Organizational diagnosis is the process of identifying the problems that may exist in an organization. Like a diagnosis system of medicine, professionals of an organization conduct a thorough diagnosis by studying the symptoms and moving towards the actual problem. When the problem is identified among the various symptoms, the members and professionals collect all relevant information of the organization, considering it a system as a whole. The information is shared with all the relevant members of the organization to be part of the solution, while identifying the areas requiring change and corrections (Lorsch, 1969).
Corporation Introduction
Able Tool Corporation is a women-owned machine shop which has remained a leader in prototype work, short-run manufacturing, rebuilding and repair of process, machinery since 1984. The company is facing stringent competition from the market, and needs to revamp its market strategy and processes while entering a new market, to capitalize on opportunities while compensating for the saturation of the current market (Dennis, 2011).
Identification of the changes
Keeping in mind the company's constricting market share because of stringent competition in the domestic market, the company needs to change its marketing and production philosophy.
Production
It is possible to have better marketing ties with retailers like Wal-Mart, as a majority of buyers get their power tools from them. The economy being price sensitive, is not taking well to the price of highly priced tools, offered by the cooperation. Establishing its manufacturing plant or office in a foreign country insuring employment to the local population, can elicit local governmental appreciation in the form of certain tax benefits, which may help the company lower its production cost dramatically. To add to this incentive, moving the construction, or outsourcing manufacturing to china may help the company reduce its cost, resulting in competitive prices for its products, in addition to the incentives ordered, by the government of such nations.
Marketing
Expanding its market, the company can aim at meeting the standards of European and other Asian consumers, to be able to cater to them, resulting in better revenue. To better cater to the existing market, and to create a presence in the new potential markets, the company should utilize the cutting edge technologies to market its self and its products, by fully utilizing the internet and creating and expanding its online presence.
Reason for the change
The company needs to incorporate change to be able to compete with ...