1)Consider the Reframing Organizations summary document (posted on URCourses) that outlines four different frames (perspectives) to assess organizational issues. How do the issues that Westlake Lanes face, fit within each of the four frames?
Structural Frame:
-Are there clear goals and objectives / vision / direction? – No, Sheila Givens consulted the employees personally and allowed them to create the vision statement due to the understanding of Westlake lanes. Also, the objectives were not clear due to multiple discrepancies including poor sales in food and beverages, and slow afternoon times without extended hours in the evenings and later opening times initially. Nevertheless, Givens allowed the bowling alley to cost unnecessary costs regarding business variable costs and allotting proper market segmentation towards the Raleigh area for what kinds of customers visit the establishment. Therefore, targeting the young professionals, family orientated in accordance with the regular club members.
-Is there clarity in division of labour? Who does what? No. With the four full time staff employed by Dane Sugar before his death, employees were unclear with what daily duties consisted of. This was due to the lack of job descriptions and expectations. The board did not keep employees informed due to the lack of communication. -Is the structure / design congruent with the organization’s circumstances? (goals, technology, workforce, environment)
– No, the technology with Westlake Lanes was outdated to the point where machinery replacement costs were $19,000 per lane on average. Nevertheless, in 2007, Sugar upgraded the screens and scoring systems at $120,000. -Are there rules / policy obstructions? Or lack of necessary processes, policies, etc.? – As mentioned previously, employees were unsure of daily duties and non confident in how their roles impacted the business as a whole. This resulted in the employees being risk averse. -Would the problem be resolved through restructuring? – Yes
Political Frame: -Have coalitions formed? – Initially, there were no coalitions as all the full time staff thought Givens was going to fire them all. -Are there enduring differences among members in values, beliefs, information, interests, and perceptions of reality? – Yes, Givens grew close with Spaulding and Smith who welcomed her changes as their main drive was to have the business prosper. Meanwhile, Sinclair and Bullock resisted change within the organization due to the lack of enthusiasm. -Is there vying for scarce resources? – No, Givens only let go Bullock due to employee tardiness and unprofessionalism to cell phone use and lack of positive customer service and the expectation of going above and behind daily and expected duties. -Is there jockeying for position? –N/A
-Is there bargaining? People bringing their own agendas to be fulfilled? – Yes, specifically with Sinclair with the proposal of pizza alternatives provided to Westlake lanes to improve sales. This showed Givens that Sinclair was passionate and wanted to prove himself.
Human Resource Frame: -Are people’s needs being met? Physiological, Safety (from danger, attack, threat), Belongingness, Esteem (feeling valued), Self-actualization (ability to develop one’s potential) – Physiological and Safety were status quo. Esteem initially was unvalued due to lack of skill and confidence in regards to the employees keeping their jobs. Self-actualization was embraced by the employees who wanted the organization to benefit and grow from the current state. The remaining employees who had a lack of care did not thrive and were eventually let go by Given’s. -Is there a good fit between roles, people and the organization? -Are there gatherings to promote participation? – No, most of the employees have been loyal to the organization as a whole and solely kept business and their relationships at work. -Are there processes to help individuals grow? – Yes, Given’s had the full time employees become active in the changes. -Are employees empowered, or do they feel empowered? - Yes
Symbolic (Cultural) Frame: -Are there shared beliefs and values? – Discussed earlier. -Is there the glue that unites the people within the organization? – Given’s specific example was “insurance was a moral obligation and I wanted to honor [Sugar’s] legacy”. Nevertheless, Given’s was aggressive in her change towards the organization as a whole, but due to the economy, she had a moral compass that she wanted to keep the Westlake family as tight as she possibly could to positively impact Westlake Lanes. -Is there evidence of company / group rituals, ceremonies, stories that help people find purpose and passion in the organization? – Rituals included taking time during shifts when the lanes were quiet to bowl a game and reflect on their duties and efforts. -Is there a sense of meaning in the workplace? – Personal attachment and loyalty towards the organization post Sugar’s death embodied the employees and Given’s to keep his dream alive.
2)Now, what are your thoughts / ideas on potential solutions to the challenges and opportunities? (Be sure to apply a number of angles on these ideas.)
Westlake Lanes main problem at this point: a broken food and alcohol system. Given’s would need to adapt the menu by contacting several different companies to seek alternatives. The way this company manages the food and drink aspect of operations is not working, and will not begin to work in the foreseeable future.
A potential opportunity that Westlake lanes could adapt is to form a joint venture with one of the successful eating establishments? Being already close enough to harm the bowling lanes food sales, alternative means could include delivery on foot. With the current state of Westlake’s kitchen means that management has to worry about costs, kitchen staffing, equipment, etc. This is completely unnecessary when management can simply outsource the entire food operation to a location down the street. The bowling lanes benefit by having better food and can focus more on bowling operations and drink sales. Westlake can liquidate the kitchen assets; use the now-empty space to expand their operations.
