WHITE CAP BUSINESS ANALYSIS

White Cap Business Analysis

White Cap Business Analysis

Introduction

White Cap had been stagnating and not responding to new market challenges. They supposed Browning would certainly be a person to bring fresh energy and stamina and make necessary changes. In my opinion, Browning should set three main change objectives at White Cap. First of all he should try to rejuvenate the company by implementing new strategy which would emphasize open communication with his subordinates in order to respond to the changed market conditions (need for plastic cap closure). It is certainly feasible to implement this objective immediately or in very short time after his appointment. Second, he should attempt to change the division's culture.

However, Browning was also aware of some obstacles he had to overcome if he wanted to be successful in implementation of his strategy. Firstly, it seemed inevitable to make some gesture with regard to Bob White (retired head and owner of White Cap) because he was still respected among the White Cap employees. The majority of White Cap's managers and employees were used to Bob White's formal and restrained management style, which inhibited cross-communication and lacked confrontation (Greenberg, 1996). Browning wanted to preserve morale. He was also a key to morale and pride although White represented many of the style Browning hoped to change and values.

The second problem that Browning was facing was White Cap's marketing department. Browning found that marketing and sales departments were simply administering existing programs. They were not aggressive in addressing the new competitive issues nor were they spending enough time with the customers who had built the business (Camponovo, 2003). This objective is definitely very hard to achieve in the short run. To change the corporate culture can sometimes take years, however, even the fact that something new is happening can positively affect the performance of the company. Third thing he was aiming to change was the company's performance. Long-term success has led to inflated administrative staff coupled with compassionate and generous White family management. The major task of Browning should be to communicated a sense of impending crisis and reduce redundant administrative staff without threatening White Cap's image as soon as possible.

Finally, Browning faced problem, which related to human resources department. This department seemed to be very inflexible since it was offering very few benefits to the employees, which led to a lack of motivation of White Cap employees. At White Cap the majority of mangers accompanied the business for long and lasts without bearing the intention to change things or move beyond their current positions.

Discussion

Business Analysis and Diagnosis with Analytical Frameworks and Concepts

Porter 5 Forces

Rivalry amongst competitors

Porter described the rivalry amongst existing competitors is 'jockeying for position', where they compete in the form of products price, products innovation and differentiation, advertising and promotion as well as after-sales services slugfests for purpose of scramble for market share and earn superior profits (Hepp, 2007). The degree of rivalry in an industry is determined by several variables; they are the degree ...