Premium Essay

L’oreal Usa: a Conflict Management Case.

In: Business and Management

Submitted By snower
Words 630
Pages 3
The outcome of the short-term outcome of the conflict is that L’Oreal has to face to Yanowitz’s lawsuit. However, This lawsuit will develop into a public relations disaster, then L’Oreal will lose it’s strong brand identity and reputation if the conflict is not resolved. The key shareholders in this case not only care about the influence any negative press surrounding this lawsuit will have on the stock price, but also worries about any long-term ramifications to the L’Oreal brand. There are many reasons for conflict within a team or between teams. In this case, there are three primary causes of the conflict. First of all, When Wiswall told Yanowitz to terminate sales associate he thought unattractive, she did nothing to fire the sales associate and did not file a complaint with Human Resources; nor did she let Wiswall know his order was discriminatory. Then, L’Oreal management began soliciting negative feedback on Yanowitz after her supervisor discovered the Middle Eastern employee had not been fired. Thirdly, Yanowitz was forced to take a medical leave of absence as the cause. L’Oreal replaced her three months later.

At the beginning, Yanowitz claims she was terminated because of her refusal to fire a fragrance sales associate who was thought by Wiswall, as unattractive But she did nothing to deal with this issue, even didn’t not file a complaint with Human Resources, due to a severe lack of internal communication between team members in the group. Also, L’Oreal claims that its workforce diversity “will amaze and inspire you.” So L’Oreal should be a workplace that is accepting of all diverse backgrounds and that their jobs are based on their performance. From this view Wiswall should know the Middle Eastern employee’s performance first, but not just judge her by her physical appearance. Otherwise, it is easy make people treat the issue as discrimination. Which…...

Similar Documents

Premium Essay

Case Study L'Oreal

...brand perceptions. • To build the brand, L’Oreal will need to start from scratch although they already have the distribution channels - sales people, retailers, logistics, and back office operations in place to give the new brand a head start. • The brand is highly successful in neighbouring French and German markets however Dutch consumers are seen as having their own unique requirements and preferences for cosmetics and toiletries. • Possible dilution of its own brand or a cannibalisation of its current market leading products Recital and Plenitude. • Market testing has indicated that the product formulation of Belle Colour is darker, preferred by the French consumer, when in fact Dutch consumers have a preference for lighter hair shades. It has been noted that as the Dutch market is considered a minor country, less than 5% of European sales, therefore reformulation will not be possible. • Low market orientation at the R&D level – L’Oreal won’t adapt their Belle product to suit the majority of consumers who prefer lighter shades and weren’t happy with the result (based on the market research) –more selling oriented • Dutch competitors customized to Dutch preference/demand • Trend towards semi-permanent – not met by either L’Oreal or Garnier • Trend towards lighter/warmer – not met by Garnier • Management is concerned with its sales forces’ abilities to handle multiple product lines that will do justice to both the L’Oreal and Garnier brands. They are also......

Words: 4775 - Pages: 20

Premium Essay

Conflict Management

...Sources, Methodologies and Styles of Conflict Management Mohammad Atashak Member of Young Researchers Club matashak@yahoo.com 09123123141 Parisa Mahzadeh Master degree in educational administration p_mahzadeh@yahoo.com 09122397950 Abstract: Conflict management is an ongoing procedure. It entails continual communication and supervision. In this article, has been reviewed the evolution of conflict management and have been studied sources of conflict, styles of conflict management, conflict management methodologies and major features of the conflict management module and in the end has been presented conflict reduction strategies. Key worlds: conflict management, sources of conflict, styles of conflict management, conflict management methodologies Introduction: The term conflict refers to perceived incompatibilities resulting typically from some form of interference or opposition. Conflict management, then, is the employment of strategies to correct these perceived differences in a positive manner. For many decades, managers had been taught to view conflict as a negative force. However, conflict may actually be either functional or dysfunctional. Whereas dysfunctional conflict is destructive and leads to decreased productivity, functional conflict may actually encourage greater work effort and help task performance. Borisoff and Victor point out, "We have come to recognize and to acknowledge the benefits dealing with conflict affords. Because of our differences, we......

