Case Study Running Head: CASE STUDY

Case Study: Avon Products Name of riter

Name of !nstitution

Case Study Case Study: Avon Products

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Avon !tems is a 1"" # year#o$d com%any initia$$y esta&$is'ed &y (ar) H* (cConne$$ + an entrance # to # entrance &oo) o,ner ,'o a$$ocated free&ies of fragrance as a motivation to 'is c$ients* -y "../0 Avon ,as an 12 mi$$ion com%any t'at 'ad o&tained a 1. 3 fina$ year$y rate of gro,t' 4CA5R6 in income and a "/ 3 CA5R in managing %rofit from "... t'roug' "..7* An internationa$ com%any0 Avon managed in more t'an 7. nations and o&tained more t'an 8. 3 of its income from outside t'e United Dec$ares* -y a$$ common financia$ ac'ievement0 Avon ,as a very successfu$ com%any* T'e organi9ation ,as in serious trou&$e ,it' year$y sa$e gro,t' of $ess t'an 1*/ %ercent and a fai$ing stoc) %rice during t'e genera$ economic advantage in 'istory* :ung too) t'e ro$e of Avon ,oman to &etter understand ,'at customers t'oug't a&out &usiness;s %roduct and ,it'in fie$d of net,or) mar)eting mode$* Avon<s grand strategy under t'e aut'ority of Andrea :ung 'as its &enefits and is t'e grand strategy is effective$y targeted and instructed* Andrea :ung 'as c$ear$y instructed t'e successfu$ modification of Avon !tems !nc* &y inter%reting its %ers%ective as t'e organi9ation for fema$es* it' grand strategies in#%$ace s'e is stimu$ating Avon<s %o%u$arity as t'e g$o&e;s ma=or immediate o,ner of cosmetics ,'i$e ma=or t'e organi9ation into interesting ne, $ines of &usinesses0 esta&$is'ing a se>uence of strong and %icture im%roving %ro=ects0 and gro,ing %rofession %ossi&i$ities for %eo%$e a$$ over t'e community* T'e idea$ %$an in %osition 'as its &enefits and t'e grand strategy is effective$y targeted and instructed* Current$y0 Avon is t'e g$o&e;s ma=or immediate o,ner of e$egance and re$ated %roducts0 ,it' 18*8 mi$$ion in year$y

Case Study earnings* Avon mar)et%$aces to fema$es a$$ over t'e community t'roug' 7*@ mi$$ion se%arate revenue associates*

T'e %roof s'o,s t'at :ung<s grand strategies ,ere sound* T'e disagreement t'at t'e grand strategies ,ere not o%tima$ and needed to &e refocused ,as %oor due to t'e overa$$ en'ancement of organi9ation efficiency and increase in investor grand se$ection* Andrea :ung<s c'arming interaction s)i$$s and management route 'as $aunc'ed Avon as a innovator in t'e internationa$ e$egance and aest'etic mar)et* Ho,ever0 as t'e com%any =oined "..A it found itse$f in'i&ited &y f$attening income and decreasing managing %rofits* 'i$e t'e situation 'ad many adding causes0 one actua$ issue ,as

t'at Avon 'ad gro,n >uic)er t'an areas its faci$ities and a&i$ity cou$d su%%ort* As ,it' many gro,ing com%anies0 t'e com%onents0 %eo%$e0 and %rocedures t'at ,ere rig't for a 1/ mi$$ion com%any ,eren<t actua$$y a good fit for a 11. mi$$ion com%any*

As t'e transformation ,as re$eased0 numerous &rea)s endured in Avon<s current a&i$ity and in its a&i$ity to recogni9e and generate a&i$ity* 'i$e some of t'ose &rea)s ,ere due to $osing or

&ad$y %erforming a&i$ity %rocedures0 an actua$ ,ea) %oint seemed to $ie in t'e overa$$ strategy to 'and$ing a&i$ity and a&i$ity met'ods* Avon ,as a com%any ,it' aut'entic0 'eart # sensed issue for its Affi$iates and an com%any in ,'ic' %o,erfu$ connections ,ere designed over a $ife#time of career* As t'e com%any matured0 a innovator < s %ersona$ understanding of ot'er Affi$iates < efficiency or %rogression needs often %rovided as a )ey as%ect in identifying a&i$ity activity* 'i$e in many cases a

innovator < s individua$ understanding ,as re$ative$y %recise0 it<s $i)e$y t'at a more ad=usted

