Gap Analysis: Intersect Investments

In: Business and Management

Submitted By RButler60
Words 1939
Pages 8
Gap Analysis: Intersect Investments
Rosa L. Butler
University of Phoenix
MBCC0107/MBA 520
Transformational Leadership
July 01, 2008
Dr. Alvin H. Steward III

Gap Analysis: Intersect Investments
Introduction
In late 2001, the financial services industry began to experience problems due to external forces which were out of control from company managers who could not control the social and political pressures the market was receiving from their customers and Wall Street. Leaders needed to develop strategies to maintain the company’s competitive edge in the new external scenario the industry was having. The Intersect Investment Company was not exempt from this situation and leaders of the company had to take action on how to recover the lost trust from base customers and have a profitable company in the market. Frank Jeffers, Chief Executive Officer (CEO) of Intersect Investment, developed a new company vision which was not supported by all staff members as the companies’ organizational culture was not focused on the customer needs. The new vision required changing the focus to the customer instead of the sale numbers. This new change caused resistance from some of the employees. A lack of support on the new philosophy from The Executive Vice President of Marketing and Sales resulted in the CEO using his legitimate power to remove the manager from the company. “Legitimate power is an agreement among organizational members that people in certain roles can request certain behaviors of others” (McShane & Von Glinow, 2005, p. 360). The CEO needed a new manager which believed in the new vision of implementing the customer intimacy model at Intersect Investment, so Janet Angelo was hired to fill this position.
Situation Analysis
Issue and Opportunity Identification
Intersect Investment is facing several internal problems which were originated by the…...

Similar Documents

Gap Analysis: Intersect Investments

...Gap Analysis: Intersect Investments Intersect Investments has barely been able to survive the roller coaster like financial industry. Intersect Investments is struggling to keep their clients and employees trust. Chief Executive Officer (CEO) Frank Jeffers has been with the company over 25 years and has resisted organization changes in recent history. Frank Jeffers has realized that the company is hardly surviving and needs to find ways to take the company in a new direction. Franks vision to implement the customer intimacy model and a new set of products has met some resistance by some senior management and employees alike. To overcome the resistance, Frank has hired a new Vice President of Marketing and Sales with experience in using the customer intimacy model. Once the internal stakeholder’s issues are resolved, Intersect Investments should be on their way to accomplishing the organization goals outlined in the strategic plan. Situation Analysis Issue and Opportunity Identification Intersect Investments has been fortunate to survive through times of uncertainty. In order to continue this progression, a more personal relationship between client and investor needs to be established. The aggressive one year transformation plan has been implemented and it is now necessary for the staff of Intersect Investments to adapt. However, with this change comes resistance. Intersect Investments is observing resistance from the directors. The directors are avoiding the new plan...

Words: 1685 - Pages: 7

Intersect Investment

...%, customer satisfaction has declined 10%, and customer attrition has increased to 25% a year (Intersect Investment, 2008). Intersect Investment has identified several issues within the organization and needs to make adjustments quickly in order to turn around sales, customer and employee satisfaction trends. Intersect Investments should conduct benchmarking research to determine how to best identify changes that need to be made, analyze the implications of different leadership styles on the change management process, evaluate the influence of leadership on management practices, select leadership styles for a given situation, analyze the factors that contribute to a long-term commitment to change, and appraise future leadership challenges. “Old practices will not be effective in a future that requires innovation, fast responses, horizontal relationships, high engagement levels and optimum performance from assets that are not owned by the company,” (Forman, 2007). Key Findings: Gap Analysis Gap #1.First, the senior leadership team will implement an organizational communication plan to prevent distorted communication channels. At minimum, the senior leadership will look into employing a two-way communication system. Senior leadership will make immediate use of an email system as one informal communication channel, however, not to replace the traditional formal face-to-face meeting. There will also be some conflict resolution mechanisms, and contingency plans implemented...

