Preview

Black & Decker – Eastern Hemisphere and the Adp Initiative

Good Essays
Open Document
Open Document
862 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Black & Decker – Eastern Hemisphere and the Adp Initiative
In the late April 1996, Bill Lancaster, president of Black & Decker – Eastern Hemisphere, faced a difficult decision. He must choose one of two performance appraisal and management development systems for Eastern Hemisphere. One was introduced by Anita Lim, manager of Human Resources or ADP, US – who designed the Appraisal Development Plan (ADP) which provided each employee with feedback from subordinates, peers and supervisions. ADP had the positive impact on Black & Decker in the US, but some of the managers were concerned that 360° feedback might not work in Asia because of cultural differences; therefore, Lim modified ADP which contained many features that Lancaster believed and wanted to see, except for the 〖360〗^0 feedback element that had been critical in ADP. In 1910, Duncan Black and Alonzo Decker established Black & Decker which manufactured industrial machinery. By 1996, Black & Decker was in 109 countries and was the world’s largest producer of power tools, electric lawn and garden tools, and related accessories. Although Black & Decker was very successful in North America and Europe, it still met difficulty in Asia and Latin America. In 1993, the company had a major reorganization, where the International group was divided into Latin America which headquarters was in Miami and Eastern Hemisphere which headquarters was in Singapore. In the Eastern Hemisphere, power tools were the largest single business which occupied 70% sales and represented the “spiritual heart” of company. Before being appointed President of Black and Decker Eastern Hemisphere in October 1995, Bill Lancaster used to hold senior administrative positions in Australia and Vice President Marketing and Sales, Professional Products for North American Power Tools group. By the time he arrived in Singapore, the company has already set up the Singapore headquarters and built new factories in Singapore, India and China. He spent a lot of time talking to rank-and-file employees

You May Also Find These Documents Helpful

  • Better Essays

    The goal of each appraisal feedback session should look to improve and provide the employee with valuable information needed to advance and excel within the organization (Cascio W. , 2010, p. 341). Appraisals are also in compliance with the Labor Relation Laws of India and the documentation required to terminate an employee if need be. The use of comparisons or ranking systems may be a negative reinforcement system in terms of feedback per the India cultural and socio-economic systems in place (Bhal, 2002). This will also add to the divide of the cultural systems currently in…

    • 1191 Words
    • 5 Pages
    Better Essays
  • Best Essays

    BWW is a growing company in the United States with increasing total revenue that represents more than $246 million. Its great performance makes the company want to expand its concept abroad. It has already made its first export move…

    • 4196 Words
    • 17 Pages
    Best Essays
  • Good Essays

    Many organizations today are revamping their performance management systems to help increase employee satisfaction, increase productivity and profitability, while also teaching and developing their employees. If you ask any manager performance appraisals are probably not on the list of favorite tasks to perform in their job descriptions. Managers think they are boring, time consuming and not all that beneficial. Scripps Health is a non-profit organization that has been in business since 1924 and somewhere down the line starting losing money, had a high turnover rate and unhappy employees that lacked determination. This paper will review Scripps Health’s renovation of their performance management system and the sizable initiatives they…

    • 950 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Black & Decker Corporation is one of the largest manufacturers of power tools and accessories, residential security hardware, outdoor tools and numerous other products. The two largest product groups of B&D are power tools & accessories and household products representing 29% and 15% respectively, in terms of sales. During the 90s the portable power tool market accounted for 1.5 Billion and is segmented in 3 major groups, Professional-Industrial Tools, Professional-Tradesmen Tools and Consumer tools.…

