Michael Fernandes at Nicholas Piramal Harvard Case Solution & Analysis


The paper attempts to describe the key facts of the case along with their evidence and symptoms to identify the problem identification. The paper also provides a problem analysis in which organizational behavior theories and models have been applied to understand the problems, causes, and their impact on the organization. Furthermore, the paper elaborates the alternatives of the options to be selected as the solution for the organization and also describes its pros and cons. lastly, the paper provides a comprehensive recommendation and future strategies for the organization.

Problem Identification

Key Facts

  • Internal management conflict
  • Cultural differences
  • Misconceptions between 3 top executives
  • Weak Integration between parent company and subsidiaries
  • Weak interpersonal relationship between the three top executives
  • Global business development and local control issues
  • Lack of interaction between teams and groups
  • Weak international business management
  • Lack of understanding of roles and responsibilities
  • Lack of sharing of knowledge
  • Employee recognition is low
  • The chain of command issue
  • Power distance issue
  • A responsible reporting is not undertaken by top executives
  • Managers fail to adjust in the different management styles
  • Misleading statements and assumptions about managers
  • Lack of collaborative approach and false assumptions
  • Weak interpersonal relationship and communication gap
  • Difference in a management philosophy in running an international business
  • Lack of interaction between teams and groups
  • Increased overseas management conflicts
  • Reporting errors despite of clear reporting guidelines
  • Each subsidiary keeps some amount of information to itself
  • It is assumed as if subsidiaries and parent company are independent companies
  • Progress is not reported to the right personnel deliberately
  • A manager frustrated for his lack of influence and advices to hold a separate entity

Evidence and symptoms

Statement Underlying OB Problems

Since the acquisition of Avecia and Torcan by Nicholas Piramal, the company has failed to organize the three firms globally, which has caused an increase in conflict between the firms’ business development functions. Therefore, Nicholas Piramal is worried that particular conflict between firms can cause the companies to falter.

Identifying problems using OB Terminology

A cultural gap between the three firms have been emerged which has given rise to the lack of interpersonal communication and the understanding of the management philosophies by each company. The issues could be addressed by successfully integrating the business management approaches in each organization and addressing the culture of each country. Overall, a good healthier organization which encourages knowledge sharing, and expertise sharing, which could result in achieving success.

One Main Issue that must be Addressed Immediately

A single main issue that must be addressed immediately is to develop an element of trust amongst the three top executives and to revise the true goals of the organization which relates to any negative conflict may affect the reputation of the company.

Problem Analysis

Models that Highlights Problems, Causes, and Impact

Herzberg’s two factor theory provides a comprehensive approach towards identifying the problems, cause, and its impact on the organization.

Herzberg’s Two Factor Theory

In understanding the job satisfaction and dissatisfaction amongst employees and the factors that caused the job satisfaction and dissatisfaction, Herzberg’s two factor theory is applied which identifies the particular element through the use of the characteristics of the leading factors. The two factors are the hygiene factors and the motivator factors. Herzberg provided the two factor theory in the year 1959 in the book called the motivation to work. The hygiene factors determines the dissatisfaction or the satisfaction amongst employees of the organization. However, the motivation factors determine the motivational level amongst employees and measuring their high performance (DuBrin, 2009). These have been identified below:

Hygiene Factors

The hygiene factors are based on the extrinsic rewards and identifies the job satisfaction and dissatisfaction amongst the employees. These are highlighted below in the light of the case:

Company Policy

Since the acquisition of Avecia and Torcan, Nicholas Piramal decided that the two companies would work under the policies of Nicholas Piramal and these companies would be dependent on the parent company. The two companies were not identified as an independent organization. The two organizations were allowed to perform a separate tasks. Avecia was responsible for the PMS activities which is considered for the larger firms, whereas, Torcan was responsible for carrying out the PDS activities which is considered for the smaller firms. The heads of the two companies were not satisfied with the particular company policy as they wanted to remain as a separate entity and then report to the parent company. However, it was made compulsory that all the activities shall be first confirmed by the Nicholas Piramal and then it was proceeded. The potential problem and the causes have been underlined for the particular company policy (Schermerhorn, Hunt, & Osborn, 2011).......................

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Michael Fernandez, director of special operations in the pharmaceutical company Nicholas Piramal India Limited (NPIL), schedule a meeting with three of his reports, whose personal conflicts with each other, cause its business development function to fail. He is struggling to learn how to deal with these conflicts and combine three in productive cooperation work. Fernandez is responsible for turning NPIL acquisitions in Canada and the United Kingdom market NPIL worldwide. His three direct reports, each involved in different aspects of NPIL - Canadian operations, the British operations and global business development, and it explores the dynamics between the two teams. If Fernandes can resolve conflicts, the integration of acquisitions is in danger. "Hide
by Michelle Anteby, Nitin Nohria Source: Harvard Business School 16 pages. Publication Date: September 6, 2007. Prod. #: 408001-PDF-ENG

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