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TerraCog GPS Loses its Way! Team SWAT (Chintan Patel , Neil Dudich, Saurabh Palkar, Soumik Mandal, Vivek Vadakkuppattu) Le...
Micro  Environment Does Not Respond Macro Environment  Terra Cog  Sales and Leadership Environmental Changes Specialty Ret...
Meeting Chaos – Clash of Personal Interests <ul><li>No Clear Agenda  </li></ul><ul><li>Finger Pointing, No One Has Vested ...
Objectives :  What were they thinking  ? Richard Fiero President “ Our reputation for quality is paramount ” Get this prod...
TERRA COG: Decision Making Rubric <ul><li>BEFORE </li></ul><ul><li>‘ Attentive Channel Management’ </li></ul><ul><li>Liste...
Recommendation 1 – Let’s go hit the market as planned <ul><li>Launch Aeriel immediately with reduced margin expectations. ...
Recommendation 1- Recommended   Structure Manufacturing Design &  Development Project Aerial Finance Sales President
Recommendation 2 – Fools Dare where Angels Fear to Tread <ul><li>Hold off product launch and return to the market with a “...
How do I pull an Apple with this? <ul><li>“ Give ‘em the Pickle!’’ </li></ul><ul><li>Improved Leadership </li></ul><ul><li...
<ul><li>Start at Bottom of Market Street </li></ul><ul><li>Make a right onto Improve Performance Highway </li></ul><ul><li...
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An Analysis of the problems faced by TerraCog GPS with focus on the Environment, Strategy, Structure, Cultural aspects and their fits.

