It is a paradox that the more challenging, disruptive and uncertain a given industry is the more organizations fractionalize their structures, creating splinter groups and politically volatile structures that only accelerate a company's demise. The paradox is that in the toughest and uncertain of times in the telecommunications industry, Verizon Telecommunications needs to think more about how they too can be a disruptive force in the market. Instead, the management team is focused on a highly balkanized, very politically-driven agenda of holding onto power by creating smaller silos or departments that can easily manage the data that is perceived as the most valuable asset there is in the organization. The paradox comes full circle when a company is sold in pieces and the sold unit or department must integrate themselves into their new parent organization with a level of accuracy, alacrity or speed and focus that would have saved their previous company. This scenario plays out often in highly commoditized, price-driven industries like telecommunications. Verizon Telecommunications could ironically save themselves that pain if they only chose to look at their combined intelligence and knowledge as the most critical asset they have, and unify to pool their expertise to keep the customers they have and earn new ones. The study of smaller, more interdependent groups within organizations show that they are more capable of overcoming market and industry turbulence than isolated often siloed organizational structures (Pfeffer, 1992). Just as managers who are often stymied by the larger-scale organizational structures that have engrained processes and systems in place to preserve power, the breaking down of larger organizations into smaller operating units' yields greater trust, and therefore faster acceleration to complex goals and objectives (Pfeffer, 1992). This is critically important for Verizon Telecommunications to consider as it will redefine the balance of power in the organization and also lead to greater transparency throughout the company as well. All of these factors need to be taken into account in the development of a more streamlined, highly integrated organizational structure.
Another facet of the leadership and organizational challenges that Verizon Telecommunications faces is the divisive nature of different cultural and political themes throughout the organization. Organizational learning has shown to be effective in bridging the gaps between cultural and political ideologies in an organization, and have also shown to be highly effective in unifying diverse power-driven cultures in companies as well (Ferdinand, 2004). What Verizon's leadership must do is create a more effective shared knowledge and learning strategy to ensure the political ramifications of Verizon's tendency to balkanize into exclusive departments doesn't force the overall culture to break apart,. Only by using organizational learning as a catalyst for continued communication and collaboration will Verizon Telecommunications be able to overcome the dysfunctional nature of the organizational structure. The politics and cultural foundation of the company can potentially lead to even more of a balkanized organizational structure; it is up to senior management to lead the company through this aspect of their divisive culture and re-unify the organization (Berezin, 1997).
It is inevitable in organizations going through disruptive levels of change for conflicts to emerge. These conflicts are exacerbated by the depth and intensity of power struggles, in addition to the innate nature of cultural conflict that occurs between business units. Adding in the turbulent nature of the telecommunications industry and its continual merger and acquisition cycle, and a culture of conflict and power struggles begin to dominate an organization. When this occurs it is imperative that the management team of an organization look at how to alleviate conflict before it begins, in addition to practicing appropriate conflict style orientations that can lead to positive outcomes (Stephen, Kyle, Manda, Oommen, DeMaris, 2011). As difficult as it is for an organization going through the massive amount of change that Verizon Telecommunications is experiencing in highly competitive markets, defining and managing conflict-style preferences is critical for the continued unification of the business (Stephen, Kyle, Manda, Oommen, DeMaris, 2011). Awareness and insights into conflict styles can also be instrumental in creating more effective learning systems as well (Ferdinand, 2004). For Verizon to resolve the dysfunctional nature of its structure, as it moves in the direction of more exclusive, closed business units, it is imperative that their leaders of the company gain insight into conflict style preferences and manage the re-unification of the company with respect to these. The conflict styles will often be used for...
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