Words: 557 - Pages: 3

Intersect Investment Problem Solution

...Problem Solution: Intersect Investment Services Intersect Investment Services (IIS) is a financial services industry company which has been struggling to survive in a market which has been in constant state of flux, never certain and always chaotic (University of Phoenix, 2008). IIS has “barely managed to survive, but resisted making a drastic, strategic shift” (University of Phoenix, 2008, p. 1). The changed market conditions have led to the changed vision of IIS which is: “Provide a broad set of products and services to consumer and small business customers using a model of customer intimacy that will build long-term relationships based on trust and value to the customer” (University of Phoenix, 2008, p. 1). This new vision has not been realized yet and therefore, the Executive Vice President of Marketing and Sales has been released of his duties and was replaced by Janet Angelo as new Executive VP of Marketing and Sales. A number of reasons contribute to the fact that why the transformation of IIS was not successful and these reasons are (1) no clear communication about how the change should take place, (2) no explaining and reinforcing on why the change should take place, (3) resistance to the change of key personnel, and (4) the goals to achieve were not aligned with the new strategy. No clear communication has been identified by Kreitner and Kinicki (2004) as one of the main reasons why organizational change initiatives fail. The communication of organizational...

Words: 5805 - Pages: 24

Intersect Investments

...Introduction Intersect Investments’ business, pricing, and competitive strategies have worked very well for many years. However, September 11, 2001, started chaotic market conditions for the financial services industry. A volatile climate has left many financial firms struggling to keep both their clients’ trust and investor’s credibility. In addition to the above, many factors including strong competition, technology, the economy, and social trends have started to have a significant impact on the financial industry. To succeed, investment companies need to offer a wide gamma of products coupled with expert advice. Therefore, Intersect Investments needs to consider carefully its strengths, weaknesses, opportunities, and threats as part of its strategic planning process. This paper will analyze benchmarking research made on companies dealing with transformational issues such as Coca-Cola, Ford Motor Co. Apple Computers and Legion Paper Co. Some of those organizations are global leaders within their respective industry. Therefore, any benchmarking analysis is relevant to the current situation at Intersect Investments. Coca-Cola Synopsis by Bruce McCormack It has become a cliché to state that tough times demand tough measures. The terrorist attacks of September 11, 2001 redefined this cliché for most businesses on Wall Street and throughout the world. One such Wall Street business, Intersect Investment Services, tried boldly to overcome the toughness of the times...

Words: 4493 - Pages: 18

Intersect Problem Solution

...Running head: GAP ANALYSIS: INTERSECT INVESTMENTS Gap Analysis: Intersect Investments University of Phoenix Facilitator David Stripling February 1, 2010 Gap Analysis: Intersect Investments Intersect Investment Services, a highly successful investment services organization, offers a set of diverse financial options to its clients. Due to the volatility of the market since 2001, Intersect, along with other financial sector companies has struggled. Recently they have suffered and in the last four years barely survive. Within the past year, Intersect has experienced a decline in sales and customer satisfaction. In survival mode, leadership has proposed a revolutionary organizational change, largely in the area of sales methodology. (University of Phoenix, 2010) Intersect’s Chief Executive Officer wants transformation of the entire organization in order to recover lost profits. The newly launched strategic plan will attempt increase their level of customer satisfaction, increase sales, and increase customer-base by implementing a new “customer intimacy” sales model as well as to expand existing product and services. (University of Phoenix, 2010) In order for Intersect to move forward with this organizational change the leadership need to make a full assessment of the current situation. Ccurrent issues and opportunities will be examined and discussed as well as stakeholder perspectives in relation to end-state goals. The “gap” will then be analyzed and...