Words: 4823 - Pages: 20

Premium Essay

Conflict Management

...Different management scholars ,psychologist as well as human relations have explained conflict as a concept. Esquivel and Wiener (1997) described conflict as “ a discord that occurs when the goals , interest or values of different individuals or groups are incompatiable with each other in an attempt to achieve their objectives. Lawal (1993) described conflict as the disagreement of organization members or groups over means or ends and an attempt to establish their views in preference to others. Wilson (2002) said those people or organization that is able to manage conflicts strategically are those who has most success in their endeavour. He further states that most organizations view conflict in a negative way ,it is assumed that it drains energy, reduces focuses, caused discomfort ,hostility and eventually cost the organization a huge sum of money. Wilson however states that if conflict is well managed it can be very positive , it will highlight organizational problems and promote changes by encouraging shared solutions and enchanced morale and team sprit when dealt with openly and promply. Schramm-Nelson(2000) defined conflict as a state of serious disagreement and arugement about something perceived to be important by at lest one of the parties involved, while azamosa (2009) , says that conflict involes the total range of behavior and attitudes that is in opposition between individuals owners and mangers on one hand and the working people on the other......

Words: 5410 - Pages: 22

Premium Essay

The Role of It in Tcm - L'Oreal Case Study

...THE ROLE OF IT IN TOTAL QUALITY MANAGEMENT UDREA ROXANA MARIA GROUP:136 AFFILIATION: ACADEMY OF ECONOMIC STUDY OF BUCHAREST, ROMANIA Change for the better Abstract The aim of this study is to demonstrate, using a theoretical model, how a company should address the concept of Total Quality Management in order to reach business excellence and customer satisfaction. Nowadays, economists confront with a large amount of factors that make the existence of a company in the market much more difficult. In today’s competitive marketing environment, organizations try all possible efforts to promote their brand, to attract customer’s attention and to determine them to effect purchase decisions. As a whole this paper offers a framework of management quality coupled with information technology that together enable a company to increase productivity, in order to attract the customer’s attention and to encourage the buying behavior. Process change has become the main concern of today’s companies, and applying the right strategy in order to achieve change has become more and more important. The following research will highlight how TQM strategy together with information technology have been implemented in the L’Oreal company, and the achievements that the latter had after adopting such strategy. Keywords: TQM, information technology, competitive environment, customer satisfaction, strategy. Introduction Implementing TQM in a company may be seen like a new solution that......

Words: 2576 - Pages: 11

Premium Essay

Management Conflict

...Journal of Banking & Finance 27 (2003) 103–131 www.elsevier.com/locate/econbase The impact of the manager–shareholder conflict on acquiring bank returns Marcia Millon Cornett a,*, Gayane Hovakimian b, Darius Palia c, Hassan Tehranian d,* a Department of Finance, College of Business, Southern Illinois University, Carbondale, IL 62901, USA b Graduate School of Business, Fordham University, New York, NY 10023, USA c Columbia Business School, Columbia University, New York, NY 10027, USA d Carroll School of Management, Boston College, Chestnut Hill, MA 02167, USA Received 22 May 2000; accepted 16 May 2001 Abstract This paper examines whether shareholder value-maximizing corporate governance mechanisms assist in reducing the managerial incentive to enter value-destroying bank acquisitions. We find that diversifying bank acquisitions earn significantly negative announcement period abnormal returns (AR) for bidder banks whereas focusing acquisitions earn zero AR. We then find that corporate governance variables (such as CEO share and option ownership and a smaller board size) in the bidding bank are less effective in diversifying acquisitions than in focusing acquisitions. These results are robust to the inclusion of the usual control variables. Ó 2002 Elsevier Science B.V. All rights reserved. JEL classification: G21; G34 Keywords: Banks; Bank acquisitions; Corporate governance 1. Introduction Several empirical studies have documented a negative relation between firm......

