The Paradoxical Twins: Acme and Omega Electronics

The Paradoxical Twins bill and Omega Electronics Prepargond by Samuel Jackson Rene smith Pedro curiz Tomm Brown for Dr. Jordan MAN 701 Organizational Design and possible action School of Business/Graduate Studies Barry University Miami Gardens, Fla. Term A2/Spring, 2006 March 25, 2006 Case epitome In 1986 a Cleveland manufacture bought Technological Products and subsequently sold the electronics surgical incision to separate investors that manufactured computer chips and printed circuit boards. One of the investors renamed their connection efflorescence Electronics and the other investor renamed their company Omega Electronics, Inc.The t wholeness company retained its pilot film management team and promoted the general manager to president. The Omega company hire a innovative president and upgraded several of its existing personnel. Both companies are located in the identical geographical area and compete for the same drives. apex employs 550 people, whereas the Omega e mploys 480 people. In the 1990s, production of complex circuit boards by Acme and Omega was threatened by mixed analog and digital devices. Both companies realized the pending threat and started to aggressively seek saucy customers.In July of 1992, a major photocopier maker was looking for subcontractors to assemble digital memory units for a new experimental copier. The project contract was estimated in the midst of $7 million to $9 million in sales. Both Acme and Omega submitted competitive bids for the production of units and both companies were selected to build up 100 units. The photocopier manufacturer explained to both companies that production speed was a critical element of the contract and that apiece company would only have ab reveal two weeks to produce the prototypes or risk delaying the final copier production.On July 13, 1992 the Acme company started ordering the necessary the parts and began production on the memory units. from each one department operate one d separately and encountered problems that led to delays in the production cycle. Two old age prior to the delivery date the photocopier manufacturer informed Acme that the rivalry company Omega had discovered a design flaw in the connector telephone line and that he would be sending over a new blueprint to re-work the memory units. According to the photocopier manufacture, Acme would still be held to the delivery date.On July 10, 1992, Omega started having meetings to get production underway. Within years the Drafting department prepared blueprints, while the plan and production departments work together to begin methods design. However, on July 20 Omega discovered a design flaw in the connector c subject. The engineering department redesigned the cable and the drafting department finalized the changes in the manufacturing prints. The excess delays in reassembly of the units at Acme caused them to deliver the 100 units late.However, Omega assoild a encompassing part inspecti on of all 100 units and delivered the final units on time. The photocopier manufacturer split the contract between Acme and Omega and included additional provisions stipulating zero defects and chastend final cost. Ultimately, the Acme reduce it overall cost by 20 percent and won the total contract. stocky Recommendation The Omega company should consider redesigning its organizational structure to rick more(prenominal) functional in design in order to work advantage of economies of scale in-depth skill knowledge and overall efficiency.The company should practice organization charts with clearly define job duties and responsibilities so employees fully sympathise their role in the organization. Also, the management team should used formal create verbally parley to covey project expectations and a sense of urgency to complete the assignment within the allotted time frame. Case Analysis The Acme caller appears to be designed around being efficient and task oriented in orde r to be a extravagantly loudness manufacturer. The company has detailed organizational charts and job descriptions which define clear responsibilities. counselling believes in providing written communication to achieving the task at hand. In fact, as soon as the company received the blueprints management immediately displace out written communication to all department heads and executives indicating the critical constraints and the expectations of playing efficiently. Based on the organizational structure, each department worked independently and at different speeds. Mr. Tyler, President was developing a relationship with the photocopier manufacturer by keeping in telephone contact and trying to learn of new developments.The Acme strategy has traditionally been to keep the client happy. In a time of crisis, Mr. Tyler was able to give direct orders and instruct certain departments to reconfigure the components as needed. At the same time critical decisions were made to skip ordi nary quality control processes to stay on course. Ultimately, the company generated 90 quality made units with 10 being defective. On the other hand, the Omega Company appears to be designed around the team work approach to light upon production goals.The company does not have organizational charts and management believes that all employees should be familiar with various activities throughout the organization. Also, management does not release written memos to the staff employees. Once the company received the blueprints management began having meetings to discuss the production method instead of dividing up the specific work assignments to achieve. The engineering and production departments pooled resources to work on the methods design. On the positive side, most of the problems set within Omegas production cycle were resolved cursorily and overcome by the team effort approach.In the time of crisis and rapid changes needed to produce a quality product the company was able to effectively work as a team. Ultimately, the company delivered a high quality product with no defects and within the required time frame. alternate(a) Identified Since, Omega is relatively small with only a fewer product lines the first alterative would be for the company to be more formal in its organizational design and structure, which includes organizational charts and well delineate job responsibilities in order to become more efficient and reduce cost. RecommendationFirst, Omega needs to restructure the company within the bordering three to six months. Implement a functional organization chart that has a well define hierarchy. Next, Omega needs to immediately carry out a formal communication process throughout the organization to give up clear guidance and management expectations to reduce wasted manpower and maximise available staff resources. The Omega Company should consider sending out memos to show the significant time constraint of each job deadlines and unquesti onably continue the companys meeting process before productions.The Acme Company needs to meet with multiple employees involved in the workflow to prevent any complication to appear during productions. Acme should require each employee to have some sort of knowledge of everyone functions in the organizations. Perhaps, have a day dedicated to altering each employee positions to have a brilliant understanding of their job titles. This would slow down further delay in production if a crisis occurs. Furthermore, its best that Acme improve the communication flow between the actual employees.