Summary
Organizations today are constantly changing and evolving, in search of excellence and trying to adapt and anticipate the changes that the turbulence of the current environment requires. Hence, the diagnosis becomes a fundamental tool for managers to know the state of their organization and to evaluate the expected path to achieve their strategies.
The general objective of this work is: To determine the current situation of the Maxso Division of the Copextel Corporation. SA
To carry out the work, methods such as: Brainstorming through group work were used to determine the key variables within each function of the organization, survey and interviews of all workers to obtain the main strengths and weaknesses. The survey was processed using the statistical package SPSS version 10.0 for Windows, to determine the causes, the Ishikawa cause-effect diagram, among others, was used.
Abstract
Actually the organizations are in constant change and evolution; they are looking for adapting or even anticipating to the turbulence that the environment demand. That´s why the diagnostic became in an important tool to the managers know the situation of the organization and assessment the previous way determined by them for getting the strategies.
The general objective of this work is to determine the actual situation of the Maxso Division of the Copextel Corporation.
To make this research different method was used; such as: brain storming by team works to get key variables inside the organization function's, survey and interview to the total workers of the organization to get the mean strengths and weakness. The survey was processed by using statistical software SSPS version 10.0 for windows. To get the causes was used the cause effect diagram of Ishikawa.
Introduction
Diagnosis can be defined as an analytical process that allows knowing the real situation of the organization at a given moment to discover problems and areas of opportunity, in order to correct the former and take advantage of the latter1.
The integral diagnosis of an organization implies starting from the following considerations:
Conceptualize an organization as an open social system made up of different dimensions (human resources department, sales, production, etc.), each of which works in a particular way but with close interdependence with the other work areas, in such a way It can be affirmed that the operation or failure of any organization is a function of the degree of harmony and collaboration that exists between the parts that make up the organizational system.
Carrying out a diagnosis in an organization does not mean highlighting the problems that affect it, but rather it is about recognizing its strengths and weaknesses so that the former can be reinforced and the latter can be diminished. For all of the above, it is essential to use comprehensive diagnostic instruments that evaluate each of the dimensions that make it up.
The idea is to obtain valid and reliable information on all those aspects that influence the operation of any organization.
Hence, the general objective of this work is: To determine the current situation of the MAXSO Division of the COPEXTEL Corporation. SA
Particular objectives:
- Determine the main problems of the organization. Identify the causes that cause the main problem detected. Propose the problem that is the subject of a master's thesis.
General Characterization of the Organization:
Maxso is a Commercial Division of Corporación Copextel SA, dedicated to the commercialization of integral solutions aimed at access control, electronic registration, points of sale and their peripherals, supplies and technical assistance services, installation and maintenance of installed equipment.
Its corporate purpose or strategic purpose:
Import, commercialization of integral solutions of registration and control, points of sale, identification, calculators, supplies, parts and pieces necessary for its operation, as well as technical assistance support, which includes training, programming and repair for your solutions.
This activity is promoted at the national level, through our territorial representations. In addition to exporting these solutions.
It establishes the strategies to achieve competitiveness, based on the policies, principles and procedures established by the Corporation.
The MAXSO Division has a Strategy for meeting the objectives, defining its responsibilities in meeting them.
Mission:
Market and develop services with solid revolutionary convictions, a comprehensive culture and a high degree of competitiveness and commitment. Achieve technological solutions in close alliance with other business and professional organizations that allows us to contribute to the corporation becoming a destination of national excellence.