Words: 14440 - Pages: 58

Free Essay

L'Oréal Case

...1. Was sind die Herausforderungen des Managements von L’Oréal? L’Oréal wurde 1907 gegründet und ist eine der größten Kosmetik- und Beauty-Unternehmen weltweit. Das Unternehmen verkauft mehr als 500 unterschiedliche Marken. Außerdem hat das Unternehmen fünf Forschungs-und Entwicklungszentren, welche von Frankreich bis über die USA, Japan und China verbreitet sind. Eine Herausforderung dabei an die Managementabteilung ist es, diese fünf Zentren miteinander zu verknüpfen. Alle sollten auf einer gemeinsamen Plattform fungieren und Zugriff auf die aktuellsten Informationen haben. Das ist eine schwierige Aufgabe für das Managementteam, denn die Informationen die sie bekommen sollen zudem in wertvolle Daten übersetzt werden. Das Intranet für diesen Bereich muss tausende von Forschern in den oben genannten Gebieten unterstützen. Das Intranet ist erforderlich um professionelle Anwendungen sowie Datenbanken zu Themen wie Biologie, Patente, Haarfarbe und Laborsicherheit zu schützen. In einem so großen Netzwerk, fällt es den Teams schwer, miteinander zu kommunizieren. Es besteht die Möglichkeit, dass Teammitglieder das Interesse an gewerblichen Tätigkeiten verlieren, weil eben viel Energie und Aufwand in die Kommunikation investiert wird. Um diese Hürde zu überwinden und diese Herausforderung erfolgreich zu meistern, entschied sich L’Oréal den Share Point Portal Server zu verwenden. Weitere Herausforderungen für die Managementabteilung: • Eine globale......

Words: 520 - Pages: 3

Premium Essay

Case Analysis: L’oreal of Paris, Plénitude

...Consumer Behavior Case Analysis: L’Oreal of Paris, Plénitude July 12, 2014 Summer Session II Jeffrey Domanski Yasmine Galvez Amy Lee John Pantina Sylvia Xie 1. Please describe Plénitude's position in the US in early 1996. Why has it apparently been less successful than in France when the French "success formula" was used in the US? Despite a fast entrance into the US market in 1988, when the brand quickly rose to the #2 spot in its market trailing Oil of Olay, by 1996, Plénitude lost its rank to Ponds, faced plateaued sales, and remained unprofitable with losses reaching $12.5M. L’Oreal had released Plénitude in the US with the French “success formula” under the assumption that French success would translate to the US market. However, the implementation of Plénitude’s “Class to Mass” marketing strategy in the US did not have the same effect due to the cultural differences in consumer behavior. First, L’Oreal did not give US consumers the opportunity to experience the first aspect of the French strategy: feature one “star product” at a time, focus a majority of resources on this product, and then create demand for another product. This product system worked in France because products were released one at a time. However, in the US, the full product line was released simultaneously. US Consumers were overwhelmed with the product choices and do not know which to product to use. Secondly, the US consumers did not care for the product’s modern advances,......

Words: 1511 - Pages: 7

Premium Essay

Conflict Management

...congregations ever conducted in the United States), conflict has become synonymous with church, with 75% of all congregations reporting some level of conflict within the past five years.1 This article describes both from research and experience the struggle many Christians face in their attempts to manage conflict appropriately. Unfortunately, this inability, and the reality of subtle and devious tactics by antagonists, leaves in its wake shipwrecked people who are hurt and The Pastor and Conflict Management Lecture Page 2 discouraged; often calloused and hardened.2 All around is evidence of this prevalent problem and because the health of the ministry is crucial to the health of a denomination, we must address the situation. Therefore, this lesson begins by discussing the importance of understanding the “conflict in the church” issue. The second section invites the reader to examine optional ways of handling conflict and to reflect upon what may be his or her most prevalent conflict management style. Finally, the third division looks at relevant conflict management research specifically related to Church of God ministers. I. The Importance of the Issue What churches and their leaders experience in regard to conflict represents no exception. All groups experience frustrations and certain levels of conflict: corporations, governments, nations, families, nonprofits, hospitals, courts, or universities – all experience conflict, both with people inside......

