Case Analysis: Norge Electronics (Portugal), S.A.
Organizational Design and Management
Norge Electronics is a textile manufacturer, with headquarters in Lisbon. The purpose of the company was the sale, installation and maintenance of equipment for textile manufacturers.
The distinctive competency of Norge Portugal was “total customer service” and its unique selling proposition to guarantee increase in productivity to customers. The competitive advantage of Norge was it unique Norge Productivity Index (NPI). The main strategy of the company is to provide the best service ever with the best quality.
Implemented changes in Norge Portugal
The company was headed by the General Director Lars Jorgensen, below him there were four departments: Customer Controller Department, Sales Department, Service and Maintenance Teams and Administrating Department headed by Joao Silva. He was accountable for finance management, treasury, general and cost accounting, legal and personnel. Many changes were implemented in the company by Joao, such as: • Legalized pay system
• Firm’s organizational chart and job description
• Job evaluation project
• Staffing and pay for performance system
• Results evaluation system
Problems during the implementation process
While implementing these changes there was some underlining issues. Taking actions was a good thing but not involving the rest of the team into taking the decisions was not that good. Joao implemented all the changes alone without involving his colleagues, when obtaining the written job descriptions he even pressured his colleagues to deliver the descriptions on time by threatening them with delayed payments and 14th salary. This situation shows that there was no trust and that pressure should be put in order things to be done on time, which was not the right approach to effective work. When making the job evaluation project, Joao used unknown method by which he even evaluated the director-level...
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