A typical business organization has three basic functions: finance, marketing, and operations. These three functions, and other supporting functions perform different but related activities necessary for the operation of the organization (Stevenson, 2002).
The first element that is related with James’ Operations Management definition is “We too, are standing on a “burning platform”, and we must decide how we are going to change our behavior”. That is the employees need to be transformed, in a nutshell, the employees' attitude in the workplace (Nokia) must be changed positively that will lead to efficiency and effectiveness.
Another element is in “2008, Apple’s market share in the $300 + price range was 25 percent; by 2010 it escalated to 61percent. They are enjoying a tremendous growth trajectory with a 78percent earnings growth year over year in Q4 2010. Apple demonstrated that if designed well, consumers would buy a high-priced phone with a great experience and developers would build applications”. This shows that Nokia products should be transformed to meet the customers’ demand and to be able to increase its market share.
This is another element “We have some brilliant sources of innovation inside Nokia, but we are not bringing it to market enough”. Last but not the least element is “we are working on a path forward – a path to rebuild our market leadership”. This shows that every aspect of Nokia as an organization needs transformation to regain its lost glory and to be relevant in communication market or the world.
The first step I recognized is the corporate objectives. This is reflected in the statements “we are working on a path forward – a path to rebuild our market leadership”.
The second step I recognized is “Assess how different products win orders against competitors”. This is shown in 2008, Media Tek supplied complete reference designs for phone chipsets, which enabled manufacturers in the Shenzhen region of China to produce phones at an unbelievable pace. Also, Apple and Android are not left out in this area.
Both the 4th and 5th steps i.e (establish the most appropriate mode to deliver these sets of products and the 5th step which provides the infrastructure required to support operations are present in the memo.
What internal and external factors do you observe?
The following are internal factors:
· Attitude or behavior of the employees
· Culture i.e Nokia culture
· Environment
· Decision making
· Technology
External factors are the following:
· Competitors
· Technology
· Costumes/consumers
· Price
· Environment
Comments on the CEO’s use of violent imagery and language (burning platform, death, war) as a motivational tool.
The use of violent imagery and language (burning platform, death, and war) by the CEO’s shows that there is a need for spontaneous, urgent and adequate actions from the organization. Also, all employees from rank and file staff to management must put on their thinking cap to rescue Nokia from sinking or being irrelevant in the market. The volatile or harsh words used by the CEO shows that the organization is about to collapse and the employees are about to lose their jobs if adequate measures are not taken to rescue the situation.
Pros
· The employees will soon regain its lost glory.
· The employees will be highly rewarded if things change positively especially in the area of remuneration.
· The developers in the organization will be able to think and bring new ideas into the organization and it will also increase their C.V
· Nokia organization will be able to compete favorably with other competitors in the market.
· With this memo, Nokia will become a household name once again.
Cons
· The employees that are redundant will be shipped out.
· The employees that are not innovative enough or that cannot cope with the new trend will resign.
Yes, I feel motivated with the speech or memo because challenges are part of life and if some refused to face challenges that person cannot grow. We can see this in the man that plunged into freezing waters, survived the fall a water which led to change in his behavior.
This approach cannot backfire since the CEO knew what he is doing and there is a lay down the blueprint to guide and guard the organization.
REFERENCES
Akintayo and Oghenekowo (2003). Corporate Strategies for policy formulation. Yemi Modern Printers, Ibadan, Nigeria.
James, T. (2011). Operations Strategy. Bookboon.com
Edwards, J. (2013). Business Insider. Retrieved from: http://www.business insider.com/stephen –Elop's-burning-platform-memo-2013-1.
The first element that is related with James’ Operations Management definition is “We too, are standing on a “burning platform”, and we must decide how we are going to change our behavior”. That is the employees need to be transformed, in a nutshell, the employees' attitude in the workplace (Nokia) must be changed positively that will lead to efficiency and effectiveness.
Another element is in “2008, Apple’s market share in the $300 + price range was 25 percent; by 2010 it escalated to 61percent. They are enjoying a tremendous growth trajectory with a 78percent earnings growth year over year in Q4 2010. Apple demonstrated that if designed well, consumers would buy a high-priced phone with a great experience and developers would build applications”. This shows that Nokia products should be transformed to meet the customers’ demand and to be able to increase its market share.
This is another element “We have some brilliant sources of innovation inside Nokia, but we are not bringing it to market enough”. Last but not the least element is “we are working on a path forward – a path to rebuild our market leadership”. This shows that every aspect of Nokia as an organization needs transformation to regain its lost glory and to be relevant in communication market or the world.
The first step I recognized is the corporate objectives. This is reflected in the statements “we are working on a path forward – a path to rebuild our market leadership”.
The second step I recognized is “Assess how different products win orders against competitors”. This is shown in 2008, Media Tek supplied complete reference designs for phone chipsets, which enabled manufacturers in the Shenzhen region of China to produce phones at an unbelievable pace. Also, Apple and Android are not left out in this area.
Both the 4th and 5th steps i.e (establish the most appropriate mode to deliver these sets of products and the 5th step which provides the infrastructure required to support operations are present in the memo.
What internal and external factors do you observe?
The following are internal factors:
· Attitude or behavior of the employees
· Culture i.e Nokia culture
· Environment
· Decision making
· Technology
External factors are the following:
· Competitors
· Technology
· Costumes/consumers
· Price
· Environment
Comments on the CEO’s use of violent imagery and language (burning platform, death, war) as a motivational tool.
The use of violent imagery and language (burning platform, death, and war) by the CEO’s shows that there is a need for spontaneous, urgent and adequate actions from the organization. Also, all employees from rank and file staff to management must put on their thinking cap to rescue Nokia from sinking or being irrelevant in the market. The volatile or harsh words used by the CEO shows that the organization is about to collapse and the employees are about to lose their jobs if adequate measures are not taken to rescue the situation.
Pros
· The employees will soon regain its lost glory.
· The employees will be highly rewarded if things change positively especially in the area of remuneration.
· The developers in the organization will be able to think and bring new ideas into the organization and it will also increase their C.V
· Nokia organization will be able to compete favorably with other competitors in the market.
· With this memo, Nokia will become a household name once again.
Cons
· The employees that are redundant will be shipped out.
· The employees that are not innovative enough or that cannot cope with the new trend will resign.
Yes, I feel motivated with the speech or memo because challenges are part of life and if some refused to face challenges that person cannot grow. We can see this in the man that plunged into freezing waters, survived the fall a water which led to change in his behavior.
This approach cannot backfire since the CEO knew what he is doing and there is a lay down the blueprint to guide and guard the organization.
REFERENCES
Akintayo and Oghenekowo (2003). Corporate Strategies for policy formulation. Yemi Modern Printers, Ibadan, Nigeria.
James, T. (2011). Operations Strategy. Bookboon.com
Edwards, J. (2013). Business Insider. Retrieved from: http://www.business insider.com/stephen –Elop's-burning-platform-memo-2013-1.
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