Words: 1005 - Pages: 5

Premium Essay

Conflict Management

...Conflict Management Conflict management is a skill that should be possessed by every manager. It is however important for each manager to note that conflicts are not bad; if resolved wisely conflicts present an organization with the opportunity to find long lasting answers to issues affecting it. Gregory in their article ‘How to Manage Conflict’ seeks to explain the importance of conflict management in an organization. This article is mainly meant for managers, supervisors, and other people who have a leadership role in an organization. Gregory has started his article by how various forms of conflict arise in an organization. The author states that conflicts can never go away by assuming them. This statement is meant for managers that take a laissez-faire approach towards conflicts. In fact Gregory warns them that this form of approach would lead to the underlying issues blowing up. Something unique about this article is that the author has taken time to point out that while some conflicts are easily noticeable in an organization, others require the manager to be vigilant in noticing them (Gregory 2). This is true as some issues between certain employees are only known by staff members and not the management. So it is the responsibility of the manager to ensure that they are regularly updated on the happenings in their organization. One thing to note here is that knowledge on some of the unnoticeable happenings in an organization cannot be obtained...

Words: 579 - Pages: 3

Premium Essay

Conflict Management

...CASE 1: Q: How to avoid such work related conflict? Answer: Such work related conflict can’t be avoided as they arose usually when changes occur in power and authority but we can manage them with effective solution. No employee wants to get involved in a workplace dispute. If conflict at work isn’t resolved, it can cause stress, frustration, a bad temperament, illness or other issues for individual employees. Mostly employees have to deal with conflict at some point. Another big cause for disputes is the relationship that employees have with their line managers. Conflict, disputes and disagreements are a part of daily life so it’s important that people feel able to deal with them when they arise. However, there are tactics that people can adopt to reduce the risk of getting involved in conflict; 1. Remaining positive will make it more difficult for others to behave badly towards us, thereby reducing the possibility of getting involved in serious disputes. 2. Avoiding certain individuals in the office won’t work but one should certainly not become involved in other people’s disagreements. Groups in the workplace can be particularly damaging and can even result in dismissals if the environment becomes impossible. If anyone asks to align yourself with them against others, simply say that you value working with everybody. 3. ‘Treat people as you would like to be treated’ is a good tactic in avoiding workplace......

Words: 616 - Pages: 3

Premium Essay

Challenges Facing L'Oreal Management

...L'Oreal: Knowledge Management Using Microsoft SharePoint. Hand in 9 & 11 13 April 2016 Tags: Global brand coordination; sharing business knowledge; collaboration and coordination of effort worldwide; enabling a single community; ease of integration with desktop MS Office. Summary L'Oreal decided to use Microsoft SharePoint server to create a global knowledge management and collaboration platform. The system runs on a corporate intranet called M@sternet that spans the globe and coordinates the work of hundreds of teams in over 150 subsidiaries. URL:http://www.youtube.com/watch?v=8MvWkDXFz0w&NR= Case "The L'Oreal Group is the world's largest cosmetics and beauty company. It is headquartered in the Paris suburb of Clichy, Hauts-de-Seine, France. 96% of L'Oreal revenue is generated from cosmetics, from hair colour products to skin care, sun protection, make-up, perfumes and hair care. L'Oreal also is active in the dermatological and pharmaceutical fields. The company was founded in 1907 by Eugene Schueller, a young French chemist, who developed an innovative hair-colour formula. In 1920, the small company employed three chemists. By 1950, the research teams were 100 strong; that number reached 1,000 by 1984, and is nearly 2,000 today. While L'Oreal got its start in the hair-colour business, the company soon branched out into other cleansing and beauty products. L'Oreal currently markets over 500 brands and many thousands of individual products in all sectors of the......

Words: 844 - Pages: 4

Premium Essay

Case 1 L'Oreal Knowledge Management Using Microsoft Sharepoint

...Week Six Case Study – Case 1: L’Oreal Knowledge Management Using Microsoft SharePoint 1. What are the challenges facing L’Oreal management? L’Oreal, founded in 1907, is world’s largest cosmetic and beauty company selling globally more than 500 brands. L’Oreal has five worldwide research and development centers spread over France, United States, Japan and China. To link everyone of them on the same platform of information is a difficult task. The intranet for this division must support thousands of researchers working in France, the United States, Japan and China. The intranet is required to support professional applications as well as databases on subjects including biology, patents, hair color and laboratory security. In such a vast network its difficult for teams to communicate. Team members lose interest in commercial activity when they consume more energy in communication. To overcome these hurdles and to manage its largest internet initiative L’Oreal chose SharePoint Portal Server. 2. Make a list of all the functionalities of M@sternet described in the video. What kind of knowledge management system is M@sternet? * Microsoft SharePoint products and technologies include browser based collaboration and a document management platform. These can be used to host web sites that access shared work spaces and documents, as well as specialized applications like wikis and blogs from a browser. * Users are allowed to manipulate proprietary controls or......

