Based on functional departments in the CAPSIM simulation (R&D, Marketing, Produc

Question

Based on functional departments in the CAPSIM simulation (R&D, Marketing, Production, and Finance). Instructions – Identify and discuss the primary functions and key performance measures in each functional department. Using the “systems theory” discuss the interrelationships between the departments and how decisions in one functional area affect the other functions. Identify differences in the organizational culture between the functional areas and how the cultures shape the decision making process. Expert Answer

Explanation / Answer

R&D function: R&D department takes a feedback of customers requirement (specification) in market from marketing department. On basis of this feedback, they change the existing product or develop new product. R&D involved in any project for new product developement. When the product launch in market, they get feedback from market. It may be posistive or negative. And work accordingly based on customer feedback for change in product. Key performance measure: Success of product in market and good customer review about the product design. Marketing: It always works for new product survey or existing product sale. For new product, they take a feedback from customer for their requirement and check for possibility of sale for any perticular area. But for existing production, marketing team always target for maximize the product sale and make new customer. Key performance measure: Achieve the sale target and make new customer for future reference. Production: Production always works from raw material to finish good product. It may be assembly line or may be continious production. They always works according to production plan. Prodution schedule always work according to customer demand. Key performance measure: Achieve ideal or standard production target with best quality. Finance: Finance always works for organizaion finance strategy. They prepare the balance sheet and P&L account to aware the management about company financial position. Key performance: take right financial decision for welfare of company. Interrelation between each department: Product is start from its product design by Original design manufacturer. So marketing team provide the details of product specification to R&D team. According to these details, They design new product. R&D team is depends on marketing decision. On the basis of process design, product goes to assebly line for mass production. Production team is responssible for mass production. They asseble the product according to process design given by R&D. So production is depend on R&D result. If overall finish good product having good quality and customer likes the product so marketing can achieve target easily and prepare for some extra ordinary sale.Finance will be depend on product sale. Huge quantity product sale will be good profit for company. So Finance will be depend on sales or marketing team. R&D- Innovative management & shape corporative practice Marketing- strategic management culture, Marketing control Production- Strong feeling about organization, flexible Finance- Competitive,Greedy suppose two companies which is competitor one is japanese and other one is Chinese. Both companies have very different culture and different thinking. They also used different strategies for each department. It shows culturer differences in decision making.

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