Case Study %ers%ective or additiona$ >uantitative information may 'ave %ermitted a &etter conversation or more assurance in se$ection* A )ey %$an)s in t'e vie,%oint ,as t'at ,e considered in %utting a Bfe, &ig ,agersC on a

fe, $eaders* T'is strategy ,as advised &y t'e researc' dis%$aying t'e great$y eDce$$ent efficiency of t'e to% / to 1. %ercent of %articu$ar in'a&itants and &y t'e fact t'at %erfect %erformance of ,e$$ # )no,n 'ig' # %ros%ective %rogression met'ods ,ou$d >uic)$y im%rove %rogression* T'e financia$ commitment in t'e maDimum # %ros%ective $eaders ,as five to ten times ,'at Avon ,ou$d get a ty%ica$ entertainer* T'is financia$ commitment ,ou$d invo$ve training0 teac'ing0 and motivation sett$ement0 &ut Avon a$so s%ent t'e eDtreme$y time of t'e CEE0 %rofessiona$ grou%0 and se$ected %ane$ associates* T'e maDimum # %ros%ective $eaders ,ou$d often 'ave meetings ,it' t'ese %rofessiona$s regu$ar$y* 'i$e res%onsi&i$ity ,as used in many different ,ays0 t'e common resu$t ,as t'at $eaders recogni9ed t'at concentrating on a&i$ity during t'e transformation 4and after6 mattered0 and t'at t'ey ,ere accounta&$e for getting it done* T'e success made on a&i$ity concerns ,as assisted &y t'e various as%ects mentioned a&ove0 from a dedicated CEE and SFP HR to t'e emergency of a transformation to t'e eDtraordinary c'ange in a&i$ity met'ods* -ut it ,ou$d not 'ave &een %ossi&$e ,it'out t'e desire of every administrator at Avon to do t'e rig't t'ing* Avon started ,it' a $ifesty$e t'at res%ected every Affi$iate0 and Avon routed t'at good sou$ using audio %rocedures and unf$inc'ing se$f# disci%$ine* Avon =ust didn;t de$ude t'em into t'in)ing t'at t'ose a&i$ity c'anges ,ou$d 'ave &een %ossi&$e ,it'out t'e Avon $ifesty$e*

Case Study Revie,s and res%onsi&i$ity are crucia$0 descri&es (artin* Com%anies t'at efficient$y interact ,it' ,or)ers0 'e says0 create a %rocess and a &eat for co$$ecting0 assessing and acting on t'e information t'ey o&tain* Dave Goesters0 SPHR0 HR administrator at automo&i$e areas %roducer (ancor in Yor)to,n0 !nd*0 and a %artici%ant of t'e Community for !ndividua$ Source (anagement;s Personne$ !nteraction S%ecia$ S)i$$s Section0 says0 H!t;s a$$ a&out inc$uding %eo%$e and getting t'eir assistance and feed&ac) and ma)ing t'em %art of t'e remedyH 4G$e%ac)i0 "../6* E%inions and $ia&i$ity are crucia$0 re%resents (artin* Com%anies t'at %ro%er$y communicate ,it' em%$oyees0 'e says0 create a %rocedure and a defeat for gat'ering0 eva$uating and %erforming on t'e detai$s t'ey o&tain 4G$e%ac)i0 "../6*

Dave Goesters0 SPHR0 HR manager at ve'ic$e areas manufacturer (ancor !n in Yor)to,n0 !nd*0 and a individua$ of t'e 5rou% for !ndividua$ Source (anagement;s or)ers Connections

S%ecia$ S)i$$s Area0 says0 H!t;s a$$ a&out suc' as %eo%$e and getting t'eir assistance and revie,s and ma)ing t'em %art of t'e so$utionH 4David0 "..@6* Effron suggests t'at aut'orities focus more on ca$cu$ating $eve$s of en'ancement t'an ra, ratings* H e don;t carry commanders res%onsi&$e for &eing at a %articu$ar scoreI ,e carry t'em res%onsi&$e for im%roving ,'atever t'eir ran)ing is0H 'e says 4David0 "..@6* Tim rig't of rig't Resu$ts !nc*0 a %ersonne$ invo$vement and management advisor in

Austin0 TJ0 confirms0 descri&ing0 HAn effective com%any uses study resu$ts in %roduce continuous im%roves in %ersonne$ invo$vement0 no matter 'o, 'ig' t'e ratingsH 4G$e%ac)i0 "../6* Ergani9ations t'at %ro%er$y interact ,it' em%$oyees create a %rocedure and defeat for gat'ering0 assessing and %erforming on detai$s*

Case Study T'e T( grou% discovered t'emse$ves in a difficu$t situation* Essentia$ c'anges ,ere needed in every a&i$ity %ractice0 and t'e met'ods 'ad to &e modified and integrated in time to su%%ort t'e transformation* T'is intended t'at t'e met'ods 'ad to &e >uic) to deve$o%0 sim%$e to use0 and0 most of a$$0 efficient* Ta)ing t'e assistance from t'e To% Ergani9ations for Keaders researc' 4Effron0 5reens$ade0 L Sa$o&0 "../6 and t'e conce%ts of %rofessiona$ instructor (ars'a$$ 5o$dsmit' 4"..A60 ,e determined to deve$o% t'e a&i$ity met'ods ,it' t,o )ey 'e$%ing conce%ts* 'i$e some HR eD%erts recommend t'at %resenting a %ersonne$ study during 'ards'i%s is not a eDce$$ent o%tion0 ot'ers differ* (arc Effron0 FP of ta$ent management for cosmetics %roducer Avon !tems in Ne, You are a&$e to0 says Avon started its invo$vement study a&out t'ree years ago0 soon after a significant transformation effort* H!t ,as %ro&a&$y one of t'e most 'ards'i%s in our organi9ation;s record0H 'e says* Yet Effron t'in)s t'at t'e study sent a eDce$$ent conce%t0 offering as Ha eDce$$ent dis%$ay t'at ,e care a&out %ersonne$ vie,s*H T'in) a&out Ht'e eDce$$ent effect t'at a %ersonne$ study can 'ave0H says !$ene 5oc'man0 HR com%any atson yatt;s com%any efficiency eDercise innovator* A negative atmos%'ere is