Maxso's organizational structure is as follows:
Maxso's organizational structure
Functions of each area:
- Technical Services Area: Area in charge of carrying out the survey, installation, repair and maintenance of solutions for customers. Production of cards for access control. Sales Area: Its mission is the sale of supplies, calculators, electronic scales, as well as everything related to Show Room products. In addition, it is in charge of attending to the needs of the territories. Project Area: It is the area that studies the client's need and develops the project for its solution, works closely related to the Technical Services area and is also geared towards exports of integral solutions. Purchasing Area: Carry out all purchasing operations in the division, both for the sale of solutions to customers and for the needs of the organization. Economy Area:It performs all the financial, economic analysis and accounting operations of the entity. Logistics Area: Guarantees the Division's assurances: transportation, services, and other activities that allow uninterrupted operation. Technical Advisory Group: This group is directly subordinated to the General Manager and his mission is to investigate the technological advances of the division's products, where the market is headed, as well as detect threats and opportunities in the environment. General Specialist: Covers everything related to Internal Control, the development of the process of Organization and is aimed at constant improvement.and other activities that allow uninterrupted operation. Technical Advisory Group: This group is directly subordinate to the General Manager and its mission is to investigate the technological advances of the division's products, where the market is headed, as well as detect threats and opportunities from the environment. General Specialist: Covers everything related to Internal Control, the development of the Organization process and is aimed at constant improvement.and other activities that allow uninterrupted operation. Technical Advisory Group: This group is directly subordinate to the General Manager and its mission is to investigate the technological advances of the division's products, where the market is headed, as well as detect threats and opportunities from the environment. General Specialist: Covers everything related to Internal Control, the development of the Organization process and is aimed at constant improvement.the development of the Organization process and is aimed at constant improvement.the development of the Organization process and is aimed at constant improvement.
The Division is part of a Strategic Unit, which is also made up of other Divisions, which has representation at the national level, facilitating services across the length and breadth of the country.
Development
1. Assessment of the strategy:
At this time, before the call of the country and the MIC, COPEXTEL is in a process of internal reorganization and restructuring with the aim of perfecting and optimizing its structure as well as for the search for greater work productivity and efficiency in the use of available resources.
The MAXSO Division, as part of the corporation, is also involved in this process.
Until 2009 the strategy of the Corporation and the Division has been directed towards the fulfillment of economic plans and indicators, and has not been focused or directed towards satisfying the needs of customers, which must be the reason for being of the organization.
The existing strategy until 2009 will be evaluated analyzing the criteria previously exposed.
The strategy for 2009 has the objectives taken to goals, the policies are established by the corporation for all its divisions and UNE and the actions to be carried out are defined. It is necessary to point out that in many cases the actions remain in a very general definition that does not indicate what should be done, such as: Achieving a much more productive approach to work with CASIO, what you want to do is considered, but not that it will be carried out concretely to achieve this approach, which leaves the action very open. It is then required to open more each action to specify, establish responsibilities and be able to exercise compliance control.
The strategy is focused on achieving a better functioning of the Division and the fulfillment of its plans, these are the key concepts on which it is based. There were problems with the allocation of resources, as well as other external problems, which did not make it possible to meet the goals established in 2009.
Regarding the basic criteria set by Quinn to evaluate the strategy, the assessment is as follows:
The objectives established were decisive for the moment the Division was in, since the improvement of internal conditions and the focus on meeting the goals for a certain market sector were required first.
For the future, they must be more aimed at attracting customers and achieving their full satisfaction, to obtain better results in this way.
The strategy is more reactive than anticipatory, it is aimed at solving problems accumulated in previous years, in 2010 it is intended to be more anticipatory and to achieve the commitment of people.
The strategy does not guarantee a reserve of resources for flexibility and maneuverability, due to the limitations of material and financial resources that the country, the entity and the Division have.
The strategy seeks and promotes the achievement of responsible leadership committed to the fulfillment of goals and tasks.
The strategy does not ensure the resource base or other fundamental operational aspects for the company.
The strategy does not consider surprise, since it is not aggressive with respect to the competition. CIMEX constitutes a strong competitor of MAXSO since it supplies the main chain stores in the country. The strategy should consider the main offensive actions to increase the presence of Maxso's solutions in the country's chain stores such as Caracol and TRD.
Mission Assessment
The current mission does not give the organization an approach oriented to market satisfaction.
The mission does not identify the Division, it is not customer-oriented. As stated, it can be valid for any division of Copextel.
It does not list the functions or services offered or the capabilities that can distinguish the division.
