Organization and management - Vestas

Résumé du document

Interpretation: Are there any indications that Vestas suffer from through their success. Good hints will be provided to Mr. Engel on how to reach the mission or a new mission will be recommended. Scope: We are focusing on the wind turbine market and industry whenever this is mentioned in the assignment. Also we are mainly focusing on innovation within the organisation.

Models/theory: In the assignment there are used the success syndrome model, where Schiens model is mentioned. Besides that the organizational consequence model is used. Within this model the innovation barriers and SECI model is mentioned. In the conclusion the IEM model is used.

Extraits

[...] Still VWS is loosing market share to competitors[7]. The success syndrome has occurred in VWS while feeling on top of the industry, competitors are working harder and harder and other externalities are change into threats. VWS will according to new VESTAS”, focus on customer loyalty and decreasing costs[8]. This will be difficult when the company culture is still focusing on being on-top of the industry and keeping their market leader position. So do VWS suffer from the success syndrome? YES! [...]

[...] It was fine as long as the markets were stable because they were still able to succeed, but now when the markets have changed VWS is not able to keep up as before. Failures that occurred when the markets shift and the organization are not combatable. VWS only wins and complete every fifth big project they bit on.[2] Competitors are getting more and more attractive to the customers. VWS has been very optimistic about how much they can produce. They build/bought new production facilities without considering the demand. [...]

[...] The O&M team recommends a new key statement in the mission. [...]

[...] This is used by using explicit knowledge and using it in practice. Learning by doing is an important element in VWS so that the employees learn to identify the knowledge themselves within the organizational knowledge. This makes VWS relocate and reconfiguration the resources and processes of learning. They should also look at decentralizing product development because this can help create cross functional teams. Currently they use heavyweight team managers, where there is a dominance of strong hierarchical leader and power. [...]

[...] “Failure not an option” Knowledge creation: Generating knowledge and ideas is a very complex and flamboyant task. Only one of hundred ideas is about to be launched successfully on the marketplace. In consequence a company has to generate a high amount of ideas to ensure that at least one is successful. By saying “failure is not an option”, stated in VWS's Mission, every new and upcoming idea is choked off. Following this idea of 100 ideas have to be a success, nothing else matters. [...]