Words: 842 - Pages: 4

Intersect Problem Solution

...Gap Analysis: Intersect Investments Introduction The overall financial services industry has been in a state of turmoil since September 11, 2001. Several of the financial firms have been struggling to keep both their clients trust as well as Wall Streets credibility. Within the last year CEO Frank Jeffers has identified a new vision in hopes to steer the company in a new direction. This vision will hopefully improve its brand image and begin establishing long-term customer relationships. If successful this vision will re-establish trust within Wall Street. In the past, Intersect Investment Services has barley been able kept their head above water. Within the organization several members of the management team don't agree with the new model there for causing issues internally and externally. With implementing the right concepts Intersect Investments should be able to get back on track and become profitable again. Issue and Opportunity Identification Lack of client trust and Wall Street credibility are external forces that have forced Frank Jeffers to reevaluate the way his company does business. “External forces for change originate outside the organization. Because these forces have global effects, they may cause an organization to question the essence of what business it is in and the process by which products and services are produced” (Kinicki & Kreitner, 2004, p. 674). By implementing a new vision, Frank hopes to provide an opportunity for the company to increase...

Words: 1122 - Pages: 5

Intersect

... insight on how to succeed with the proper delivery method of the new plan. This alternative supports the company’s end state goal, implementation of a new vision. The second alternative simply points out that Intersect Investments need to instill trust in stakeholders, employees, customers and Wall Street. This can only happen if the company does a transformational and organizational culture change. Intersect Investments need to present a strong and solid foundation; therefore they must have all the stakeholders backing them. It will be helpful if everyone is on board with the vision. The third alternative is a must, the company must put the vehicle in place to train and empower their current workforce. They must also put a plan in place to change the companies’ image by becoming a more friendly and reputable company. Intersect Investment must become a company that employees are trying to relocate to as opposed to trying to try to leave as soon as the next job offer comes along. Intersect Investments must hiring additional personnel to ease the burden on the existing workforce due to the 25% hiring lag. If these tasks are accomplished the company will succeed by adapting the companies third end state goal by creating a stable and healthy environment for employees, provide necessary training, and promote job satisfaction and job security. Analysis of Alternative Solutions There are positives to the above options. I rate all alternatives high because......

Words: 2742 - Pages: 11

Intersect Gap Analysis

...`Running head: GAP ANALYSIS: INTERSECT INVESTMENTS Gap Analysis: Intersect Investments University of Phoenix MMPBL/520 Gap Analysis: Intersect Investments With such constant state of flux within the financial services industry, Intersect has attempted to survive. CEO Frank Jeffers decided on a new vision for the company and it is called the “customer intimacy model”. To help implement this model, the organization must align employee morale. Jeffers goal is to build long-term relationships and add value and trust to the customers of Intersect, but employees must stand by the new vision. Intersect understands that benchmarking is a great start to implement its new vision but the restructuring of organizational culture is much more important for the success of the model. Different values, rights, and interest are at stake and it is creating resistance to change. Situation Analysis Issue and Opportunity Identification The financial services industry is struggling and Intersect Investments is in need of an organizational change. Intersect Investments is managing to survive within its industry and is currently facing a 25% turnover rate. The company is in desperate need of increasing customer rates and plans to establish long-term customer relationships so that its brand image is improved. CEO Frank Jeffers realizes that the company will survive by implementing the “customer intimacy” model. In hiring Janet Angelo as the company’s new VP in...

Words: 2522 - Pages: 11

Intersect Gap Analysis

...Intersect Investment Company (IIC) is a financial investment firm that has struggled to regain the trust of their clients as well as their constituents on Wall Street. Since the terrorist attacks in New York on September 11, 2001, the financial industry has been nothing short of chaotic. Frank Jeffers is the CEO of Intersect Investment Company and is looking to implement a “customer intimacy” model that will help Intersect become successful in the future. Frank Jeffers has selected a leadership team consisting of Janet Angelo; Executive Vice President of Marketing and Sales, Tomas Hardy; Senior Vice President of Human Resources, Lyn Chen; Vice President of Sales, Joel Contino; Vice President of Marketing, and Annie Sorrento; Director of Sales Operations. Intersect has a wealth of talent to draw from and simply needs to make sure staff are on board with the organizational changes being proposed. Change can stretch an organization to and beyond the breaking point. Changes are seldom welcomed within most organizations and Intersect Investments is no different. Frank Jeffers has a vision of where he thinks Intersect needs to go; unfortunately not everyone on the team shares his vision. Jeffers wants Intersect to fully implement the new “customer intimacy” program within the next year and expects things to go according to his plan. According to Kreitner and Kinicki, “True change in any organization usually takes not only months but years to accomplish.” A leader willing to...

