Social Networking in Excel Company - Case Study Example

Social Networking: A Case Study    A brief of the organization and the events: Life is about facing new challenges at every step and overcoming them and solving the problems. One of the most critical turning points of my life was the time when I acquired the ownership of my late grandfather’s local newspaper agency – Excel. Overnight I had become the owner of the print media house along with the heart-breaking news of demise of my grandfather. However the endowment was not devoid of any challenges and conflict. The situation I faced while handling the company is illustrated below:- My responsibilities within the organization included allotment and administration of the reporters, the labor organizations and managing and negotiating deals with other firms. During carrying out my responsibilities, I had faced many problems and challenges. There were several issues with the organization; for instance, Excel was sharply watching a downward trend in its market share. The sales revenue had shown a decline of 10 per cent for the last two years. The admirable reporters were evacuating the organizations. There had been lack of proper skills and expertise. Big deals and sponsorships that were on the line two years back had to be cancelled due to reluctance on the other side. Circulation and the reputation of the brand were at stake. The key players of this organization included myself along with the trainees of the knowledge management. The other problem, which cropped up was that the other two newspaper agencies of similar profile were doing absolutely well according to their size and status in the same city. Going through the matter, it has been understood that root causes of this situation are the following issues- the production process involved obsolete machines that required labor-intensive technology. This lead to a problem of disguised unemployment, which means some workers were not making any real contribution to production of output but drawing salary. The other is the requirement of a capital intensive technology through installing latest machines but the labor union was constantly disapproving against such transformation of technology and giving threat to go on strike. Looking into the situation, my main objective was to make Excel the largest print media house in the city having largest share holding in the market, increase the circulation of the newspapers and collaboration with the multinational corporations for ads and sponsorships. One thing was clear, there was a severe lack of unity and orientation towards a common goal. The focus here needs to be on the enrichment of social capital, which may in turn help in repairing the damage, inflicted upon the social network. There was a clear conflict of visions and ideas within the people at work. The main conflict was between the management and the reporters as well as other laborers. There was a strong labor union, which constantly acted against the management and the proprietor. Thus I took certain drastic steps, which have proved beneficial till now. First I went for a meeting with the union leader. I explained to him the drawbacks of the company and if this persisted it would not be possible for the company to survive in the market for a long term. With all other companies following a capital-intensive technology the unemployed laborer following the closure of my company would not have any possible employment in any other company. I provided assurance to him that not a single labor will be laid off, however; we need a workshop to train the workers how to handle those sophisticated machines. The union leader seemed to be rational and considerate about the urgency of the situation agreed to my proposal. After then, proper workshops were arranged to train the labor force under the guidance of experts and trainers. Once new latest machines were installed and capital-intensive techniques were incorporated, young enthusiastic, dynamic and smart reporters were hired. With the help of an efficacious accountant a full proof plan was designed and submitted to the bank for some loans, especially to buy the new machines and raw materials. Collaborations were formed with some magazines at initial level in order to promote circulation. There was a Sunday magazine with a popular rate of circulation. Tie up with this magazine incorporated the circulation of ‘Excel’ along with the magazine and this in the initial stage was very helpful in capturing the market share since subscribers of this magazine also had a copy of our newspaper. I also began to coordinate the deals with the big corporate houses that were previously cancelled. Most of the collaborative negotiations have been fruitful. The potential benefits from my steps shown in the form of the rise in sales revenue, which increased by 5 per cent within three months although initially the growth was sluggish. Circulation increased and the market share grew by 10 percent in three months. New talents brought in started providing better quality of reports and articles. Thus from the above real-life situation, we can pen down certain points and connect with each other.  An identification of the key players and an analysis of how they were interconnected and how those connections may or may not have changed over time:   I was the key player in this organization along with the labor force, accountant and the expertise. Here this situation may be related to social networking. Social networking is the concept, which is applicable to business, organizations, politics and sociology. In my situation, trust played an important role in development of mutual cooperation and finally boost of the profits of the organization (‘Social networking’). In the meantime, I had also hired some experts for knowledge management who have helped the workers develop some soft skills. These persons were required to make the workers realize and understand the patterns of reliability and predictability and their implications. These experts seriously helped me and the workers to stay connected. I have also provided ultimate support to the workers by directly communicating with them realizing regarding their issues and problems and sorting them out (‘Knowledge Management-Emerging Perspectives’). This connection might have changed if the management started behaving selfishly and does not look into the interests of the employees and instead started firing out the labors in order to cut down the operational costs. In that case, the other reporters and laborers and other employees would have been agitated and had revolted back. In this process the connections might have changed overtime.  An identification of the events that was key to explain the outcome:  If I would not had gone for a friendly conversation with the union leaders, then the company would have gone for a strike. Thus communication either direct or indirect is very crucial for any solution. Hence social networking is a vital aspect. In my situation, the network consists of the workers, management and also the suppliers of machineries and the advertisers and sponsors. Without all of their support and cooperation, my organization and I would not been able to taste the height of success. Through social capital that is, by trust, loyalty, understanding and cooperation, I have been able to take this company to a steady level. Added to this, the skilled and experienced trainers have lent out a helping hand in making the unskilled workers trained.   An analysis of the strengths and weaknesses of the main players strategy:  Being the main and the key player in this organization, I was solely responsible for the plausible consequences of the firm’s profit or loss. I was handed the charge of the company at that stage when everything was topsy-turvy. The strategy I took was to cooperate and come to a mutual understanding with the employees so as work strategically. I had not sent any other person to contact the union leaders rather I myself went to him for mutual agreement. I was the hub (connector) in this social networking. Even the accountant has helped me out to get hold of some loans from the bank. The banks also showed positive response by lending out money. The trainers and every single person associated with our organization have provided me enough support to achieve the bigger goal.   What difference does it make?  The difference can be seen here only. In this situation the management has always tried to understand the mutual interdependency and the temperament of the workers in order to make them feel secured. Thus, the connection and the bond between the management and the employees worked well. The social network, which grew, includes the rapport that was built up with the suppliers and advertisers. These relations are also based on trust and commitment. Commitment must be from both sides-owner and the employees, and then only an organization can flourish as in the case of mine. Here the power is also distributed among the workers and the management and the workers are also made to feel that they are also an integral part of the organization. In this way, they put an end to the strikes and personal bargaining. The firm is also taking into consideration about the betterment of the workers as paying money in the form of wages.  Policy recommendations required: A slightly lower selling price needs to be charged compared to the other newspapers so as to attract more and more readers. And also lower costs need to be charged so as to appeal the advertisers. The advertisers will be tempted to invest more in advertising. The workers should also be paid incentives so that they can give in their best efforts to the organization.                References: 1. “Knowledge Management-Emerging Perspectives.” Systems Thinking. n.d. available at: http://www.systems-thinking.org/kmgmt/kmgmt.htm (Accessed on June 20, 2009). 2. “What is social networking?” Social networking. N.d. available at: http://www.whatissocialnetworking.com/ (Accessed on June 20, 2009). Read More