    • 1476 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Herman Miller

    • 1492 Words
    • 6 Pages

    Over the years, Herman Miller has adapted and changed to meet workplace demands. In the early years, Herman Miller successful implemented a plan to enrich their employee’s workplace experiences. The company recognized and embraced diversity, built a strong corporate culture, and developed a strong reputation of corporate social responsibility. These core ideals implemented by the DePree brothers made employees want to work for Herman Miller and allowed the company to grow to power. As the company continued to grow, other subsidiaries were acquired and developed. The most successful of these subsidiaries was Van Spronsen’s Simple, Quick, Affordable (SQA) subsidiary. Originally designed to take advantage of the furniture refurbishing segment, the Herman Miller subsidiary continued to evolve. With the leadership of Van Spronsen, innovative process ideas, an emphasis on impeccable and rapid customer service, and cutting edge sales technology, SGA evolved into a powerful unit. Now however, with the success of…

    • 1492 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Performance appraisals play a large part in the process of performance management. The purpose, stated by Cascio (2013), “is to improve employees’ work performance by helping them realize and use their full potential in carrying out their firms’ mission, and to provide information to employees for use in making work-related decisions”. Employee appraisals will identify low or high performing employees. Based on this, more training may need to be provided to some employees, or for decisions on promotion, demotion, transfer, or discipline. Bollman needs to be cognizant of the potential rightsizing decisions of the current workforce for both their domestic and international employees. Keeping the turnover rate of 5% or less should be in the forefront. Appraisal feedback is essential for personal development, or for identifying training needs to meet the job…

    • 1019 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Black & Decker 2008

    • 873 Words
    • 4 Pages

    Duncan Black and Alonzo Decker, SR., in 1910, started a machine shop business and in 1917 receiving the world’s first patent for a power drill. The company was later named Black & Decker, (B&D) and over the next 73 years they became one of the most well known brands and market leaders of power tools, accessories, lawn, garden supplies and residential security hardware worldwide. In 1990 B&D grew to a record $4.8 billion dollars in sales with 50% of their business coming from outside the United States. “The B&D name enjoyed substantial equity in both the United States and Europe. An independent survey of 6,000 brands showed (B&D) brand-strength ranking to be #7 in the United States and #19 in Europe” (Dolan 1995). B&D was focused on three very different market segments in the industry; Professional-Industrial Tools, Professional-Tradesman Tools and Consumer Products. The focus of this report will be on the Professional-Tradesmen market segment under the Power Tools Division. “Tradesmen” segment are electricians, plumbers, carpenters, framers, roofers and general remodelers working in residential construction. We will first determine the cause of B&D 9% share vs. Makita’s 50% share. Second, we will describe the buying behavior of the tradesman and their impact on the situation. Next, we will look at Makita’s and Milwaukee’s competitive strategies. Finally, we will discuss the action alternative that B&D should pursue.…

    • 873 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    In the 1990’s Black and Decker had a great position in the market for their products to appeal to the Professional Industrial segment and the Consumer segment but when it came to the Professional Tradesmen segment they were lacking. Their 9% market share vs. Makita’s 50% market share in the tradesmen segment was incomparable. Makita clearly had a better product in the eyes of the Professional Tradesmen. In the Professional Segment most of the people who buy the products are people who need these tools to make a living such as carpenters, electricians, plumbers, roofers, and general remodelers. Black and Decker were branded for tools to use at home. Therefore, tradesmen looked at the Black and Decker brand as tools for home use, and not for work. Since they were branded for home use it seemed as if they weren’t made for everyday use, and would not hold up for the wear and tear a carpenter or electrician would need them to. B&D clearly had a problem with brand association with its consumers. In exhibit 2 it shows that Black and Decker failed in capitalizing in the Membership Club distribution channel which was in the top five profitable distribution channels. Makita did distribute its tools to membership clubs and it turned out to be very successful channel for them having 85%. Black and Decker had such a lack of profitability in the tradesmen segment due to having the wrong brand perception and inadequate distribution channel, where Makita excelled in both.…

    • 1513 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Black And Decker

    • 1219 Words
    • 5 Pages

    While B&D celebrated a nearly 30% stake in the in the power tools market across America, They had fallen behind market leader Makita’S 50% share in the Professional-Tradesmen market segment to just 9%. To get back into competition with Makita, B&D would have to answer several questions about their brand and identity, specifically:…

    • 1219 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    GE and Jack Welch