Words: 635 - Pages: 3

Problem Solution: Intersect Investments

...Running head: PROBLEM SOLUTION: INTERSECT INVESTMENTS Problem Solution: Intersect Investments Mary Jacobs University of Phoenix Problem Solution: Crys Tel Crys Tel has learned that resistance to change and lack of flexibility endanger the progress of an organization, limiting its powers. With this in mind the Chief Executive Officer Morgan Trevannon decided to initiate new ideas to increase the company’s financial future. A potential goal has been established to advance the telecommunication industry with this process Crys Tel is likely to face technological and administrative changes regularly. Team members have been organized to have brainstorming sessions to develop an implementation strategy that will be beneficial to shareholders, management, and employees. This implementation process will be done in stages to ensure any defects will be caught early in the project and corrected prior to finalizing the go live time. Situation Analysis Issue and Opportunity Identification Crys Tel has decided to implement a transition plan to optimize flexibility, promote innovation, and sustain change. By the end of the initiation phase of the Project Delivery Framework (PDF), teams must complete the Project Charter. The Project Charter aims to achieve two key objectives: 1. To facilitate early engagement of the known cross-impacted teams and work together to finalize the high-level scope of the project. Although this high-level scope will be...

Words: 2788 - Pages: 12

Gap Analysis: Intersect Investments-Tables 1 and 2

...Gap Analysis: Intersect Investments-Tables 1 and 2 John Doe MMPBL520-University of Phoenix November 14, 2011 Dr. Phil Gap Analysis: Intersect Investments-Tables 1, 2, and 3 Before Intersect Investments begins to implement changes that will affect the future of the business, the company must have a full understanding of the problems they face and the opportunities that exist. Intersect Investments needs to clearly asses where they currently stand as a company and define where they want to be. The Gap Analysis “is useful at the beginning of a project when developing a business case, and it's essential when you're identifying the tasks that you need to complete to deliver your project” (Mind Tools LTD, 2011). In this assignment, Tables one, two, and three are provided as tools to identify issues/opportunities, stakeholders, and the end-state goals. Issues and Opportunities One of the issues facing Intersect Investments is employee retention. The company needs a stable work force to help the company better serve the customer. The company is struggling with low employee morale. The company must develop a culture that helps promote positive motivation amongst their employees. The company will need to strengthen their culture with “the idea is that strong cultures create goal alignment, employee motivation, and needed structure and controls to improve organizational performance” (Kreitner & Kinicki, 2003). Sales have been anything but steady for Intersect...

Words: 817 - Pages: 4

Case Analysi

... computed as the value of a perpetuity growing at a constant rate. However, to preserve an element of conservatism, the capital committee generally insisted on relatively low perpetual growth rates – lower than New Heritage’s historical growth and lower than near-term growth forecasts for a given division. The committee examined projects for consistency with New Heritage’s business strategy and sought to balance the needs and priorities of each division against practical financial and organizational constraints. The committee also sought to understand project interdependencies and the potential for a given investment to strengthen the whole company, not solely the division proposing it. Simulation Game Play  As  the  CEO  and  the  head  of  New  Heritage’s  capital  committee,  you  will  decide  which  projects  should  be  funded  for  implementation.    The  board  of  directors  sets  an  annual  limit  on  dollar funding  for  capital  projects.   This  limit  was  generally  a  function  of  the  firm’s  internal  resources,  its  ability  to  raise  additional  capital,  and  organizational  constraints.    Often,  the  total  amount  of  funds  committed  to  internal  investments  in  a  given  year  also  depended  on  most  recent  operating  results  –  higher  profitability  could  lead  to  higher  capital  spending.    (Acquisitions  and  very  large  investments  were  funded  “off‐budget”  for  example,  by  the  issuance  of  additional ......

