leads
to the improvement of the performance of the company. In using the same approach, the focus is
on the improvement of the interactions with the consumers and this will improve the growing
movement of the company to create more awareness of the brand in the market. Technology
solutions
Wireless, mobile computing, and mobile commerce meet the requirements for Light
collections. As one of the goals is to use e-commerce in ensuring that they increase their sales
and revenues on the online platforms, the technology will ensure that it works with the brickand-mortar process in enhancing the satisfaction of the customers. With wireless, mobile
computing, and mobile commerce, there is an increase in efficiency and this is due to the
enhanced communication with the stores where the shoppers are shopping online this leads to the
first shopping experience and the display of the prices while ensuring that the back office end in
the assessment of the levels of stocks is adhered to. As such it leads to enhancement of
availability and accessibility and this improves the levels of satisfaction between the store and
the buyers. The flexibility of the technology is critical as this improves direct access to customer
help and this makes it easy to assist the customers in their purchase process. Follow-up of the
orders is also enabled by the system and this makes it easy for the store to manage the contacts of
the customers and to embrace the new opportunities that the system provides both to the
customers and the store (Ain et al., 2019). With this technology, the gaps that exist are the
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security of the system while the customers are paying for their products. In making sure that the
security system is implemented, sending a one-time password will help in the management of the
accessibility of the platform only to the right user.
The use of intelligent systems in retail shopping is important as this helps in the growth
of the customer base and this is critical in providing a competitive edge for the shop. The use of
intelligent systems meets the requirements of the store and this is focused on the integration of
the needs of the customers and their interests and sending this information on the different sites
that are easily accessible. The system helps in the management of the communication process
and this creates collaboration between the payments from the different accounts to the company.
The system also ensures that there is the management of the contacts of the customers and this
enables the sending of targeted information to the customers. It also helps in the identification of
shopping patterns and this is critical as it allows for the identification of the behaviour of the
customers. The system is also critical as it helps in the improvement of the efficiency of the
supply chain making sure that all the consumers get their products on time (Bertoia &
Tennessean, 2018). The system is also keen on the optimization of the locations of the products
using algorithms and this makes it easy to identify the patterns of the consumers in the purchases
and other factors such as the weather and the season of sales. It then suggests to the customers,
the products that they should stock, and this is critical for the business as it leads to the increased
return for the customers. The personalization of the services by the system is important as this
helps in increasing the engagement of the customers with the system leading to the tailor-making
of the services to the needs of the customers which leads to the improvement of the shopping
pattern. The patterns of shopping led to the reduction of the costs of the company and this allows
for the improvement of the promotions that are done in the long run. The gap that exists in the
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use of the system is the network issues that are likely to affect the system optimization, and this
affects the driving of the technology in the long run.
Recommendations
One of the recommendations is the use of intelligent systems as this is critical in
providing the solution that is needed by light collections. The system is important in the
transformation of the business as it creates knowledge on both the front and the back-office
functioning. The optimization of the decisions made are driven by data and this is critical as it
leads to the understanding of the preference of the customers, offers promotional sales that help
in focusing on the specific items that the customers are interested in, and allows for the decisions
to be timely leading to enhancement of the insights on the customer behaviour (Price, 2018). As
such this is critical as looks at the actions that the store should take in the future and the guidance
that helps in the better planning process. With the security that the intelligent systems offer to the
customer, there is the ease of access to information that is linked to data mining and this leads to
alerting the organization on the appropriate action that should be taken when theft is detected.
The system positions the business for future growth as it helps in the provision of the
structure that is needed in the management of the personnel. It allows for the management of the
expansion process as such the database becomes more secure and this leads to an increase in the
sales of the different stores (Price, 2018). With this, the management of the supply chain is made
easier and this helps in the optimization of the company revenue as it continues to grow. In this
case, there is the forecasting of the company sales and the intervals in which the reporting
process should be done. It leads to increased targeting marketing of the products on online
platforms.
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References
Bertola, P., & Teunissen, J. (2018). Fashion 4.0. Innovating fashion industry through digital
transformation. Research Journal of Textile and Apparel. https://doi.org/10.1108/RJTA03-2018-0023\
Macy’s. (2023). Say Hello To Fresh Looks. https://www.macys.com/
Nostrodom. (2023). More to Rack, easier and faster. https://www.nordstromrack.com/
Santos, S., Gonçalves, H. M., & Teles, M. (2023). Social media engagement and real‐time
marketing: Using net‐effects and set‐theoretic approaches to understand audience and
content‐related effects. Psychology & Marketing, 40(3), 497-515.
https://doi.org/10.1002/mar.21756
Townsend, T. (2018). How Nordstrom tapped Into a Century’s Worth of Customer Data.
https://venturebeat.com/business/how-nordstrom-tapped-into-a-centurys-worth-ofcustomer-data/
Ain, N., Vaia, G., DeLone, W. H., & Waheed, M. (2019). Two decades of research on business
intelligence system adoption, utilization and success–A systematic literature
review. Decision Support Systems, 125, 113113.
https://doi.org/10.1016/j.dss.2019.113113
Bertoia, P., & Tennessean, J. (2018). Fashion 4.0. Innovating fashion industry through digital
transformation. Research Journal of Textile and Apparel.
https://doi.org/10.1108/RJTA- 03-2018-0023\
Price, A. (2018). Asking ‘Why’in AI: Explainability of intelligent systems–perspectives and
challenges. Intelligent Systems in Accounting, Finance and Management, 25(2), 63-72.