Assessment of the Objectives:
The objectives for 2009 are aimed at achieving the previously conceived strategy, aimed at complying with the plans and indicators.
It is necessary that those defined for the year 2010, reorient themselves to the new strategic vision, must be directed more at satisfying the needs of the market, and must be directed not only at the fulfillment of plans and indicators, but also at the new restructuring strategy and optimal use of available resources.
It is recommended to reformulate the objectives tempered to the new conditions
Structure Assessment
The organization structure is a means that helps the administration to achieve its objectives. Since the objectives derive from the overall strategy of the organization, it is hardly logical that the structure and the strategy are closely linked. More specifically, the structure should facilitate the implementation of the strategy.
Today the need to change the strategy is valued, which may manifest itself in a change in the organizational structure in search of rationalizing activities and optimizing the use of resources.
As a result of a study of the structure of the organization2 carried out by the author for the evaluation of the subject Organization, it was obtained that:
As shown by the organizational chart of the Maxso Division and according to the parts defined by Mintzberg3, the following classification can be made:
Operations core: Technical Services Area, Purchasing Area, Sales Area and Project Area
Strategic apex: General Manager, Board of Directors.
Midline: Internal Control Group.
Technocratic Staff: Technical Advisory Group.
Support Staff: Logistics Area, Economic Area and Administrative Area. (Secretary, IT).
The level of specialization can be assessed as follows:
In the Operations Core, the project, sales and purchasing areas, a low horizontal specialization prevails, they have a high diversity of tasks, which is coupled with the different activities they carry out, and their relatively low vertical specialization can be assessed, since they have some independence in decision-making, although not in all cases they can decide without adequate approval from the Board of Directors and in addition to having high control over their work, which allows them relative independence from each other and close contact with your customers and suppliers.
In the Technical Services Area, something similar happens, they play an important role in real conditions, being responsible for the quality of services, facilities, maintenance and repairs. It can be said that they have a low Horizontal specialization and a relatively low Vertical specialization.
The posts of the Support Staff, the logistics area and the administrative area (secretarial and informatics), present a high specialization in the horizontal dimension by carrying out somewhat simpler and to a certain extent repetitive tasks, they also have a high vertical specialization, their tasks They are depending on what is oriented to them, although they may present some initiatives for their proper development, the economic area, also has a high horizontal specialization, and a high vertical specialization, although there is a position of Finance is specialized horizontally but presents low vertical specialization.
The posts of the Midline, Internal Control Group, have a high horizontal and vertical specialization.
The posts of the Technocratic Staff, in this case the Technical Advisory Group, have a low horizontal specialization due to the constant development of their work and their constant analysis, but a high vertical specialization.
In the Strategic Apex, General Manager and Board of Directors, they have a low specialization both Horizontal and Vertical.
The grouping of units presents some inconsistencies that are summarized below:
- It does not favor the coordination of work by having a Sales, Projects and Technical Services area, which does not take into account the integral solution to the Client. For this same reason, the natural flow of work is not favored as a fundamental parameter in the design of organizations It does not take into account the standardization of skills as a coordination mechanism with its corresponding parameter of preparation design in the grouping of units, that is, in the grouping of areas, knowledge and skills being the basis of grouping It does not favor customer service, as a fundamental element, due to the complexity of providing a comprehensive solution, covering the sale of the solution, its after-sales services and its inputs, and the client is forced to sign a contract in each area, so in addition,they do not favor regulated control flows.
The current structure of the Division does not guarantee an adequate functioning of the areas, greater integration between these is required; that are directed to a Comprehensive Project Solution and not to isolated services.
It can be summarized that in order to achieve better organizational efficiency, it should not be overlooked that:
- The current structure does not provide enough, the possibility that workers systematically feed back in order to provide criteria for decision-making. The current structure does not favor the integration of the capacities of the different areas, as well as obtaining systematic feedback. The current structure does not consider the organization as a process, facing the client, since the client to receive the services must make contracts with three areas of the division.
Regardless of this situation, most work areas are aware that changes are needed to raise the level of results and efficiency of the organization.
