Serependity Associates (SA) is an management-consultancy company or management metaphor boutique, who usually only needed to care about talent retention, client confidentiality, keep smiling, snappy sound bites and synapse seizing slogans and didnt need to think about pressure on their margins.
The Serependity Associates is lead basically by three people, the CEO Yasmin Buanarroti, who is leading the company in a hard way. Barton Brady who is responsible for sales for a long time and has gone through some business cycles in this work field has changed and there is Chas Rosenkreuts who is a specialist in competitive intelligence.
2. Analysis of the problem:
There are a few problems in this business case:
One long standing customer has said no to their proposal and another long standing customer has put an assingment on hold, this is a short term problem. The real problem behind it if a competitor is underbidding SA, while he is using to outsource work to other countires with cheaper labour costs. However SA business is in the creative business and not in products which can be built everywhere in the world.
An negative article about SA was posted on blog website, which covers their industry and especially how SA is operating, the feedback on the blogsite is harmfull especially for SA as their logo is used. SA CEO and Brady feel that they need to react, but understand that they have to do that in a carefull manor.
Barton Brady has a feeling there is a new shift in the how the industry is working,a s he himself has gone through three changes already, which he was also involved in.
3. Plan to solve the case study:
First of all I would call the two long standing customers to find out why they have not accepted an offer and why they have put the project on hold. As it are long standing customers you will havegood relations with them and you will get a good answer from them
Secondly I will try to find out more about outsourcing the work they are doing as they always believed that it was not the way to go. Outsourcing of products and low level works is easy as SA is in a creative business for them to outsource would be quote difficult as there is always a cultural difference between home country and off shored countries so i deas from offshored countries may be perceived differently in the US.
Thirdly I believe they should not react on the blog as this is pure speculation about SA, and there logo is used and they should follow the discussions on the blog to see what people are thinking about the industry and how SA is being percwived. SA should also check if the blogger has any connection to their competitors as it could be a trick from them to force SA in a stupid position.
Regarding the shift of how the industry is working is to see what competitors are doing and to feed of it to ensure SA, will be in the front runners position and keep innovatin as they have always done.
4. My final managerial decision:
I would with the existing long standing customers the reason why the project have been rejected or put on-hold. I will do some research on off shoring if it will give any advantags to customers and to how it may be incorporated. I will increase contact with customers to see what they are looking and to hear from the customers what competitors are doing and use Ches to get more information about the current situation with thier competitors. I would do research on where the market is going and if there are changes and make a plan to adapt to them.