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TerraCog GPS

  1. 1. TerraCog GPS Loses its Way! Team SWAT (Chintan Patel , Neil Dudich, Saurabh Palkar, Soumik Mandal, Vivek Vadakkuppattu) Leadership in Organizations
  2. 2. Micro Environment Does Not Respond Macro Environment Terra Cog Sales and Leadership Environmental Changes Specialty Retailers Delayed Response Threat New Feature “ Satellite Imagery” Customers Love It Opportunity Ignores Customers Go To Competition Result Project Aerial Request Satellite Imagery Macro Environment
  3. 3. Meeting Chaos – Clash of Personal Interests <ul><li>No Clear Agenda </li></ul><ul><li>Finger Pointing, No One Has Vested Interest in Project Aerial </li></ul><ul><li>Difficulty to Reach a Consensus </li></ul><ul><li>No results at the end of meeting 2 and 3 </li></ul>E. Richardson Executive VP Becky Timmons CFO Richard Fiero President Ed Pryor Sales Cory Wu Software Allen Roth Dir. Des. & Dev H. Whistler VP Des. & Dev Alice Gorga Hardware Tony Barron Production Meeting 1 <ul><li>Meeting 1- Project Aerial Kick Off </li></ul><ul><li>Richard – Pressed for time, but quality product </li></ul><ul><li>Ed – Same features, at $50 premium, slower speed is OK </li></ul><ul><li>Tony not present at meeting </li></ul><ul><li>Emma not present at meeting </li></ul><ul><li>Meeting 2 – Pre-Launch </li></ul><ul><li>Earlier failure – Different perception (Richard and Tony) </li></ul><ul><li>Software does not agree with hardware costs </li></ul><ul><li>Hardware thinks it’s a sales problem </li></ul><ul><li>Sales not ready to change anything (Does not even want to try) </li></ul><ul><li>No one is flexile </li></ul><ul><li>Emma is biased that it is a P&D problem, without examining if sales can tweak a few things </li></ul><ul><li>Meeting 3 – One Week after Pre-Launch </li></ul><ul><li>Teams formed – Us vs. Them </li></ul><ul><li>Environmental changes – New competition. (e.g. Garmin) </li></ul><ul><li>Harold is trying to offer options but is cut off </li></ul><ul><li>None of the groups are ready to bend – Personal Interests </li></ul><ul><ul><li>Ed </li></ul></ul><ul><ul><li>Allen </li></ul></ul><ul><ul><li>Tony </li></ul></ul><ul><ul><li>Becky </li></ul></ul>Meeting 2 Meeting 3
  4. 4. Objectives : What were they thinking ? Richard Fiero President “ Our reputation for quality is paramount ” Get this product completely right the first time. Emma Richardson Executive VP Move TerraCog towards i) Greater operational alignment ii) Increasing departmental cooperation Ed. Pryor VP Sales I will take a big hit, if we don ’ t reach our sales targets. Harold Whistler VP, Design & Devl. Preparing to retire and has switched to only part-time employment. Allen. Roth Director, Design, & Development I am ready to be VP, Design & Development, but Aeriel diverts attention from building a product line I can truly call my own. Cory. Wu Mgr Software & Firmware Design High hardware costs and labor estimates are not justified. “ There ’ s got to be room for cuts. ” Alice. Gorga Mgr Hardware Design These costs are realistic. “ Sales probably just needs to reconsider how to position this thing. ” Tony Barren Production Mgr. I ’ m not going to cut corners in production. I had my head handed to me the last time we had quality issues.
  5. 5. TERRA COG: Decision Making Rubric <ul><li>BEFORE </li></ul><ul><li>‘ Attentive Channel Management’ </li></ul><ul><li>Listening to specialty retailers </li></ul><ul><li>Involvement of key Terra Cog executives in product decisions, </li></ul><ul><li>ie ., President Fiero & VP Design </li></ul><ul><li>and development Whistler </li></ul><ul><li>Rapid, responsive decision making </li></ul><ul><li>regarding costs, pricing and initial </li></ul><ul><li>product volume </li></ul><ul><li>Focus on key customer base of </li></ul><ul><li>serious outdoor enthusiasts </li></ul><ul><li>NOW </li></ul><ul><li>Delayed market responsiveness </li></ul><ul><li>Institutional inertia </li></ul><ul><li>Abrogation of decision making and higher level executive control </li></ul><ul><li>Decision making by ad hoc committee not involving all essential company personnel, eg ., CFO Becky Timmons </li></ul><ul><li>Ascension of functional priorities in decision making process and competition between departments. </li></ul>
  6. 6. Recommendation 1 – Let’s go hit the market as planned <ul><li>Launch Aeriel immediately with reduced margin expectations. </li></ul><ul><li>Establish a foothold in the market and gain consumer confidence. </li></ul><ul><li>Improve design and manufacturing processes to reduce production costs. </li></ul>Pros Cons <ul><li>Immediate market presence (BirdsI and Garmin already there) </li></ul><ul><li>Decreased margin </li></ul><ul><li>Capture sales for holiday season </li></ul><ul><li>Pressure on manufacturing and design team to reduce product costs. </li></ul>
  7. 7. Recommendation 1- Recommended Structure Manufacturing Design & Development Project Aerial Finance Sales President
  8. 8. Recommendation 2 – Fools Dare where Angels Fear to Tread <ul><li>Hold off product launch and return to the market with a “WOW” (Works Out Wonders!) product </li></ul><ul><li>A La Apple - iPhone </li></ul>Pros Cons <ul><li>Frog Leap competitors </li></ul><ul><li>Declining market share </li></ul><ul><li>Get the basics right! </li></ul><ul><li>High risk! </li></ul>
  9. 9. How do I pull an Apple with this? <ul><li>“ Give ‘em the Pickle!’’ </li></ul><ul><li>Improved Leadership </li></ul><ul><li>Improved Communication between departments. </li></ul><ul><li>Extensive market research </li></ul><ul><li>Better Product Development flow </li></ul>
  10. 10. <ul><li>Start at Bottom of Market Street </li></ul><ul><li>Make a right onto Improve Performance Highway </li></ul><ul><li>At the fork make a left onto Improved Leadership and Communication </li></ul><ul><li>Drive on for 5 months </li></ul><ul><li>Drive over competition and make a Right </li></ul><ul><li>Destination ahead of you </li></ul><ul><li>Arrive at No 1, Top of the Market Street! </li></ul>How do I get there?

An Analysis of the problems faced by TerraCog GPS with focus on the Environment, Strategy, Structure, Cultural aspects and their fits.

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