Words: 658 - Pages: 3

Premium Essay

Case Study-L'Oreal

...Case Study 1. What are the challenges facing L’Oreal management? 2. Make a list of all the functionalities of M@sternet described in the video. What kind of a knowledge management system is M@sternet? 3. Why did L’Oreal say it chose the SharePoint platform? 4. What do you think are the ultimate benefits of M@sternet for L’Oreal? 5. What might be some limitations of SharePoint in this application? 1. L’Oreal is a large-sized and international enterprise with many branches all over the world, making it difficult to communicate immediately with other employees around the world as well as share information. It is important to have good mutual communication between each department. In order to overcome the obstacles of being in different places, they need a secure and instant knowledge management system such as M@sternet. 2. It is a powerful information system with various functions such as search engine and discussion forums which allows people to have control over information according to their needs and organizational roles to make management more efficient. 3. Share point helps people reach the information easy and quick. It also makes searching information within a huge database efficient. Moreover, the system can combine with Microsoft Word, Excel, and Power Point. It can also be modified via email. It is a user-friendly system. 4. I think that the ultimate benefits of M@sternet for L’Oreal are increasing the efficiency of information delivery, providing a......

Words: 277 - Pages: 2

Premium Essay

Conflict Management

...CONFLICT MANAGEMENT How do we manage conflict so the organization and personnel don’t suffer? Can we actually derive benefits from conflict? The purpose of this paper is to answer these questions and give you insight into the options available to managers for the successful management of conflict. Conflict is inevitable in every organization and often times necessary to ensure high performance. Ken Thomas defined conflict as the process that results when one person (or a group) perceives that another person or group is frustrating, or about to frustrate, an important concern. (Thomas: 891) Conflict involves incompatible differences between parties that result in interference or opposition. Such differences can serve as a motivator for positive change or cause decreases in productivity. Conflict, therefore, can be constrictive or destructive. Conflict is destructive when it produces barriers to cooperation, destroys morale and diverts energy from important tasks and issues. It is constructive when it leads to a solution of a problem or a higher level of understanding and communication between individuals or groups. So then we can say that conflict is both constructive and destructive it just depends on how you manage it. In the past, managers were trained to avoid conflict because of the negative repercussions that sometimes resulted. Today however, many management trainers are advocating that since there are some benefits derived from having......

Words: 2054 - Pages: 9

Premium Essay

L'Oreal Case Study

...L’Oreal: Global Brand, Local Knowledge MRKT 454 May 2012 Introduction This case study is about L’Oreal and how it has come today to be known as one of the largest advertisers and investors in research and development. The company has tapped numerous markets and established itself strongly through its various brands. There is a constant need to innovate and the products are new and better and attracting more and more customers at all levels of segmentation. The company is known for its acquisitions and that is how it has done much of its growth in the emerging economies as well as the US. The Company is known internationally for its portfolio of beauty and personal care products that are aimed towards catering to each level of market segment. It is an international success with deep rooted commitment and sensitivity towards local consumers’ needs and cultures. 1. Management Orientation: L’Oreal’s management orientation is geocentric. This can be seen in the sales, half of which come from outside of Europe. L’Oreal has 23 global brands across 130 countries and has 38 factories all over the world (Henderson, R., & Johnson, R. 2010). The firm has promoted its national brands to the rest of the world as related by Owen-Jones. Owen-Jones promoted the five core businesses into becoming global. These included: hair care, hair color, skin care, color cosmetics and fragrances. If we look at the website of L’Oreal Paris, we can see its presence in five continents and...

Words: 3812 - Pages: 16