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7/28/2019 Case for Best Management Team,Group11
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Turbulence and Organizational
Change
Group 11 TKM Institute of
Management
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Case Summary
Protagonist : Praful Rastogi (An Engineer with MBA ) 4 years experience in a Chemical Process Plant and a Consultancy
Company Name : TCCL (Textile and Chemical Company Limited)
This case deals with an old, diversified
organization that tries to cope with the dynamicsof ageing, and also changes in the external
environment.
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Theoretical Framework
The case revolves around OrganizationalBehavior.
Theoretical aspects of the case :
Change agent
Workers participation in managementOrganizational change
Organizational restructuring
Organizational culture
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Role of Praful Rastogi
He took up the role of Change Agent in TCCL
Brought two main changes related to
Technology
Organizational Structure
He worked with two divisions caustic soda division
marketing division
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Factors influencing the case
Change in Management
Political Influence
Competitors
Low Morale of Employees
Low utilization of Production Capacity (60 %) Cost of Production was high
Militant Union Leadership
Cash Flow problems
Lack of Marketing Skills Decentralized Decision Making
Resistance to change
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Reasons for Technological change
Outdated Technology
Deteriorated Equipments
Poor Maintenance
Lack of controls on raw material
consumption Stiff competition
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Induction of Technological change
Praful worked with General Manager (Technical)
Praful familiarized himself with operations of the
factory
He shared information before reporting to the
Managing Director
Long term plans were put into motion
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Reasons of Organizational Restructuring
Sales Department Bottle Neck
TCCL was operating in complex and
competitive markets
Lack of Management Expertise
Reporting pattern was in disarray
Document flow was not correct Budgetary systems were not efficient
Reporting Relationships were not organized
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Organizational Structural Change made by Praful Rastogi
Executive Vice
Chairman
Corporate
Personnel
Executive
Assistant Chief Executive
Deputy General
Manager (Marketing)
Manager (TechServices)
Sales Manager
Branch
Manager 1
SalesExecutives
Branch
Manager 2
SalesExecutives
Branch
Manager 3
SalesExecutives
Manager(Products)
Product
Executives
Manager
(Marketing
Services)
Marketing
Executives
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Management Outlook of TCCL
Old Management
Centralized
Bottom line Oriented
Freedom to fire and hireemployees
Focused on short term goals
Managing Director was afamily member
Not aware of itsenvironment andcommunity
New Management
Decentralized
Corporate Planning &
Corporate personnelactivities were implemented
Managing Director was a
family member
Focus shifted to long termgoals
Streamlined approach
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Present Situation
Top Management changed again (OldManagement is back in power)
Technological changes made by new
management still continue in the company Organization structure was slightly modified
The chief executives now reports to the
Executive Chairman All the department heads report to the Chief
executives
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