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Policies and Organizational Culture

DISCUSSION

Policies and Organizational Culture

Citing from the similarity that existed in the answers presented by the students, it is factual that if the assignments did not allow collaboration, group work might be regarded as unethical and intolerable. However, the case presented in the article appears to be contradictory as for the Duke University MBA Program it says that the students exhibited collaboration but for the Centenary College Chinese MBA Program, it says that students answers exhibited plagiarism (Pearce & Robinson, 2013). Thus, judging from the perception of these two cases, it is perceptible that collaboration is not acceptable in one situation where in the other case, plagiarism marks the unethical conduct. This means that for the case in the Centenary College Chinese MBA Program, collaboration in offering ideas and thoughts is acceptable though how to express the answer in the answer sheet should be different. Therefore, it was alright to give Chinese students in Centenary College an option on either to get a refund or to take a comprehensive exam. However, for the students in Duke University, the case required thorough assessment on whether the cheating could have been regarded as collaboration or dishonesty. However, if the exam sheets made an informed consent on such as case, then, this could have been regarded as cheating. This contention is based on the fact that most of take-home assignments are not restrictive to collaboration though for the final exam it might be different. Thus, if the students were aware of the issue of collaboration that it can be regarded as cheating which is intolerable in the final take-home exam, then, the decision made was ethical.        

Case 9: Defender Direct, Inc.: A Business of Growing Leaders

Synopsis

Defender Direct, Inc. was opened as a start up organization in Indianapolis, Indiana. This privately owned company dealt with installation and sale of ADT security systems together with Dish Network Satellite Television in U.S (Pearce & Robinson, 2013). Precisely, the company was founded by Dave Lindsey in his bedroom home back in 1998. Lindsey decided to start the business as an entrepreneur following a transition from being an employee in Medeco Security Locks, Inc where he worked in new-product development department.

To start the current Defender Direct, Inc., Lindsey used his personal savings together with those of his wife which added up to $30,000 to start the business that he initially gave the title Defender Security Co. Thus, after the business continued to operate successfully, Defender Direct endured rapid growth within a 10 years period recording and average annual growth rate of approximately 60% (Pearce & Robinson, 2013). This made the company become the dominating satellite and security systems wholesaler in the Midwest. Precisely in 2008, the company ranked among the top 500 rapidly growing companies in United States after recording revenues of approximately $150 million (Pearce & Robinson, 2013).

According to Lindsey’s assertions, his company’s stellar growth and development in the U.S market was promoted by emphasizing on direct-marketing and nationwide expansion. Therefore, in order to achieve this, Lindsey was motivated by the notion that “businesses don’t grow – people do”. This means that the basis of Defender’s culture and value emphasized on employee development. Lindsey believed that their growth was not fostered not by competence to offer quality security systems and installation services but rather because of the development of the employees. Thus, Lindsey believed that doubling the team members was directly proportional to the overall growth of Defender Direct, Inc. thus, in this case the major problem with Defender Direct, Inc. is based on how to manage and control the growth rate as it can be detrimental to the future progress of the company (Pearce & Robinson, 2013).

Alternative Solutions

  • Defender Direct, Inc. may implement diversification strategy in order to maintain and control the stellar growth. This might be achieved through venturing in other related businesses such as selling and installation of electronic products connected to the security systems.
  • The company might also execute defensive strategy that will reduce the probability of materialization of risk associated with incurring losses in future. Citing from the high growth rate experienced by Defender Direct currently, future losses might appear huge to the company to an extent of hindering further expansion and growth.
  • Lastly, Defender Direct might decide to start producing their own security systems as a strategy of maintaining the growth rate. This would help them in future particularly in dealing with potential market changes that might be resulted by demand changes on the associate’s products used by the company.  

Selected Solution

Implementation of diversification strategy by Defender Direct, Inc is very imperative to the company particularly with regard to control and maintenance of their growth rate. It is factual that there is stiff competition in security systems market particularly in United States as large number of new entrants continues to be recorded annually. Thus, since Defender Direct depends basically on business associates who produce those security systems and satellites, competition effects can be very detrimental to the success of the company.

Therefore, diversification strategy will help the company with the control measure particularly in lessening the effects of competition or failure of the associates to the overall success of the company. Venturing in another but related business will additionally generate more revenue for the company that might be used for future recovery just in case the risk materializes.    

Implementation

Diversification strategy can be implemented through venturing in other related businesses such as selling and installation of electronic products connected to the security systems. These related business environments will make sure that the business is still on track but still can generate revenues externally. This will reduce the probability of suffering from future risks associated with failure of business associates and stiff competition.

Diversification strategy can be used before implementing other strategies such as defensive strategy and production of their own security systems and satellite. Precisely, diversification will prepare the company in making defensive strategy and producing their own products by giving them experience regarding other markets. Therefore, after venturing in the selected market, the company will perform successfully and will be able to maintain and control their growth rate.

Conclusion and Recommendation 

Generally, Defender Direct, Inc. is obliged to implement strategies that will help the company maintain and control their growth rate together with minimizing chances of risk materialization in future. It is factual that rapid growth endured by Defender Direct can pose future effects to the success of the company such as huge losses. Therefore, using diversification as one of the strategies to be implemented in the company is significant to the future success particularly with regard to control and maintenance of their growth rate.

Other strategies that might be significant for the future success of Defender Direct, Inc. include defensive strategy and production of their own security systems and satellites.  These strategies will watch over future risks that the company can incur particularly with regard to the deceleration of the company’s success.

Reference

Pearce, J. A., & Robinson, R. B. (2013).Strategic management: Planning for domestic & global competition (13th ed.). New York, NY: McGraw-Hill.

APPENDIX 

SWOT Analysis

Strengths

  1. Marketable product line
  2. Competent employees
  3. Effective systems that retain the values of the company

Weaknesses

  1. Highly dependent on employee development
  2. Less focus on product development
  3. Increased bureaucratic propensities

Opportunities

  1. International market expansion
  2. Sales increase particularly through internet promotion

Threats

  1. Stiff competition
  2. Lack of own products
  3. New entrants

 

1239 Words  4 Pages
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