Eliminating the kitchen does have its benefits. Mr. Sinclair is currently a challenge for management, as he has low morale and work engagement towards Westlake’s new vision. With his department wiped out, he can be let go. The company saves money this way, and frees up funds for part-time employment opportunities that can be given to high-morale characters.
Having dealt with the food operations, Westlake should certainly focus on building up the drink portion of the company and take advantage of their liquor license. Using the empty kitchen space, Westlake should do some small renovations and implement a medium-to-full sized bar, depending on if the projected clientele of younger professionals and families was segmented correctly. Mr. Sinclair’s salary then can be sourced to fund part-time bartenders. Currently liquor sales are virtually nonexistent. Nevertheless, if the business conglomerated with new corporate events and younger appeal, should ensure they increase.
Taking full advantage of the new, shorter league commitments, corporate outreach should become a prime focus of management. Corporate events are opportunities for a company’s workforce to unwind and increase social presense. Liquor sales would potentially increase vastly and in addition, the bowling alley would gain word-of-mouth advertising. This can also be communicated to the nearby college, in hopes of attracting students in general.
Finally, Westlake will need to update their advertising operations. The newspaper is not an effective way to advertise to the consumer segments management is looking for. Social media, online advertising or even email message should communicate more effectively and will save the company a huge portion of their costs.
On the subject of Ms. Givens potential solutions, I do not believe that either of them should be considered, especially with the business in its current state. Making the business into the child’s paradise will harm the bowling lane’s corporate and young adult appeal, while turning the lanes into the ultra-lounge will harm the family-friendly appeal, and will not succeed due to the numerous lounge-style establishments close-by. As a result, the full-blown business revamps that Ms. Givens is thinking of are extremely expensive at this time, and will alienate one half of the business or the other. They also negate any value that the previous owner had added to it. All of Westlake’s customers have become used to the current feel of the place, and that’s what they want.
Ultimately, a 200k-1 million dollar investment into the bowling lanes during the recessionary economy and recent fix-ups would be naive. Even with that amount of money dumped in, 90% of businesses can close their doors within 5 years; new or old. Nevertheless, if Westlake Lanes provided to be profitable in a linear fashion and properly demonstrate that the business is healthy and open to change from consumer research, then by all means, invest in gradual amounts, not in lump-sum payments.
Worthy of noting, Westlake has added to the business by Spalding and his "jack-of-all-trades" ability. This employee is a key asset in keeping the lanes running and operational and savings he provides to the business itself is incalculable. As well, Smith's abilities fit well into a secretary/receptionist job - also valuable to the business, especially in its current state. Overall, one could say these two employees keep the business running (even without management), and should be held onto as they provide management free to focus on expansion and promotion opportunities.
3)What is the main problem? What do you believe to be the most urgent problem to fix? Are they one and the same? Explain.
Shelby Givens, the general manager of Westlake Bowling Lanes is concerned with whether the company is financially ready to pay back the debt owed to its board members. At this point, the board may decide against any alternatives and chose to close down the business and liquidate its assets.
One should take into account a few positives of the old and new managers at this point. Lasting remnants of the previous owner have worked out well of Westlake. These take form as leniency of debtors of the business, old friends being repeat customers; even the aesthetics of the lanes themselves. The nostalgic aspect of Westlake could be viewed by some as damaging. Nevertheless, the classic look and feel leaves many reminiscing of older times spent bowling and should be sustained. Ms. Givens has created a huge opportunity by shortening required league tenures. These smaller schedules are extremely useful in marketing towards corporate clients and do much in promoting the business. It should also be noted that, as a business, being able to pay for goods and services with bowling credits is an extremely valuable ability.
For challenges the company faces, there are certainly a few. For starters, Westlake's revenues from food and alcohol sales are abysmal. This is the one of the main problems with the business currently. Bowling alley food is not exactly known for its quality and affordable eating and restaurants close by - coupled with Westlake's small menu - ensure that food sales will not be on the rise. For that matter, Sinclair does not add much to the company, and does pose a challenge to the current management. In addition, alcohol sales will have to rise if the business is going to take serious advantage of the high margins they provide. The biggest challenge for Westlake is getting bowlers to spend on food & drink once through the doors.
There is a challenge associated with the location of Westlake lanes. Being in prime downtown Raleigh, the bowling lanes have to compete with a wide array of other entertainment attractions. Other challenges the company will face in the near future include: outdated machinery soon to expire and overpriced traditional advertising methods. Westlake should consider tapping into using more modern advertising avenues (internet, social media, etc).
The location of the business - downtown Raleigh - provides a great many other opportunities for Westlake, although some of them are not immediately apparent. Raleigh itself, of course, is a good setting for this type of business. The citizens of Raleigh, being mostly educated professionals with families, are high earners and can certainly afford to bring friends and family bowling. It is also made apparent that a college is within close proximity, providing another possible revenue stream in the form of affordable entertainment for mature students. As Ms. Given’s demonstrates, bowling can be used to clear the mind and stress relief could be communicated to weary students nearby. The students as well, have demonstrated their ability in providing free amateur consultation and advice.