2. Assessment of the current situation
The starting point was to consider the organization as a process, considering its inputs, main processes and outputs.
The main inputs of the division are: material, financial resources, workers, customers and information.
The processes were classified into three levels: strategic, key and support.
Strategic processes are those intended to define and control the goals of the company, its policies and strategies. These processes are managed by senior management together.
The key business or operational processes are those intended to carry out the actions that allow the development of the policies and strategies defined by the company to serve its customers; it is what allows to fulfill the mission of the entity. These processes are carried out by the functional directors, who must count on the cooperation of the other directors and their work teams.
Finally, the support or support processes are those that are not directly linked to the policy development actions, but whose performance directly influences the level of the operational processes.
The main outputs of the processes should be: Satisfied customers, satisfied workers, integral solutions, supplies, equipment and technical services for the solutions, as well as the main economic indicators of efficiency and results of the organization (Sales profit, average salary correlation, productivity, etc.).
Chart No.1 shows the processes of the organization. Graph No.1 Processes of the organization.
Organizational processes
Source: self made.
To carry out the diagnosis of the current situation, starting from the analysis of the Division as a process, a brainstorm was carried out with specialists from all work areas with the aim of detecting the key variables for the analysis.
As a result of this, the following key variables were obtained:
Installation
- General condition of the facilities Safety conditions of the facilities Condition and modernity of the equipment
Attractive
- Location of facilities Access to supplies Access to personnel
Service conformation
- Diversity of services offeredCommunication efforts to the marketPersonalization of the serviceCommunication to end customersService standardization levelCommunication to intermediariesCapacity to take advantage of the service technologyUse of communication means appropriate to the characteristics of the marketAdaptation of the product to market demandsCommunication correspondence to the market with the offered products. Price in correspondence with the quality of the offered product.
Relationship with the competition
- Quality - price relation with respect to the internal competition. Product quality with respect to the internal competitors.
Persons
- Suitability for the position Appropriateness of training to the specific requirements of the corporation Motivation of workers Forms of encouragement to workers Participation of workers in management Fluctuation Conditions of work Performance evaluation Teamwork Professional competences of managers Level of commitment of workers to the entity.
Availability of resources and management systems
- Accounting reliability Availability of financial resources Information system adapted to the needs of analysis and decision making Collection management Payment management Customer orientation
Results obtained
- Corporate imageCorporate identityQuality service imageCustomer satisfaction gradeProfitabilityLiquidityOperation cost
Address
- Structure-strategy correspondence Leadership Relationship between areas Senior management relationship with workers Senior management relationship with intermediate levels Strategic planning Operational planning
A survey was carried out with these key variables, with the aim of evaluating their behavior in the division under study.
The survey was applied to the entire population, made up of the 33 workers in the division. Responses were received from the 33 surveys for 100%.
The scale used for the evaluation was from 0 to 5, with 5 = Very Good, 4 = Good, 3 = Regular, 2 = Bad, 1 = Very Bad and 0 = I don't know.
For the processing of the surveys, the statistical package SPSS version 10.0 for Windows was used.
In this, descriptive statistics were used, and the frequency and the mean were analyzed to select the evaluation of the variables.
The variables evaluated with 3.5 points or more as average value were considered as strengths, since they offer results that approximate Good or more.
The variables evaluated with less than 3.0 points as average value were considered as weaknesses, which served to determine the main problems of the organization.
According to these results, the main strengths and weaknesses of the Division turned out to be:
Strengths:
- Safety conditions of the facilities (4.27 average value) General condition of the facilities (4.18 average value) Relationship of senior management to intermediate levels (3.61 average value) Leadership (3.61 average value) Relationship of senior management with workers (3.61 average value) Access to staff (3.58 average value) Price-quality ratio of services (3.55 average value) Level of commitment of workers to the entity (3.55 average value) Strategic planning (3.52 average value) Operational planning (3.52 average value)
Weaknesses:
- Working conditions (2.70 average value) Participation of workers in management (2.82 average value) Motivation of workers (2.88 average value) Access to supplies (2.88 average value) Information system adapted to analysis and decision-making needs (2.91 average value) Relationship between areas (2.91 average value) Personification of the service (2.94 average value) Corporate identity (2.94 average value) Degree of satisfaction of the customers (2.94 average value) Service standardization level (2.97 average value) Reliability of accounting (2.97 average value) Collection management (2.97 average value)
3. Selection and classification of problems
For the selection and classification of problems, the aspects were first grouped by related themes and the possibility of joining or establishing relationships between them was analyzed in the way shown below.
