Electrolux is one of the global leaders in the household appliances industry. The company produces household products all over the world. In 2002, it has been taking over by the Hans Straberg. At that time, Hans Straberg had to faces many challenges. One of it is the Electrolux Company was losing their market share to the lower cost goods that has been produced in Asia and Eastern Europe.
Hans Straberg had to make some radical changes due to the situation beside from the fierce competition in the United States. Hans Straberg had closed all the production plants and moved it to the Asia and Eastern Europe because the cost of labor is cheaper at there. Besides, Hans Straberg also broke down the barriers between the departments.…show more content… 1. How did Electrolux Chief Executive Straberg break down barriers (and increase communication) between departments? Why did he do this? Explain.
The Chief Executive of the Electrolux Company, Hans Straberg is breaking down the barriers of the departments because some radical changes need to be done to get the new ideas and new products since the company is gradually losing their products to the cheaper goods. With the new changes, the designers, engineers and marketers had to work together and became a team to come up with new products.
This change is a great idea because the ideas from the designers, engineers and marketers could be different but they could come up with something new and fresh by combining all the ideas. It is also can enhance the communication between the workers from all the departments. To increase the sales of the company, Hans Straberg also maximizes what the company had and transforms it. For example they created four characters that actually did not exist at all. From that all the employees could see from the different angles and they would communicate with each other to say what they have in their…show more content… Having people from all departments also is to know their experience, knowledge and their skills to produce the product and represent it as what the consumer really wanted.
3. In an era with intense competition and several low-cost products on the market, how can Electrolux use teamwork and groups to succeed? Describe.
Electrolux Company use teamwork and groups to succeed with the idea, innovation and the creativity of the teamwork and groups itself. Besides, the groups and teamwork was a combining people from the entire department and each department has its own perspective and knowledge about what consumers always want.
With the teamwork and groups, the ideas were refined and the products had been produce by sketches. The teamwork and groups need to think as the four characters that had been created that is Catherine, Anna, Maria or Monica. They need to think as they were the characters and what would the characters want. And this dynamic groupthink is a refreshing change that makes the Electrolux succeeds in offering their new