Further enhance managerial and operational efficiency. Restructuring the organization, operating subsidiaries and trimming down its unrelated diversification business units. Develop different technologies capable of more features, usability, and competitive prices.
Pursue ever-faster innovation, continuous improvement and core competence based on its mid-to-long-term strategies . Ill. Statement of the Problem 1. Lack of innovation Sony did not follow up with this innovative product line or upgrade any outstanding to sustain its initial success 2.Lack of core competence Sonny's failure in capturing the digital market due to lack innovation so that its lost equines core competence Palpitation is Sonny's best asset as of now but slowly declining which should be strengthen more 3.
Decision-making of the person in charge for the survival of the company. The company focused in a shorter term measures, instead of longer terms that should oversee the change and evolution of technology in the future. Certain short-term measures that Sony has already undertaken, including adjusting production, lowering inventory levels and reducing operational expenses 4.Operating environment for Sony also became severe With decreased demand and intensified pressure on pricing resulting from the lowdown of the global economy, appreciation of the yen, and a significant decline in the Japanese stock market. Both an operating loss and a net loss 'V. Objectives To point out the root of the problem To think critically about business problems, and devise and implement the remedies for overall challenging management situations.
To solve problem process generally involves theories, problems assumptions, situations analysis, and prioritize solutions in a real-life management procedure To understand decision-making skills and strategies To solve problems in future real- life situations. To further improve and innovate the existing products V. Areas of Consideration Strengths: PDA Cycle can offer Sony clear identification of the problems and metrics, a prototyping of the solutions, evaluations of the business changes and subsequently, a full-scale implementation of the business success.PDA Cycle is an effective problem management method to help Sony use its potential and resources to its optimum best in business work.
Possibility of the errors are reduced to a minimum degree, when Sony complete the whole steps of the PDA Cycle. It will helps Sony cake corrective action before its mistake is noticed by anybody in decision making process. In problem solving process, PDA Cycle enables Sony to optimally utilize its time and will help Sony have lot of time.Weakness: PDA Cycle is simplified abstraction method due to it doesn't reflect some activities such as leadership, coordination, training and communication, especially cultural background. PDA Cycle is used for small-scale incremental movements, whereas it not applicable to the large -scale complex problem changes.
Furthermore, since change is implement into the organization, people don't complain about any changes, ND don't resist it. Opportunities: The "plan" step of PDA Cycle can help Sony shape and plan for the future, and then the "check" step will help Sony determine whether or not standards and benchmarks can be achieved.PDA Cycle as a process that is continuously being evaluated and errors can be found and corrected early on. Sonny's productivity will improve naturally by PDA Cycle, it also will optimum utilization of its resources, so making decision much simpler and faster for Sony. PDA Cycle is a continuous loop and this cycle ensures that processes are frequently checked again.
This is very beneficial to Sony cause if something organization changes or working to dissatisfaction it can be changed again. It also reduces the chance of mistakes.Threats: PDA Cycle ignores the people element of change. The major threat of PDA Cycle method is its inherently reactive, it unsuited to the highly competitive market that demands proactive thinking and taken actions.
Due to PDA Cycle is continuous improvement process and need continuous changes so that Sony may remain in a continuous state of instability. PDA Cycle may bring an uncertain working environment to people and leading to they become confusing and accomplishment so that encounter fatigue for the changes. VI. Courses of Action 1.Identify the problem collect the all related information for its products, services and market, which sales goal is not be achieved.
Convert the problems into the challenges raise questions such as: "In what ways might innovate products? " "How might improve core brand competences? " 2. Explore Alternatives involves two parts: (1) Generate alternatives 3 main approaches: a. Brainstorming b. Discussion groups c. Market surveys (2) Evaluate alternatives establish a list of criteria for evaluating alternatives 3.
Select an AlternativeSelect an alternative which is coming closest to solving the current problems with the most advantages and fewest disadvantages. Complete a "simulation check" ( to identify and evaluate the possible results of implementation of the proposed solution) 4. Implement the Solution Composed of five parts: (1) develop a basic action plan (2)determine objectives (3) identify needed resources (4)build a plan (5) implement this plan 5. Evaluate the Situation ongoing monitoring process the results of the decisions VI'. Recommendation We highly recommend using the AD model since it would be very beneficial for theSony Company & is the most suitable plan for the problems facing Sony. When working on a long term, continuous projects of a company is prefer using the easiest methods: PDA Cycle (which literally means Plan, Do, Check and Adjust) and DYNAMIC (Define, Measure, Analyze, Improve & Control).
