Managing International Operations - Essay Example

GLOBAL CONFERENCING COMPANY Report on Managing International Operations Index Executive Summary...................3 Introduction................................3 Six Markets Model.....................3 Customer Service Model............5 McKinsey's 7S Model................6 Conclusion..................................8 Bibliography................................9 Executive Summary An organisation that is expanding its operations and market to an international level would need to, most importantly, concentrate on modifying its marketing model and customer service model in order to cater to the needs of an international market. Also, the organisation needs to look into managing multidisciplinary and multicultural teams and functions which are by-products of international operations. This can be achieved, firstly, by adopting the Six Markets Model which enhances relationship management, may it be with the customers, suppliers or the employees. Secondly, a suitable customer service model has to be incorporated into the system. Lastly, the organisation can rely on McKinsey's 7S to manage its multidisciplinary and multicultural teams and functions. Introduction In this report, we will be looking into the following three concepts: 1) Impact of the "Six Markets Model" on attracting and retaining internal candidates and global customers. 2) Using a customer service model to reduce the service gap. 3) Using McKinsey's 7S Model to identify issues that need to be considered in managing multidisciplinary and multicultural teams and functions. Six Markets Model The Six Markets Model is beyond the basic marketing of a product/service. It, in a way, markets the entire organisation as well as the industry rather than marketing merely the product/service. The Six Markets Model aims at categorising the markets to manage the business relationships. Figure 1 briefly explains the categorisation of the markets. FIGURE1: Categorisation of Markets as per Six Markets Model A business would need to deal with certain critical issues under each market which are as follows: MARKETS CRITICAL ISSUES Customer Markets Plans to be chartered by the organisation to attract new customers and retain the old ones Internal Markets The extent of willingness and capability of the employees to deliver the chartered plan efficiently Recruitment Markets Designing a method to appropriately select, motivate and train employees Supplier Markets Managing relationships with suppliers and distributors Influence Markets Managing influential sub-markets such as the government regulators, stockholders, venture capitalists and so on Referral Markets Organisation's ability to attract new customers on the basis of referrals given by existing customers (http://openlearn.open.ac.uk/mod/resource/view.phpid=210431) Managing relationship is the key ingredient of a successful business. The survival and growth of any business is mainly dependent on the relationship it maintains with its customers, employees, collaborators and competitors. The Six Markets Model, especially the customer market, internal market and recruitment market would make a huge impact on the internal candidates and the global customers as they would assist the organisation in analysing and improving its relationship with them. Customer Service Model The customer service model adopted by the organisation determines the strength of the relation the organisation would have with its customers. A customer service model consisting of the following features would be necessary to bridge the gap between the services provided and the services expected by the customer: Research: A thorough research into the target market is a must to understand consumer expectation. Getting into the shoe of the customer: The organisation would not be successful in understanding customer's needs just through a survey. It needs to view the service through the eyes of the customers. Develop appropriate services: The services should be developed to fit the necessity as assessed through research and analysis. It would be ideal for the organisation to personalise the services. Maximum flexibility: There should be flexibility to the customer in terms of availing the services. The customer should be able to avail the services and have access to the related facilities such as contacting the customer representatives from any part of the world or at least from where they are situated. Performance Evaluation: The organisation should measure its performance Maintaining continued relation: The organisation should ensure that the customers continue to stay in touch even after the services are provided. This can be done by providing additional services at regular intervals. This would help in further improvisation of the services. McKinsey's 7S Model McKinsey's 7S Model lists 7 elements that are co-dependent and need to be aligned for the organisation to perform well. McKinsey's 7S Model categorises 7 different interdependent elements into Hard and Soft elements as follows: HARD ELEMENTS SOFT ELEMENTS Strategy Shared Values Structure Skills Systems Style Staff (http://www.mindtools.com/pages/article/newSTR_91.htm) Aligning these elements becomes exceptionally essential in situations such as mergers and acquisition and in situations which calls for integrating functions that are multi-disciplinary and multi-cultural. The issues that need to be considered under such circumstances are as follows: a. Strategy: What should the strategy to guide a multi-disciplinary team towards organisation goal be b. Structure: What should the strategy to guide a multi-disciplinary team towards organisation goal be How should multi-disciplinary members be divided into teams How should the multi-disciplinary functions be coordinated c. Systems: How should the system be designed such that the multi-disciplinary functions are performed efficiently and effectively d. Shared Values: What are the core values of the organisation and are the multi-disciplinary functions focused towards achieving the same How strong are the values within the team Is the culture of the team in tune with that of the organisation e. Style: What is the multi-disciplinary team's management style What course of action is taken to solve disputes/disagreements f. Staff: Are the team members competent to perform what is expected from them What is the level of willingness and capability of the staff members to work in a multi-disciplinary team g. Skills: What are the key skills of the team Do the team members possess versatile skills Conclusion The organisation, in order to cater to an international set of consumers, would need to adhere to a formal marketing model like the Six Markets Model. A systematic customer service model is essential to maintain an exceptionally good relation with the customers. Multidisciplinary and multicultural teams and functions arising due to the international operations of the organisation can be managed only through a sophisticated approach like the McKinsey's 7S System. Therefore, these models and approaches are essential not only to attract international customers, but also to retain them. Bibliography An Integrated Perspective on Relationship Management: The Six Markets Model. 23 January 2010. The McKinsey 7S Framework. 23 January 2010. Read More