Rondell Corporation Case

What do you recommend to improve the effectiveness of Engineering Services Department?

According to Pondy (Callahan et al, 1986:283) conflict model, the aftermath of preceding conflict episodes sets the stage for those that follows. Latent conflict refers to the underlying conditions for conflict. Scarcity of resources, the drive for autonomy and the divergence of personal or unit goals are examples of such underlying conditions.

The latent conflict is portrayed in Rondell which is driven by the competition for scarce resources, the drive for autonomy by the different departments, and divergence of goals in the various departments. Each department has its own independence and pursues its own goal at the expense of other departments. This is making it difficult for the manager to control, co-ordinate and integrate the various departmental functions. The employees are scattered in different areas. Their roles and job responsibilities need to be defined to prevent conflict.

As the leader, Bill Hunt must be able to exert substantial influence with the key managers and his employee’s by sharing his vision. He needs to recognize that the current organizational structure is not sufficient to support the breadth and depth of activities due to the rapid growth of the company from 100 employees to 800 employees. The engineering department is unable to tend to the various departments. Each department has its own goals and fight for their own interest .He needs to realize the urgency of change and convey the urgency to others in the company and inspire them by producing facts. The engineering dept is currently handling the conflicting demands and interest. But it lacks Power, as in this scenario power is built from informal working relationships built over time.

The company needs a new structure to co-ordinate the various departmental activities and thereby reducing conflict. The power imbalance of different departments competes to pursue their own goal at the expense of...