Syngergetic Solutions

Synergetic Solutions Inc. Organizational Change

Synergetic Solutions Inc. faces the challenge to overhaul its organization as it took a major leap two years ago in the network solutions business of designing and implementing complex computing network from its original business of assembling and trading leading computer brands. This change has resulted to new orders of $1.2 million for designing network, which is 20% of its revenues that stand at $6 million at present.

The company’s chief executive officer has decided to concentrate on company’s energy and resources by making network solutions business account for 80% of revenues. The chief operating officer has been given the task for its transformation to become a networking design ‘hothouse’ in the next nine months.

Internal and External Forces of Change

Synergetic Solutions confronts three internal and external forces that may impede an organizational change. Internal forces, such as the nature of workforce, technology and social trends. Its workforce needs to upgrade their abilities and skills as they are limited only to basic computer assembling, and trouble shooting. The company should retrain or hire individuals with certifications. The internal technology has to change from computer trading company to network design company, which needs capital expenditures to buy new technologies and equipment, and invest on human capital to harness them with the required training and knowledge. Social forces may affect as society has new trends to affect communication. Different lifestyles are freely open which was once hidden. The external forces are getting strong from economic shocks, competition and world politics. If the economy is good, Synergetic Solutions will have a solid client base with more ability to compete. In recession, companies are competing stiffly for new contracts , which will likely cause internal changes as financial performance is poor. Retrenchment is inevitable and companies...