Gap Analysis: Intersect Investments

Gap Analysis: Intersect Investments

The financial industry is often unpredictable. Intersect Investments has managed to survive through the instability of the industry despite experiencing a decline in sales and customer satisfaction. CEO Frank Jeffers realized the need to make a drastic change which involves transforming the company in an effort to recover from the recent losses. The new vision will expand products and services while increasing customer loyalty. The new culture will be based on a model of customer intimacy. In their efforts to change, Intersect Investments has come across obstacles within its infrastructure that could negatively impact the company goals if not resolved immediately. Jeffers has brought in Janet Angelo as the EVP of Sales and Marketing to bring all departments together in order for Intersect Investments to improve its brand image and establish long-term relationships with its customers. Once resolved, Intersect Investments will be on the way achieving stability in an industry considered to be chaotic.

Problem Statement

Intersect will become an industry leader using the customer intimacy model by assuring that employees embrace the new model within 12 months.

Situation Analysis

Issue and Opportunity Identification

Intersect Investment is facing a new set of challenges for a company in the financial services sector for numerous reasons. The financial world has been forced to operate under a more impulsive, uncertain and chaotic state. Due to these circumstances, financial service providers have been forced to change their business approach in numerous ways. These changes include changes in the products they offer as well as changing the way they conduct business with their customers. Intersect Investment's management has identified the need to change its customer service model to one of customer intimacy that will build long-term relationships based on trust and value to the customer. Intersect Investment has an opportunity to undergo a change for the benefit of the company. Because change involves learning, this stage entails providing employees with new information, new behavioral models, or new ways of looking at things (Kreitner & Kinicki, 2004). Unfortunately, everyone in the organization has not fully embraced the new business model, leaving areas of resistance within the company.

The benchmarking data that has been provided to managers and employees showing the advantages of the new vision has not been accepted by staff due to the data was from the IT industry and not the financial services industry. Intersect has the opportunity to unfreeze the managers and employees current attitudes and behaviors by providing new benchmarking data that is relevant to the financial services industry.

High employee dissatisfaction and low employee moral, has resulted in a high turnover rate in the sales department. The Intersect management team needs to motivate employees to hit the new sales goals, educate employees about the new products services, and get "buy in" and support from the employees regarding the new vision of the company and the new customer services techniques. There are situations and settings that make it exceptionally difficult for a motivational system to work (Kreitner & Kinicki, 2004, p. 314). Intersect can implement a program of open communication that will allow the employees to understand the new policies and procedures that are being implemented. Interactional justice relates to the quality of the interpersonal treatment people receive when procedures are implemented (Kreitner & Kinicki, 2003, p. 294). This form of justice focuses on whether or not people feel they are treated fairly when decisions are implemented (Kreitner & Kinicki, 2004, p. 295).

This is an opportunity for senior management to present the strategic plan for the company and show the pros and cons with changing the sales model to the Customer Intimacy Model. Management has an opportunity to present the action plan designed to manage the change and identify key personnel who are embracing the change. Opportunities will be in place to meet the resistance head on and solicit feedback from the sales manager and her team. Furthermore, senior leadership can show the sales team the benefits of leaving the current model and demonstrate how they can tie their sales goals to the customer intimacy model.

Stakeholder Perspectives/Ethical Dilemmas

Intersect Investments has several stakeholders whom each hold different perspectives and these stakeholders will ultimately be affected by the organizational change. Although some of the views of each stakeholder might conflict with one another's, each of the stakeholders' views should be considered when making an organizational change. The stakeholder groups are the employees, management, CEO, EVP of Marketing and Sales, VP of Sales, and the customers of Intersect Investment.

The employees of Intersect have a stake in successful corporation to provide each employee with a means to earn a wage, support his or her family and provide employment security. The employees have the right to lawful employment; receive a reasonable compensation and an opportunity for promotion within the organization. The individual values of each employee may vary from the desire to achieve personal gain, professional gain, loyalty to the organization or any other value of a personal nature. The employees are vital to a successful corporation. The employees have the right to be lawfully treated, receive a reasonable compensation and an opportunity for promotion within the organization. The individual values of each employee may vary from the desire to achieve personal gain, professional gain, loyalty to the organization or any other values of a personal nature.

Frank Jeffers, CEO of Intersect Investment wants the company to transition to a customer intimacy model. He realizes that the shift requires revolutionary organizational change, particularly in the sales department, but he still wants the vision implemented and the company to be leading the industry within the next 12 months. He does not want to waist time trying to align the departments and managers. If he knows someone is not on board his thought is to replace the employees who are not on board.

Janet Angelo was hired because the previous EVP of Marketing and sales did not meet Frank's objectives to the implementation of the customer intimacy model in a timely manner. Janet recognizes that moving from a traditional selling to a customer intimacy model requires major organizational restructuring, and has had the luxury at other companies