If I was to be chosen to help the company we strongly recommend these and the AD model that I will explain further. The major reason is that the AD model is applicable to all kinds of business problem- solving and is therefore often adapted to fit into any business process to a great extent.It is a universal model that applies to most businesses and ensures even if the problems and services are not related. The most notable of the steps (those which are not present in other models) are the steps 3 and 4 which are "implement the interim action" and "define and verify the root cause" respectively. Step 3 is especially intended to further alleviate the Sony Company of problems that may hinder them from future progress and the 4th step was created to find, and understand the nature of the problem thus solving the root cause.This model may be the most comprehensive of all the methods in problem-solving and decision asking within a company (like Sony).
The AD model was originally introduced and developed at the Ford Motor Company during the sass's, and was often referred to as the "Team Oriented Problem Solving (TOPS)" (Eight Disciplines Problem Solving, Wisped). The AD model has been Ford's most comprehensive approach to problem- solving and decision making since then. It to be known as Ford Global AD (GOD) (Deane,2005).The Ford GOD model is most effective in dealing with long-term problems that occur frequently since the AD model emphasizes on dealing head-on with problems, discovering the weaknesses in the business management and to revert problem recurrence so as to speak. It provides a standard methodology for data collection & analysis and is a vital lean tool for any company that faces the same problems. The AD models, when established within a company will surely save time, reduce funding unnecessary objects and other resources.
Nowadays, the AD problem solving and decision making method is used by known companies such as Ford, Shell and Toyota. The real benefit of this would be ways to solve problems and make decisions in a methodically systematized process, which could generally upgrade and improve the system within an organization. Definition of Strategy Strategy is a well-defined roadman or plan for how an organization will compete against its competitors by comparing with other organizations its strengths and weaknesses to maximize its strengths and to minimize the strengths of its competitors.In short, strategy is long-term action plan for achieving the mission and vision of a company. Strategy of Implementation on Recommendations PDA Cycle is Sonny's problem solving process. It is very important in the continuous improvement, innovation and core competence for Sony.
However one of the major steadiness of the PDA Cycle is oversimplification and ignorance of people's feelings in implementing the process, it will not help to solve the Sonny's complex problems under ideal conditions.Whereas the AD model is much more flexible and detailed analysis which will give more accurate and fast decisions on getting Sonny's problems, solutions in an easy way. Contact Sunspots is a system that Sony uses to manage and support any concern of a person, and anybody can use the system to submit their suggestions, compliments and criticisms about the management or the overall operation of Sony, this allow Sony to improve their business.Implementation of Recommendation against Sonny's Problem 8 Disciplines within the Sony Company ID - Form a Team Establish a Sony group with cross-functional. The group of people selected should have key competence connected to the current Sonny's problems and be from different areas of knowledge and expertise.
AD - Describe the Problem Describe these two problems in a measurable quantitative terms by the tools such as the AWE H (Who, What, When, Where, Why, How). The Sony group should review the data to find overall reasons behind its failure and to why the problems occur, aims at resolve them.D -Implement and Verify Short-term Corrective Actions Before proceeding to the long term action plan, of course we should first identify and verify the ones in which are short term in order to prevent these problems becoming bigger or spreading, define and implement an intermediate actions until the permanent corrective action have been taken. AD - Define and Verify the Root Cause In this step all potential root-causes to the problems should be identified, explained and structured why the problems occurred by the support of applicable methods or tools such as a brainstorming session.
Identify alternative solutions to prevent root causes for further investigation in next phase. AD - Verify Corrective Actions Confirm and evaluate that the chosen solutions will resolve the Sonny's problems and without causing new problems in this phase. It can help the Sony group through compare to verify some of solutions might not work or are causing the risks about new problems. AD - Implement Permanent Corrective Actions In this step the major task is to implement the actions that were chosen in the previous step against Sonny's problems.The Sony group should establish a detailed implementation plan, so that it is clear everyone commits to the work.
AD - Prevent Recurrence Monitor the problems afterwards to explore any possible recurrence of the problems and without causing new problems in order to make ensure that the permanent corrective actions implemented to solving the root causes of the problems. AD - Congratulate the Team Once these problems are successfully resolved it is important to recognize what the team has accomplished, share their knowledge and expertise and give them praise for their collective efforts. VIII. Action Plan 'X. Alternative Courses of Action