Question: help please : A European-based engineering design firm excels at making prototypes of electronic tools used in various industries across its wide base of global
help please :
A European-based engineering design firm excels at making prototypes of electronic tools used in various industries across its wide base of global customers. The firm has established offices and production plants in a low-cost manufacturing base in Asia where the prototypes are then sent for mass production. Thus the firm ensures a seamless bridge to mass-production volume for its customers, reducing risk and providing high quality and reliability of supply
Although many of the project managers and engineers have made several trips to their Asian base to meet their Asian counterparts, difficulties of communication have risen, causing project delays and lack of timely access to supplies, information, and looming problems. There is a critical need for better collaboration between the teams.
The company needs to adopt a proactive approach to managing and averting problems that arise with production. One of the project managers commented: There is the issue of lack of ownership and commitment within the overseas team which we need to address.
Analysis of problems
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Lack of understanding of cultural differences between the European and the Asian teams, causing misunderstandings in communication
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Conflict of local priorities with the international project work
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Lack of f2f contact between both teams which would alert them to possible problems before they arise
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Lack of motivation of the Asian team members to contribute efficiently to the international project due to conflict with local priorities
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Problem of matrix organization (individuals who have more than one reporting line) and reporting lines: whos the boss?
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Lack of impact of project contributions on performance evaluation and career development - not only the solid line boss but the dotted line boss should have a say in the appraisal of an employee
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Barriers of distance, language, time, and culture confusion and conflicts
Question 1: Advise on an alternative entry mode for the European company, and assess whether the entry mode you have proposed is better than the one presented in the above case study.
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