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Nokia

The complacency or lack of proactive action by Nokia is in line with the psychic prison metaphor. “This metaphor joins the idea that organizations are ultimately created and sustained by conscious and unconscious processes, with the notion that people can actually become imprisoned in the images, ideas, thoughts, and actions to which these processes give rise.” (Morgan 207). These aspects of self-limitations could develop in an employee, then in a team and could occur in an entire organization, causing negative impacts like non-growth and further slide. After reaching the top, Nokia from its top management to the lower-level employees allowed this psychic prison factor to creep in, thereby forming a false sense of security. Nokia not only avoided improving its existing strategies but also avoided carrying out key innovations particularly in the aspect of its operating system, thus allowing its competitors to leapfrog over it. Thus, the psychic prison factor made Nokia’s growth a stagnant one, and in course of time caused a downslide. As its market share continued to slide, Nokia decided to come up with strategic changes to avert the slide and emerge successful. In that direction, Nokia found that it’s Operating System (OS), Symbian was not able to compete with newer and more advanced OSs like iOS and Android, thus contributing sizably to the slide in Nokia’s Market Share. This perspective was validated by Gartner analyst Nick Jones, who stated, “Market share is an existential threat to Symbian, it imperils the very existence of the platform, and the main reason Symbian is losing share is the user experience, which isn’t competitive with Apple or Android.” (Chen). Key issue or issues to be investigated Due to this understanding, Nokia went in search of other OSs, which can be incorporated into its devices. After doing in-depth study, Nokia and in particular its recently appointed CEO, Stephen Elop, who is actually a former head of Microsoft business division, decided to form a strategic alliance with Microsoft in early 2011, thereby replacing not only Symbian but also MeeGo with Microsoft's Windows Phone operating systems particularly with Windows Phone 8. Although, Nokia decided to run its low-to-mid end mobile devices on Symbian and MeeGo, majority of its devices especially Smart Phones were planned to be migrated to Windows OS. After being attached with Symbian OS for many years, this decision to incorporate Windows OS is not an easy process to adopt and implement, as it involves sizable changes to the whole organization including its different departments. Any change in strategy will have to be accompanied by a sizable amount of change within the organizational structure. This need to actualize changes in various departments is line with the metaphor of Flux and transformation. This metaphor focuses on how entities including organizational bodies will be in a constant state of change, based on the changes that are happening in their external and internal environment. “Everything flows and nothing abides; everything gives way and nothing stays fixed.” (Morgan 241). If the organization maintains a rigid stance, without changing and flowing with the flow, then it will stagnate. Only if the organization in line with Flux and Transformation updates its organizational processes, filtering out failing processes and ...Show more

Summary

Nokia – joining the Microsoft bandwagon dropping Symbian as the OS Important facts in the case Nokia, the Finland based communications and information technology products manufacturer, focuses on two principal products of mobile telephones and portable IT devices…
Author : ophelia03
Nokia essay example
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