Prediction for Success
When organizations move from operating in a single country to operating in multiple countries, they face special challenges regarding the allocation of decision-making rights (Spector, 2013, p. 86). MB operates autonomously due to its corporate structure. Spector (2013) details how multinational organizations benefit by allowing autonomy from the general managers; he cites; “That way, they can respond to the particular and unique challenges and opportunities faced within their home country. These national managers possess greater understanding than do corporate personnel of their own operational, customer, and national issues. As a result, business units will be able to adapt in a speedy manner to shifts in their marketplace” (Spector, 2013, p. 86).
Transitioning each country’s MB cell to that of SDTing, can either go smoothly or be met with some resistance. MB utilizes high differentiation across its organization, in terms of how each country manager manages its cell across national borders. This differentiation according to Spector (2013), “enables different functions, departments, and units in an organization to develop their own responses to their particular goals and unique competitive environments”. Change implementation will impact each component of the organization. Based on how this change is enacted, resistance or managerial empowerment will result from this change. Should shared diagnosis be achieved, commitment to SDTing will ensue however; if not managers may actively or passively resist the new testing practice despite this new method increasing profits.
MB must promote the idea that not only does this method increase our bottom line (as it shaves some overhead cost) but it is environmentally friendly. Moreover, MB needs to set up controls within the cell conversion. By adapting controls there will be a blue print for overseas unit to follow, thus, mitigating the trial and error phase these cells might endure when adopting this new product strategy. A potential challenge the MB Europe cells may encounter is the availability of horseshoe crabs; with this in mind MB needs to ensure these cells would have access to these resources. MB could potentially place dams on its European cells premises and harvest crabs in that manner, to ensure a steady supply is available.
Additionally, to promote this product across national border MB should reaffirm its commitment to autonomy. Before the implementation of the new product strategy, MB sought to give its general managers autonomy, as long as they attained those growth quotas and measured earnings (Spector, 2013). This approach was widely accepted by the country general managers and should continue once the testing procedures are converted from rabbits to horseshoe crabs. By continuing this autonomy, these country managers will be able to continually adapt in a speedy manner to shifts in their marketplace (Spector, 2013).
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