Interclean Problem Solution

Running head: PROBLEM SOLUTION: InterClean Inc.

Problem Solution: InterClean Inc.

University of Phoenix

June 28, 2006

Problem Solution: InterClean Inc.

In today's world increasing competition, changing customer needs, the global economy and pressure from stakeholders have created many challenges for InterClean, Inc. (InterClean). Using a defined problem-solving technique such as the one used at the University of Phoenix will help InterClean understand the situations that lead to the problem; analysis of the challenges and opportunities which leads to a much better understanding of the problem through logical analysis of alternative solutions and finally to a decision. Furthermore, evaluation of the end results against stated goals will help InterClean management realize the effectiveness of the solutions. Understanding the situation is critical in moving toward making a decision.

Situation Background (Step 1)

InterClean is an established institutional and industrial cleaning and sanitation company in an industry where stakeholders are demanding more. Here are some key facts:

1. Customers are looking for total solutions including products and services that will reduce their costs and concerns with cleaning and sanitation. Furthermore customers are demanding product training, monitoring, information sharing and full-service cleaning. The roll-out of which is on an aggressive timeline.

2. The current sales force does not have the "Solution Selling" skills required to sell the new products and services.

3. InterClean has acquired EnviroTech, Inc. (EnviroTech) who has the products, services and selling skills InterClean desires.

4. InterClean's CEO inherited the business. He is driven, competitive and a risk-taker.

5. InterClean is interested in expanding into Global markets.

Challenges and Opportunities

InterClean's challenges and opportunities are multi-faceted. Table 1 describes the external and internal challenges and opportunities the company is facing.

Table 1

Challenges and Opportunities

Challenges

Opportunities

Reference to Specific

Course Concept

Customers are demanding products and services that are different from what InterClean has provided in the past. InterClean needs to identify early trends and quickly plan to meet the challenges of changes in the industry. Dreher & Dougherty (2001, ref. Ch. 5, pg 102-104)

InterClean sales reps do not have the Solution Selling skills, in-depth knowledge of the industry requirements and legal standards required. InterClean needs to take advantage of the HRM approaches of:

* Organizational Capability acquired from EnviroTech;

* Organizing for Success by restructuring the organization to better suit the Solution Selling business model

* Effective People Management in order to meet their future goals.

Dreher & Dougherty (2001, ref. Ch. 1, pg 4-5)

The current organizational structure of InterClean and EnviroTech does not support the new products and service lines. InterClean needs to properly plan to effectively manage the people assets of the company by hiring employees with the correct skills and attitude, rewarding employees with proper incentives, training and skill development, cross-training, giving ownership and breaking down class barriers. Dreher & Dougherty (2001, ref. Ch. 1, pg 6-8)

The culture's of InterClean and EnviroTech will cause many clashes and make integration difficult. In order to sustain competitive advantage, InterClean needs to understand the value of HR, treat employees as the rare resources they are, develop a HR system that is unique and useful only to InterClean and develop non-substitutable resources. Dreher & Dougherty (2001, ref. Ch. 8, pg 168-170)

"Proper attention to people flow ensures the availability of the talent the organization needs to accomplish its strategy." (Ulrich & Brockbank, 2005).

InterClean does not have the organizational structure to assure that the right talent is addressing customer's needs.

InterClean needs to develop a new organizational structure to support the new products and services that will lead to further growth. (Ulrich & Brockbank, 2005, p20).

Stakeholder Perspectives/Ethical Dilemmas

InterClean faces multiple stakeholders. From executives, employees, customers, and regulators, each one has his or her own interests, rights and values and presents ethical dilemmas. Table 2 describes each stakeholder, his or her interests/rights/values and the ethical dilemmas facing the company as a result of each stakeholders' point of view.

Table 2

Stakeholder Perspectives and Ethical Dilemmas

Stakeholder Perspectives and Ethical Dilemmas

Stakeholder Groups with Competing Values

List: Group X

versus Group Y

The Interests, Rights, and

Values of Each Group

The Ethical Dilemma Based on the Competing Values

Executives versus Employees Executives have an interest in the success of the company. Expansion into new markets, development of new products and services will all advance the company into the next decade.

Executives have the right to expect that the employees will carry out the assignments to the best abilities, think creatively and will build the company's legacy. The dance of constantly balancing the need to change sales strategies versus the commitment to human capital can lead to unethical behavior. Expansion may require changing human resource