Confrontation or Collaboration Case Stud

1. (a) Compare and Contrast the German and American Cultural Aspects

German Cultural Aspects American Cultural Aspects

Strong pressure to conform to social norms and Individualism and independence encouraged,
adhere to society's rules innovative

Serious about work & private matters, formal General Informality with equality and fairness

Reluctance to appear frivolous Overconfident & think they are the best

Generally having a familiar & casual attitude,

Highly disciplined, orderly and well educated
education taken for granted

Conflict is viewed as undesirable and avoided Directness, openness and honesty encouraged

Determination and perseverance, aggressively Generally laid back and aggressive pressure is
pressure for solutions seen as not desirable

Perfectionist and thorough Practicality and efficiency

  Materialism and acquisitiveness

(b) Evaluate the impact of the German culture on the problems set forth in the case.

Due to the German cultural trait of:

 Privacy Wendland (Wallenberg) would have been tight lipped on the problem at hand and not
disclose to NAIM what was transpiring with their component suppliers (Medici). This lack of
communication to NAIM would cause frustration to James Richardson.
 Avoidance for conflict, this would deter Herr Wallenberg from having open and frank
discussions with Medici’s president Karl Strobel about the problems (Strobel sounding to be of
temperamental nature).
 Aggressive determination and perseverance, Wallenberg would have been perceived as being
uncooperative and difficult; Wallenberg pressuring Medici for results would have annoyed
Medici’s president (Strobel). Medici would not have viewed this kindly and caused them to deal
directly with the Wallenberg customers.
  Being Perfectionists, Wendland would not accept an alternative component (PM3) that does
not fit the specifications (PM2).

 Aggressively Pressuring for Solutions, Wendland sent Mr. Kohl to solve the problem rather than
having prior discussion of the situation with Medici.

2. Develop a profile for Mr. Richardson and Herr Wallenberg for use in recommending
strategy for the upcoming meeting between the two presidents :-

James Richardson Profile Herr Wallenburg Profile

( NAIM) (Wendland)
Similarity
Autocratic Leader Autocratic Leader

Accepts responsibility for his Similarity

actions & holds himself Hard worker
accountable to the Company
A planner who strategies does not make decisions without Similarity
methodically before making all facts & costs and evaluations
decisions. carried out
Similarity
dedicated and hardworking A task master

Open to opinions of others, good Differences

Emotional prone to outbursts
communicator with people
of anger
( solved labour problems)

3. (a) Discuss the conflict between Wendland and it’s supplier Medici.

 Medici is supplying Wendland with components (pm2) that have developed technical problems
Medici attempted to address this by supplying an alternative part (PM3), but this new
component does not meet the client’s specifications.
 Wendland sent Mr. Kohl to solve the problem rather than having prior discussion of the
situation with Medici.
 Medici has not been very informative about the problem and their plans for rectifying same.
 Discussion between both Companies has broken down and Medici, is dealing with some of
Medland’s customers directly (This is a major source of irritation to Wendland).
 (b) How could Wendland have resolved the situation at an earlier point?

 Mr Wallenberg from Wendland should have meet with Medici’s Karl Strobel to investigate the
problem and discussed solutions and possibly collaborated together to find the solution.

 Wendland should have communicated Medici the contractual agreements that were place and
the urgency for having the issues rectified due to their third party contracts being in jeopardy of
breach of contract.

(c) Evaluate options available to Wendland to settle the controversy with Medici.

 Wallenberg can meet with Strobel to discuss the problems and collaborate on finding a solution.

 Find another Company to supply mining parts and cancel their contract with Medici (Once there
is an exit clause in their contract)

 Wallenberg could get NIAM and Medici together in a meeting to discuss NIAM’s requirements
and problems and get Medici to appreciate the urgency to get the components working as per
specifications required.

 Wendland arrange for the Western Mining Corporation (WMC) to step up their production
capacity for repairing the components (PM2’s). Medici would need to contribute to this
additional facility expansion cost.

(d) Should NAIM step in to address the problem?

 It would be inappropriate for NAIM to address the problem with Medici, NAIM is a third party
and their contract is with Wendland.

(NAIM should however address the problem with Wendland )

4. (a) Identify several alternatives available to NAIM to deal with the conflict with
Wendland.

 NAIM to detail the problems with the existing components and encourage Wendland to find a
solution with Medici within a reasonable time frame.
 NAIM can enter negotiations with Wendland for their subsidiary WMC to expand their capacity
and repair all the PM2 components and NAIM would assist with the expansion costs.
 MAIM could seek a third party to repair their components.
 NAIM could seek an alternative component suppliers on the world Market.
 NAIM can dissolve their contract with Wendland (due to non performance) and go directly to
Medici to get the components and discuss corrections.

(b) Select one of these, and develop a strategy for Mr. Richardson’s meeting with Herr
Wallenburg.

For the meeting with Wallenberg, Mr Richardson should:-

 Outline with Mr Wallenberg clearly the problems being experienced:

- PM2 has moisture
- PM3 is not meeting specifications
- Delays and other problems being caused in the mine as a result of this

 Request that Mr. Wallenberg to meet with Strobel (Medici) to find a solution and he should :-
- Offer possible solutions
- Request that this be done with a specific time frame

- Request continual written communication as to the progress of the process between

Medici and Wendland.

 May offer to cover some of the research costs that may be required for finding solutions, (due to
the significance that these components has on the NIAM mining operation).

 Reiterate the intention of NAIM to continue their longstanding contractual relationship with
Wendland and willingness to work with them to find a solution.

 Make Mr. Wallenberg aware that he is aware that there maybe some communication difficulties
with Mr Strobel and offer to accompany Mr Wallenberg on their meeting if necessary.

 Kindly and calmly give Wallenberg a specific time frame within which he needs to have the
component issue resolved before he seeks other alternatives to his supply problem.

 Request that the two leaders maintain an open and continual communication between them
on this matter until a resolution has been sourced.