    • 2364 Words
    • 7 Pages

    Jack Welch introduced transformational leadership at General Electric (GE) with the aim of stretching the organization towards achieving global objectives. Welch took the helm of the organization in 1981, at a time when the US economy was overwhelmed by recession. In addition, his predecessor, Jones, had introduced a highly bureaucratic system of management that created divisions, departments, sectors, subsectors and units that were all headed by managerial staff. Welch was determined to facilitate the company to sail through the recession period focusing on the future of GE with a vision of unique, high-spirited entrepreneurial business organization. Through a series of changes in staff management such as downsizing administrative units, de-staffing of particular lines of operation and de-layering, Welch reduced the size of staff and operational costs.…

    • 2364 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    B&D Case Analysis

    • 1137 Words
    • 5 Pages

    The Black & Decker Corporation has three major segments which are Professional-Industrial tools, Professional-Tradesmen tools and Consumer tools. It is making good profit in Professional-Industrial and Consumer segments but has only 9% share in Professional-Tradesmen, compared to 50% share of Makita (Table A).…

    • 1137 Words
    • 5 Pages
    Good Essays
  • Best Essays

    MSc Clinical Leadership

    • 5046 Words
    • 16 Pages

    Garavan, T.N., Morley, M. and Flynn, M. (1997) ‘360 degree feedback: its role in employee development’, Journal of Management Development 16(2): 134-147.…

    • 5046 Words
    • 16 Pages
    Best Essays
  • Satisfactory Essays

    * B&D was the world's largest producer of power tools, power tool accessories, electric lawn and garden tools, and residential security hardware. * Power tools market was categorized in three segments i.e. * Professional-Industrial Tools – commercial contractors working on large projects where corporation generally buy tools for their employees * Professional-Tradesmen Tools – individual contractors such as carpenters, electricians, plumbers, roofers, framers, etc. bought from Home Depot, Ace Hardware … etc. * Consumer Tools (35% market share) – consumers purchased tools for “at home” use from mass merchants e.g. Wal-mart, Kmart and hardware stores * Nolan became CEO in 1986 with 1st profitable year (~$50 million) after 5 consecutive years of losses, growth continued year after year reaching to an operating of income of ~$500 million in 1990 * 1981 – 1985 company lost money with a $158.4 million loss in 1985 * B&D $4.8 billion sales in 1990 (50% revenues from US and 50% from outside world) * Substantial brand equity i.e. #7 in US and…

    • 931 Words
    • 4 Pages
    Satisfactory Essays
  • Good Essays

    In addition, the 360 degree feedback approach involves the cooperation of all parties in order for it to be implemented effectively. As mentioned, attributes like the working etiquette of team members, the methods in which data is collected, and the aim of the feedback system have to be considered wisely. A credible and skilful facilitator has to be around to lead the team. Not only that, respect and trust are also needed among team members and they have to be goal-driven. The feedback approach should be for developmental purpose of the organisation. It has to provide meaningful feedback to the employees so that they can be motivated and take on further to produce a high performance work team. Most importantly, the way in which the data is collected for the appraisal should be closely monitored. The reliability and validity of the ratings of employees’ performances are often doubted due to the inaccuracy of the rating system. This has a crucial role to play in the appraisal as unreliable information will lead to adverse effects to the organisation. It was common to use only one supervisor and one to two peer raters for organisation’s appraisals in which this was deemed as ineffective. The study…

    • 626 Words
    • 3 Pages
    Good Essays
  • Good Essays

    In 1995 when Bill Lancaster was appointed the President of Black and Decker Eastern Hemisphere his initial impression about the organization was depressing. There were some major concerns one of them is the management style that was followed. The current managers were using the Management by Objective (MBO) type plan which is believed to be outdated system that had been replaced in the US some time ago. There were some bad managers and some bad management styles. It was obvious to have lack of growth and development. These concerns led him to see a dark future. These problems require immediate attention and correction to save the organization from its negative impact.…

    • 587 Words
    • 3 Pages
    Good Essays