H%recise$y t'e time you ,ant to )no, ,'at;s on t'e t'oug'ts of ,or)ers0 &ecause t'ose t'at are remaining are t'e ones you ,ant to interact ,it'H 4G$e%ac)i0 "../6* it' t'ose t,o 'e$%ing conce%ts in %$ace0 ,e started a 12. # degree modification of Avon<s a&i$ity met'ods* (oreover0 t'e contro$ sty$e of Andrea :ung0 t'e CEE of Avon !tems0 ,as to 'ig'$ig't o%en interaction0 o&=ective %ositioning0 and revie,s from 'er sa$es force*C Avon consistent$y de$ivers in t'e to% doing revenue associates from across t'e %$anet to Avon<s 'ead office in Ne, You are a&$e to To,n in order to co$$ect first 'and revie,s from t'e ,or)ers in t'e area* (s* :ung 'erse$f

Case Study even attem%t to sa$e Avon<s %roducts as a conventiona$ Avon ,oman* An effort s'e recogni9es ,as not one of 'er more effective o%%ortunities* T'e effort 'o,ever0 revea$ed (s* :ung<s investment to )no,ing a$$ as%ects of t'e Avon &usiness* A common conce%t in (s* :ung<s

aut'ority %resentations motivate fema$es %o,er and en'ance a %erce%tion t'at more fema$es ,i$$ continue to 'o$d )ey %rofessiona$ tas)s* Under (s* :ung<s aut'ority0 Avon contro$ can 'and$e versati$e ,or) dai$y activities and %romotes ,or)ers to ma)e a sta&i$ity &et,een %erform and fami$y o&$igations* T'e s%ecific a&i$ity met'ods ,e targeted 'ave seen significant u%grades in efficiency* Scores of !mmediate Administrator 4inc$uding items suc' as c$ear success stories0 consistent revie,s0 and %rogression %$anning6 'ave en'anced u% to 18 30 ,it' administrators and vice %residents giving t'eir immediate su%ervisors near$y a @. 3 acce%tance score* T'e ratings of B%eo%$e efficiencyC 4,'ic' records many HR and a&i$ity %ractices6 en'anced u% to 1A 30 suc' as %o,erfu$ %rofits on >uestions re$ated to ,or)ing %ro%er$y ,it' $o, entertainers and %ositioning $eaders res%onsi&$e for t'eir resu$ts* (ore visi&i$ity 'as %ermitted >uic)er activity of a&i$ity into )ey mar)et%$aces* Sim%$er %rocedures 'ave %ermitted us to im%rove t'e %rogression of $eaders* Ho$ding $eaders res%onsi&$e for t'eir &e'aviors 'as en'anced t'e eD%erience for Affi$iates around t'e ,or$d* 'i$e t'ese c'anges ,ere 'ard # conducted and ,e &e$ieve created muc' more effective %rocedures0 a more im%ortant set of ac'ievement %revai$s* Avon 'as o&tained a$$ of its eD%enditure &enefits o&=ectives since t'e start of t'e transformation and 'as recent$y strengt'ened its eD%enses to even greater eD%enditure discount rates* Even ,it' t'is c'ea%er &ase and 1. 3 $ess Affi$iates0 Avon 'as gro,n from income of 1 2- in "../ to near$y 1 11- in estimated "..@ income ,'i$e %roviding %o,erfu$ sing$e # num&er income gro,t'*

Case Study !t can<t &e said ,it' guarantee t'at t'e ne, a&i$ity met'ods %rovided to eit'er t'ose %ersona$ &enefits or t'e income im%roves* e are confident0 'o,ever0 t'at t'e a&i$ity met'ods

no, in %$ace ,i$$ %roduce &etter $eaders0 >uic)er0 to 'e$% Avon meet its &usiness o&=ectives*

Case Study References

David0 MR* 4"..@6* BStrategic (anagement Conce%ts and CasesC 1"ed* Prentice Ha$$ Effron0 (*0 5reens$ade0 S*0 L Sa$o&0 (* 4"../6* 5ro,ing great $eaders: Does it rea$$y matterN Human Resource P$anning :ourna$0 "24?60 12O"?* 5o$dsmit'0 (* 4"..A6* Try feed for,ard instead of feed&ac)* !n (* 5o$dsmit' L K* Kyons0 Coac'ing for Keaders'i% 4%%* 7/ O 7@6* San Mrancisco: Pfeiffer* G$e%ac)i0 K* 4"../6* Avon: Building The World's Premier Company For Women* :o'n Sons* %* "12* !S-N .#781#8?@"?#/* i$ey and