Managing Strategic Growth at Sjoland & Thysellus AB Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Introduction

S&T started as small European firm operating in Sweden and dealing in IT solutions. The company is operating as an IT solution provider primarily to the Defense industry. Margus Sipland and Rune Thy selius initiated the basis of the company, which initially started by serving the defense department of Sweden but with the passage of time started serving the private customers and catering their needs as well. S&T initially started with the aim to offer computer courses, but with Magnus having connections with FOA, the two entrepreneurs decided to leverage those connections.

Although Sweden is not regarded as strong participant of war and has a population of around 9 million but the country’s defense department is quite strong and has a strong military base. This strong base and connections allowed the two entrepreneurs to turn the defense department as a customer and initiate the basis guiding it to prosperity. The company has the advantage of being the early adopters of internet as the company has being the first to utilizer internet as a source of revenue generation. Apart from that, the company has been efficient in supplying internet base solutions and offer training courses in JAVA.

In the year 1993, the company decided to think out of box and allowed non-family \members to join the company as well. Two years later, the company decided to expand by opening subsidiaries in different cities. During the dot-com bubble burst, the company surpassed many as the company was among the few to have shown profitability despite the crisis. During all these years, the company has only focused on expanding and diversifying by holding different companies in different industries and establishing subsidiaries globally.

The company currently has around 12 holding companies that operate in different industries, which indicates that the company is operating in quiet a vast and almost every field. However, the company’s culture or the organizational culture is depicting the personality of one of the main founders of the company Thy selius. He has been quite supportive as well as demanding which is clearly exhibited in the organizational culture of S&T as well.

They should deliver results and allowing managers to be their own boss and handle the business themselves; however they were also not allowed to allow loss. Freedom was available and HR policies have been quite effective but there is always a non-profitable sight as well. The company has multiple subsidiaries and all of them or not aligned on a same objective as there is no set strategy. This is the reason why some of the subsidiaries are not proving to be profitable and is causing issues in the major decision for the future.

The company can enhance integration among these subsidiaries or they can even sell these subsidiaries and get rid of the non-profitable units. However, strong integration is essential for the company to grow ahead. The document will entail the importance of coordination and will also suggest options that can be utilized. It will also present the recommendations to the company that can be used to enhance coordination.

Increasing Coordination

Coordination in broader terms is defined as the managerial ability of an organization and its management team to maintain operations and ensure that the operations are properly integrated and aligned in terms of objectives with one another.

Managing Strategic Growth at Sjoland & Thysellus AB Case Solution

This definition or brief explanation about coordination exhibits or entails that increasing coordination is to some extent related to improving or enhancing managerial skills. Therefore, the role of the management team is vital in this scenario and a special attention is required form the management side to deal with the issues related to coordination and governance. The management team will have to play a vital role in enhancing and improving on the overall aspect of coordination to ensure profitability as a likely scenario for the entire organization.

Thus, it can be made critically important that in order to increase coordination, the alignment of the management team with all the moving parts of the firm or the organization is vital. Internally coordination can be increased by aligning all the parts or subsidiaries of the organization on the same objective and the key for accomplishment is to be on the same page. Multiple methods and techniques are available or are present that can be utilized effectively within departments as well as in different work groups that can help or guide in improving upon the factor of coordination............................

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