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Sonoco - Case Analysis

In: Business and Management

Submitted By jieu2969
Words 1532
Pages 7
Business 719
MBA Business Case Study

Individual Case Analysis

Submitted by: Ujjal Baruah
October 24, 2013

Answer 1: Globalization and introduction of information system technology had an effect on the organizational environmental factors in which Sonoco operated. Earlier, factors such as competition, customers, resources, technology and laws and regulations did not impact Sonoco’s business to the extent it did, in 1990s. It was more complacent and lost edge in technology and innovation. It failed to utilize information technology to its advantage.
Sonoco experienced new organizational environmental changes such as integration of the markets, disappearing of geographical barriers and condensing of time to delivery. It now must adapt to new global marketplace in order to maintain a successful business. One can say that Sonoco was operating in an organizational environment which was gradually changing from static and simple (low uncertainty) to a more dynamic and complex (high uncertainty) organizational environment. It was a shift from ERA 1 to ERA 3 organizational design.
Before Cindy Hardley joined the organization, Sonoco’s organizational structure resembled more of a multidivisional structure as division HR managers reported directly to the general managers of self contained divisions, and corporate HR was responsible for overseeing the activities of the managers heading each divisions. It was more of a decentralized siloed structured and processes and services provided differ from one business to another. This kind of structure has its own strength and weaknesses which are discussed below:
Strength:
i. Promoting a family-friendly and team oriented culture. Sonoco fits perfectly into the HR frame, which have a family oriented culture, where employees are empowered and their needs are taken care off. It values relationship with its employees and

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