https://doi.org/10.1002/isaf.1422
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1
Case Study: The GM Culture Crisis
Dania Atieh
Southern New Hampshire University
3-2 Milestone One
Case Study: The GM Culture Crisis
Introduction
2
The GM case study depicts an organization facing immense challenges due to the deficits
in the organizational behavioral model. Notably, the critical attributes of the case include a report
on the “GM ignition switch” recall that led to 13 deaths and the organizational response to the
crisis. Even though GM has a strong brand reputation and over 200, 000 employees’ response to
the ignition crisis does not bestow confidence (Kuppler, 2014). The main strength highlighted
through the case includes the efforts by the GM leadership to address the crisis and implement a
corrective action plan. However, GM has a cultural and leadership problem that limits the
organization’s ability to address the ignition crisis’s root cause fully. Notably, the tendency to
avoid responsibility, lack of transparency, poor communication, “the Nod, behaviors,” and the
lack of urgency indicates a problematic culture and leadership.
Organization Modelling
Behavioral Organizational Model
The current organizational model in use at the GM is the autocratic model. The model is
dependent upon power, strength, and formal authority. In such an organization, the top leaders
have control and more power in the decision-making process, while the lower-level employee
has limited control over the work functions (Saravanakumar, 2019). The GM salute and the Nod
culture attest to the shortcoming attributed to the autocratic model. Locke (2011) opined that a
narrow framework for decision-making also limits independent perspectives and limited ability
to generate alternatives. The lack of agency and the inability of employees to provide alternatives
at GM is linked to the autocratic behavioral model.
Comparison Organizational Model
The current model used at GM differs from other models used in the automotive industry.
On the one hand, the GM places power at the top executive and limits the involvement of the
3
middle-level employee in the decision-making framework. Consequently, employees need more
sense of fulfillment and worthwhile contribution (Kuppler, 2014). Thus, GM’s decision to “Nod”
to the leadership decision and the lack of agency to implement such a decision is a common
attribute. In contrast, some organizations, such as Ford Motors, adopted leadership styles that
treat white-collar and the blue colored employee equally. Ford is inclined toward the group
culture that focuses on affiliation, strong human relations, and flexibility. The culture at GM thus
differs significantly from other auto industries such as Ford.
Reasons for Differences
Various factors influence the choice of behavioral models within an organization. GM
model differs from the rest due to past cultural influences and the business intent. In the past,
GM has faced financial bankruptcy but failed to make cultural changes to address the issues;
instead, the automaker focused on profit generation (Goussak et al., 2012). This past trend is still
persistent at the organization, as depicted by the response to the “GM ignition call crisis.” Unlike
GM, Goussak et al. (2012) opined that the desire to gain a competitive edge, innovate and
increase the market share has driven other automotive industries to adopt new business models.
Thus, the business focus and past historical influence are the underlying cause for the difference
between GM and other auto payers.
Impacts of Culture on Current Organizational Models
In the context of GM, culture has negatively impacted the organizational model. The
culture at GM has contributed to the loss of agency, poor communication, and the occurrence of
GM salute. These are the hallmark of a dysfunctional organizational culture. Past organizations
have also been impacted by similar cultures, as with the case of Ford, but the desire for growth
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triggered the inclination toward the group’s culture (Abdullah, n.d.). Consequently, a change in
organizational culture has been correlated with positive outcomes, which is not the case at GM.
Status of the Organization Operations
A review of GM’s past depicts an organizational model that is autocratic. This model is
not unique to M and has been used in other industries. However, past failures and lessons learned
from the failure triggered the need to seek alternative perspectives. For instance, Ford
transitioned from the hierarchical model to make financial recoveries (Abdullah, n.d.). Thus,
other organizations have demonstrated that using the hybrid model and shifting cultural
approaches can positively impact organizational operations. Unfortunately, this is not the case
for GM, which has failed to address the cultural and leadership issues.
Motivational Models
The changing business environment calls for new forms of organizational models. In the
traditional model, attention was the intrinsic motivation which significantly differs from the
contemporary organizational model (Markgraf, 2018). In the current model, motivation focuses
on empowering working-level employees, reducing power control, and promoting flexibility.
Thus, the change in the business environment is the underlying cause for the changes in
motivational models and the noticeable current trends.
Conclusion
The GM case highlights the deficits associated with the autocratic model and the impacts
of culture. The organization’s culture and leadership problem translates into a lack of urgency,
transparency, and accountability. Similar models have been used, but auto players have
undergone changes driven by the need to attract a significant market share. Besides, the changes
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in the motivational model are attributed to the changes in the business model. For GM to address
the crisis there is a need to address the cultural and leadership issues.
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References
Abdullah, A. A. (n.d.). Ford motor organizational behavior. Www.academia.edu.
https://www.academia.edu/17491429/Ford_Motor_Organisational_Behavior
Goussak, G. W., Webber, J. K., & Ser, E. M. (2012). A critical needs plan for general motors: A
cultural pluralism approach. Papers.ssrn.com.
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2145407
Kuppler, T. (2014, September 11). The GM culture crisis: What leaders must learn from this
culture case study. Switch & Shift.
https://web.archive.org/web/20161013135112/http:/switchandshift.com/the-gm-culturecrisis
Locke, E. (2011). Handbook of principles of organizational behavior : Indispensable knowledge
for evidence-based management. Wiley.
Markgraf, B. (2018). What is the difference between centralization & decentralization of
authority? Your Business. https://yourbusiness.azcentral.com/difference-betweencentralization-decentralization-authority-17525.html
Saravanakumar, D. .AR. (2019). Unit 1 organizational behaviour. ResearchGate.
https://www.researchgate.net/publication/330409514_unit_1_organisational_behaviour
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