6-28 In what respects was the restructuring a reaction to the activities of competitors?
6-29 In this case mergers were a factor in 2009. Do mergers nearly always mean significant restructuring and, if so, why?
Can anyone answer these 2 questions for me, they come from page 199-200 of the book fundamental of management ninth edition by Stephen P.Robbins. The full text is in the image below
CASE APPLICATION #2 Volunteers Work T They're individuals you might never have thought of The group needed a new management team to keep pace as being part of an organization's structure. but for with the increasing number of projects and the development of many organizations, volunteers provide a much-needed the business as a whole. The new management group of 50 pro- source of labor. Maybe you've volunteered at a Habitat for fessionals would be responsible for Tiger's projects across the Humanity build, a homeless shelter, or some non profit organi- Emirates of Dubai and Sharjah. The new Facilities Management zation. However, what if the volunteer assignment was at a for- Division was split into two locations; the first was established in profit business and the job description read like this: "Spend a the Al-Taawun Towers in Sharjah. Its primary role was to service few hours a day, at your computer, supplying answers online more than 1.200 rental housing units. The second headquarters to customer questions about technical matters like how to set was based at the Jumeirah Lakes project in Dubai. up an Internet home network or how to program a new high- The restructuring exercise needs to be seen in the light definition television," all for no pay. Many large corporations. of similar initiatives taken by competitors in the marketplace. start-up companies, and venture capitalists are betting that against the backdrop of overcapacity. In 2008, sales of new pmp- this "emerging corps of Web- erties peaked and then began to savvy helpers will transform Organizations are tail off, prompting swift action the field of customer service." using "volunteers" to do from many property companies A major part of the re- to streamline their operations in shuffle at Tiger aimed to in- specialized work tasks. order to maintain profitability corporate new appointments at The alternative for many the senior management level, businesses in the market was in order to strengthen the core team. Throughout all the sub- mergers. By late 2009, a number of mergers had been announced: sidiaries, new managers were appointed to undertake the key all aimed to produce leaner and more efficient businesses, while tasks of supervising and executing the group's current and not necessarily reducing the capacity of the industry to step up forthcoming projects, as well as establishing strategic plans for construction of properties as soon as the market improved. the future. Notably, the group's existing management team was Merger plans were announced for Emaar and Dubai Holding moved into a new department. known as the Facilities Services and for Barwa and Qatar Real Estate Investment companies. Department, and given the responsibility of overseeing the For many of the businesses concerned. restructuring may have group's projects. One of the major beneficiaries of the restruc- been too little too late. But some of those companies, that did turing program was Mohammed Taha. He was formerly the restructure either internally or as a result of mergers, hope to have managing director of Tiger Properties and became the CEO of achieved a competitive edge internationally, a better regional the business. Taha has 14 years of experience in the real estate potential, and easier access to funds than other competitors in the and construction market. global market. 200 Part 3 . Organizing Discussion Questions 6-28 In what respects was the restructuring a reaction to the activi- 6-26 "Organizational restructuring should be carefully planned and ties of competitors? measured and not a panic response to changing needs. " Do you 6-29 In this case mergers were a factor in 2009. Do mergers nearly agree or disagree with this statement? Discuss. always mean significant restructuring and. if so, why? 6-27 Why did the Tiger Group need a new management team
