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CHANGE MANGEMENT

PROJECT
WHY MOTOROLLA FAILED
AFTER CHANGE
MANGEMENT
IMPLEMENTATION.

SUBMITTED BY:
ZENOBIA JAVAID
SAMINA KAUSAR
TANZEEL ALI
INTRODUCTION:
HISTORY OF MOTOROLA
The two Founders of Motorola-Paul V. Galvin and his brother, Joseph E. Galvin,
starts with purchasing a battery eliminator business in Chicago at September
1928 and named the company as Galvan manufacturing corporation.
Galvin first product is to develop is a battery eliminator which allows
electronic devices to run on electricity rather than battery. ‘Motor’ stands for
car and ‘ola’ stands for sound.
Starting from the year 1967 Motorola expands its markets into other
countries like Australia Canada France Hong Kong Israel Italy japan Malaysia
United Kingdom and west Germany.
In 1973 Motorola introduce the world’s first cellular mobile phone- dyna tac
which uses radio technology and is released in 1984. Then Motorola starts to
combine both computer and radio technology to make mobile handsets
smaller and smaller sizes. In 1996 Motorola released the star TAC which
weighed in at 88 grams only, so far it is still the lightest even in this day and
age. Continue at the year 2000, Motorola and general instrument corporation
merged to enhance their services and in 2001 Motorola introduces the
Motorola V60 phone the world first metal mobile phone which in available on
the cellular networks.

A) The main reasons that caused a company to fail


its operation by discussing Motorola.
What I can say in Motorola is intermediate failure which is almost losing out
their entire mobile or smart phones market shares to their competitors such
as Apple, Samsung, Nokia and so on.
According to the Extragsm.com, Nokia is having highest sales among the
competitors at the year 2011 which is 11,699.4 units, taking over the mobile
device market share of 23.4% followed by Samsung, Apple and so on. Where
by Motorola is at the 9th ranking of 2.1% with sales of 10,075.3 units only. So
what Exactly are the reason which led to these failures imposed on Motorola
company?
No Proper Leadership
Motorola was too arrogance at one time not knowing that their other
competitors were coming into the market- the rivalry of the industry.
Motorola currently is that they attempted to turn their wayward ship around
with repeated job-cut and still confused with cooperate Resituating.
However, the problem Motorola is currently facing is rooted in the company
leadership’s apparent inability to get the right person for the executive
manger’s position of its various cell phone division and refusal to cut-off its
useless heads and start fresh.

Failed on product and market differentiation due


to lack of market knowledge
What Motorola failed to realize was that the cell phone market changed the
consumer’s buying decision from “hardware” to a “Software decision”. In the
trend now, customers want to run real, native, apps on their phones. End of
story after the initial boom of cell phones designs in the early people don’t
care anymore if the new design is 1mm thinner than the previous model.
Phones from factors and battery life have become good-enough in the last
year for almost all manufactures and so the interest and market
differentiations has shifted towards software solutions. So the Motorola lost in
the battle of mobile device market. Motorola does not understand to invent or
create product according to what they think the consumer want. This is why
they fail to strategize their business continuously

A) Implementation of Change Management


Restructuring to reengineer the Management
The main problem exit in Motorola is starting from the bottom of the root
which is the management problems and the company is still remained there. I
would have recommended Motorola to actually hire an outside CEO. To do
this, I think is a sign of a poorly run company. Hiring an outside CEO means a
company has not done a good job of developing leaders in-house. Sometimes
it is necessary though, because everyone within the company thinks a certain
way, and a fresh perspective is needed to get them. Motorola would do better
to bring in an outsider. Motorola is famous for hanging on to technologies
such as analog and satellite phones long after the market rejects them. The
company also need a leader with a proven record for divining key tech trends.

Effective Change Management for Motorola


For any change management to adopt in the company, first of all, the
organization needs to be ready which is accessing organizational readiness.
Motorola need to evaluate the high level impact of change, identify key points
of risk and plans to address them.
Next is Motorola need to develop a future state vision by articulate the change
in a concise and compelling manner that can be share broadly.
Then the Company need to engage leaders, the leaders will develop a plan to
gain the buy-in and support of those individuals most critical to success.
Of course the most important thing for any hierarchy of management is to
communicate.
Motorola need to develop a proper communication strategy and roll-out plan
to create understanding and drive acceptance internally and externally.
Separations and talent retention in order for the company to come up with a
new direction in the market.
In the changes, Motorola have to ensure to facilitate individual change from
top to bottom by building change adaptability skills and help individual
internalize and move through the change to avoid anyone from missing out of
the trend and understand the need for the change. Also Motorola needs to set
a proper training and development for the employees. Develop a training
strategy to create proficiency for operating under the new model.
Causes of Motorola failure After Change
Implementation
Motorola implement change in company but there are lot of reasons which led
to Motorola failure. The next step for Motorola company is to take what they
know and what they want to accomplish and write a detailed strategy for how
to make it happen but after making and implement all this strategy there are
some reasons and issues which led to failure of Motorola.

Dedicated Plan
Motorola need to formulate a comprehensive business plan. A business plan
covers all the related factors that are essential for enterprises including vision
description of the market projected financials, employee relationships and
customer relation management (CRM).

Empowering Leadership
For Motorola to be success is to empower leadership. This type of business
management style has been called transformational leadership. After Change
implementation the employees and staff members of Motorola do not merely
do the work.

Customer Relationship
After Change implementation management of Motorola is changed some of
them resign and some are fired due to not acceptance of change management.
Their customers start to have a hate relationship with Motorola which did not
deliver what it promised it would. They couldn’t find any way that customers
could have wanted to tie in their needs at home, at work on their persons.
Motorola couldn’t bring these warning tribes together inside the firm. There
are basically no proper communication way of Motorola to communicate or to
interact with their customers which lead to failure in customer’s relationship
management.

Innovations Colors & Designs.


Motorola do not try to launch new designs of latest models colors and new
innovations.
CONCLUSION
In Summary, Motorola is not successful company now just because of they did
not have new innovations latest designs and models. Motorola needs to stand
another chance for their product differentiation and market differentiation
instead of competing in price and cost. Because of not knowing the market
demand they imply change for their management and to make change
successfully Motorola company needed with strong relationship including
shareholders and stakeholders for betterment.

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