As observed, there are 2 strengths related to the facilities, which could be summarized in one: Good general condition and good safety conditions of the facilities.
Related to address 5 there are variables with high scores that can be three:
Good relations of senior management with workers and intermediate levels.
Leadership.
Good strategic and operational planning.
So the reduction of the list by the grouping of variables (which represent strengths) would be as follows:
Maxso's Main Strengths:
- Good general condition and good safety conditions of the facilities. Good relations of senior management with workers and intermediate levels. Leadership Good access to staff. Level of commitment of workers to the entity. Good strategic and operational planning.
Among the main strengths resulting from the analysis, three of them correspond to the management function, two are related to people and one to the facility or infrastructure to carry out the work.
With regard to weaknesses, it is observed that there are three associated with workers, which could be summarized in one: Low motivation of workers, as this may be caused by the other two: Inadequate working conditions and poor participation of workers in the management.
There are two related to the service: low personification of the service and low level of standardization of the service, this shows a contradiction in the result, since the service must be personalized or standardized. Respondents were interviewed to clarify this aspect and the result of the interviews showed that the service is highly standardized and this is considered a weakness, since it does not adjust to the needs of the clients, therefore, the low degree of Customer satisfaction.
Maxso's main weaknesses:
- Low worker motivation. Difficult access to supplies. Information system not adapted to the analysis and decision-making needs of the division. Inadequate relationship between the areas. The products and services sold by MAXSO do not have their corporate identity. Low grade customer satisfaction Low accounting reliability Insufficient collection management
There are four weaknesses related to the Division's management (two with financial management, one with information management and one with management), one related to workers, one to access to supplies and two to clients.
4. Analysis of the causes
The cause effect diagram was used to analyze the causes.
A Cause-Effect4 diagram is the representation of various elements (cause) of a system that can contribute to a problem (effect). It was developed in 1943 by Professor Kaoru Ishikawa in Tokyo. It is sometimes called the Ishikawa Diagram or Fishbone Diagram because of its resemblance to a fish skeleton. It is an effective tool to study processes and situations, and to develop a data collection plan.
The Cause and Effect Diagram is used to identify the possible causes of a specific problem. The graphical nature of the Diagram allows groups to organize large amounts of information about the problem and determine possible causes. Finally, the probability of identifying the main causes increases.
The Cause and Effect Diagram should be used when you can answer “yes” to one or both of the following questions.
- Is it necessary to identify the main causes of a problem? Are there ideas and / or options about the causes of a problem?
We proceeded, through group work, to determine the causes that cause the low degree of customer satisfaction.
With the result of the collected ideas, graph No.2 was prepared, which represents the cause-effect diagram of the MAXSO Division.
Graph No.2: Cause-Effect Diagram of the Fundamental Problem
Cause-Effect Diagram of the Fundamental Problem
Once the diagram was obtained, to detect the priorities in relation to the causes, nominal voting was used to the members of the working group where priorities should be established from 1 to 5 (from highest to lowest priority) to the fundamental causes to determine the main cause of the problem raised.
As a result, this instrument offered the following order of priority: Priority No.1: Management approach not focused on the client (with 81.8% of the votes, 8 out of 11 cros).
Priority No.2: Non-personalized service Priority No.3: Unmotivated workers Priority No.4: Difficult access to supplies Priority No.5: Inadequate price-quality ratio
Considering priority No.1 resulting from this analysis, it will be necessary to validate this cause and propose a solution for it, which will be of great importance for the organization under study.