Words: 2246 - Pages: 9

Gap Analysis: Intersect Investments

...Gap Analysis: Intersect Investments Rosa L. Butler University of Phoenix MBCC0107/MBA 520 Transformational Leadership July 01, 2008 Dr. Alvin H. Steward III Gap Analysis: Intersect Investments Introduction In late 2001, the financial services industry began to experience problems due to external forces which were out of control from company managers who could not control the social and political pressures the market was receiving from their customers and Wall Street. Leaders needed to develop strategies to maintain the company’s competitive edge in the new external scenario the industry was having. The Intersect Investment Company was not exempt from this situation and leaders of the company had to take action on how to recover the lost trust from base customers and have a profitable company in the market. Frank Jeffers, Chief Executive Officer (CEO) of Intersect Investment, developed a new company vision which was not supported by all staff members as the companies’ organizational culture was not focused on the customer needs. The new vision required changing the focus to the customer instead of the sale numbers. This new change caused resistance from some of the employees. A lack of support on the new philosophy from The Executive Vice President of Marketing and Sales resulted in the CEO using his legitimate power to remove the manager from the company. “Legitimate power is an agreement among organizational members that people in certain roles can request...

Words: 1939 - Pages: 8

Investment

...Part of income that is invested monthly or yearly in some well managed plans to gener­ate some additional income is called invest­ment. Money can be invested in number of ways. For proper investment of money one should have detailed knowledge of the schemes. Following are the main means of investment: Bank Bank is an organised institution which deals with money matters. A person can de­posit his savings in the bank and can with-draw when he requires it. Bank pays inter at a fixed rate on the deposits. There are two main functions of a bank: (i) Deposits the money of people (ii) Gives back the demanded money cheque, draft, etc. Advantages of bank account Following are the advantages of a bank account: 1. There is no possibility of theft of t money kept in a bank. 2. Bank pays interest on deposits where the money kept at home fetches no in­terest. 3. A person spends economically in ord to deposit maximum amount in the bar 4. One can avail the facility of bank lock by having a bank account. Valuables jewellery, share certificates, other important documents, etc. can be kept safe in the locker. 5. Transaction of money from different places is possible through bank. 6. Small amount deposited at regular in­tervals becomes a considerable amount after sometime. This money can be invested in business, etc. Depositing money in a bank There are three main types of bank]' accounts for depositing money: 1. Fixed Deposit Account 2. Savings...

Words: 513 - Pages: 3

Investment

...Investment Memorandum FIN 3300 Step 1: Asset Allocation From the forecast provided by the Congressional Budget Office (CBO) and the Federal Reserve the economy is growing. According to the Federal Reserve, policy makers have raised the new forecast to 3.4 up to 3.9 percent growth in output and services. Real GDP is projected to increase by 3.1% this year and by 2.8% next year due to the continued strong growth in business, investment, and a modest increase in consumer spending. This also will reflect the impact of the Tax Relief, Unemployment Insurance, Reauthorization, and Job Creation Act of 2010. These four components not only will provide a short-term boost to the economy by reducing some taxes but also extend unemployment benefits. Inflation will remain very low in 2011 and 2012 and will average no more than 2.0% a year between 2013 and 2016. With job creation, the unemployment rate will gradually fall to 9.2% in the fourth quarter of 2011. Due to the current growth of the economy, low inflation rates, and a growing GDP, the majority of our investments will be allocated in stocks or higher risk securities that could potentially provide a higher yield. Therefore we are taking a Bullish strategy because we expect the underlying stock price to move upwards. We want higher expected returns, so we are willing to pay the price in terms of accepting higher investment risk. With the economic forecast reflecting a brighter growth prospectus this year, our...

Words: 1458 - Pages: 6