RONDELL DATA CORPORATION : A CASE STUDY

The Rondell Data Corporation, a company is trying to build a Model 802 wide-band modulator , and it is
facing problems in producing it because of the department heads are not cooperating with each other and
as a result of it a blame game is being played where no one is ready to take the responsibility for
completion.
BACKGROUND
Bob Rondell started a firm in 1939 named 'Rondell Equipment Company' that manufactured electrical
testing devices which diversified itself into radio broadcasting in 1947 and into data transmission in1960s.
The firm had a reputation for high quality and innovative designs, took pride in its family spirit and there
was absence of bureaucratic red tape. The firm had low turnovers. For several years, now it has been
facing a problem of disputes among departments due to new product introduction.
SYNOPSIS

Problem arose in the introduction of Model 802.

Production department depended on the designs given by ESD but as Doc Reeves never met the
deadlines for new designs, production department could not complete the task which annoyed
Ron Porter and they had pressure from the sales department it further contributed to their
problems thus causing resentment among the departments..
 Frank Forbus being an outsider did not get approval from his own people, also R&D being under
him Doc Reeves reported to Bill and was resented by other departments. He did not get along
with Schwab. Even for small issues the production department kept asking engineers' from the
ESD.
 Sales department was not able to meet customer demands and their best customer tried to hang a
penalty clause on them and thus they pressurised production department.
 Production department had problem with the ESD as all the designs they send could not be
produced by them. Schwab was angry with ESD for not finding discrepancies in the drawings.
 Even though the executive committee did meet , Bill Hunt used that as a place to pass routine
information.
 Frank Forbus was fired.
ORGANISATIONAL STRUCTURE

ANALYSIS
 Disputes arose maybe because of the organisation structure and culture.
 There was no chain of command followed in ESD as Doc Reeves reported directly to Bill Hunt.
 There was no concept of Scalar chain as department heads directly approached each other.
 Everything was highly informal and thus it lead to work not being completed on time and
everyone indulging in blame game.
 Role of Frank Forbus was not clearly defined.
 Doc Reeves never bothered about deadlines.
 Bill Hunt was unapproachable.

WHAT CAN BE DONE

 There should be a concept of gang plank.
 Unity of command should be there and chain of command should be followed.
 Frequent meetings before the projects so as to align department goals with the organisations.
 There should be a formal communication among the departments so that deadlines are met.