Conclusions
The study carried out allows us to reach the following conclusions:
- The strategy in force until 2009 was not focused on the client, but rather on the improvement and improvement within the Division. In 2010, although the corporate and division strategy is not formally stated, it is restructuring and optimization. It is considered that the mission was not properly elaborated, therefore a new mission is proposed for the Division. The current structure does not facilitate Sufficient, the possibility of workers systematically giving feedback so that they can provide criteria for decision-making. The current structure does not favor the integration of the capacities of the different areas, as well as obtaining systematic feedback. currently does not consider the organization as a process, facing the customer,Since the client must receive contracts with three areas of the division to receive the services, Maxso's main strengths are: Good general condition and good safety conditions of the facilities, Good relations of senior management with workers and intermediate levels., Leadership, Good access to staff, Level of commitment of workers to the entity, Good strategic and operational planning.The main weaknesses of Maxso are: Low motivation of workers, Difficult access to supplies, Information system not adapted to needs of analysis and decision-making of the division, Inadequate relationship between the areas, The products and services sold by Maxso do not have their corporate identity, Low degree of customer satisfaction,Low reliability of accounting and insufficient collection management 8. Considering the main weaknesses of the organization, it was estimated that the main problem is due to the low degree of customer satisfaction. The main causes of the problem detected, in order of priority, are: Management approach not focused on the customer, Service not personalized, Unmotivated workers, Difficult access to supplies and Inadequate price-quality ratio.Difficult access to supplies and Inadequate price-quality ratio.Difficult access to supplies and Inadequate price-quality ratio.
recommendations
The main recommendations of the work are:
- Evaluate the new mission proposed to be adopted by the Division. Formalize the new restructuring strategy in the Division. Validate with clients the main problem detected. Work on the master's thesis in the validation and solution of the main cause detected in the analysis..
Bibliography consulted
- Carballal del Río, Esperanza. Collaborative structures. The transition from a hierarchical structure to a Collaborative. Carballal del Río, Esperanza and Díaz Crespo, Rafael. Materials of the Organization Module of the Master's Course Codina Jiménez, Alexis. Diagnosis of problems. Approaches and tools. Ppt prepared for the classes of the Diploma in Management. 2009. David, Fred R. Strategic management concepts. Fifth edition. Prentice Hall Hispanoamericana, SA 1997. México.Deulofeu Crespo, María E. The improvement of strategic processes in hotel chains. Thesis to opt for the degree of Doctor of Economic Sciences. May, 2001. Díaz Llorca, Carlos, Carballal del Río, Esperanza and Rodríguez López, Jorge. His mission How to design it? Díaz Llorca, Carlos, Carballal del Río, Esperanza and Rodríguez López, Jorge.The solution of a conflict. The performance of a management team. Litwin, G. and Stinger, H. Dimensions of the organizational climate. Latin American Society for Quality. Menguzzato, Martina and Renau, Juan José. The strategic direction of the company. An innovative approach to management. Editorial Ariel Economy. 1991. Mintzberg H and Quinn, JB The strategic process: concepts, contexts and cases. 2nd Edition. Mexico. 1993. Navas López, José E. Y Guerras Martín Luis A. The strategic direction of the company. Theory and applications. Editorial Civitas SA Madrid. 1996. NGO platform for social action. Cause and effect diagram. Monografías.comRobbins, Stephen P. Organizational behavior. Theory and practice.Steiner, George A. Strategic planning. What every director should know. A step by step guide. CECSA Editorial. 8th impression. April 1987.Ventura Victoria, Juan. Competitive analysis of the company: A strategic approach. Editorial Civitas, SA 1994. Yescas Domínguez, Oscar. Theory and methods of organizational diagnosis. www.monographies.com
Footnotes
- Tinder Domínguez, Oscar. Theory and methods of organizational diagnosis. www.monografías.comSosa Manzanet, Carlos A. Paper presented to evaluate the subject Organization of the Diploma in Management.Mintzberg, Henry. Design of efficient Organizations. Diagram of cause and effect. NGO platform for social action.
