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Topic:
Managing Complex Projects, Products, and Systems
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Managing Complex Projects, Products, and Systems
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MANAGING COMPLEX PROJECTS, PRODUCTS, AND SYSTEMS
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Managing Complex Projects, Products, and Systems
The development of the concept of managing complex projects, products, and systems (CoPS) has been instrumental in enhancing the success of high technology goods and services. The main aim of developing high technology capital goods and services business is to focus on achieving customer satisfaction and realization of the excellent financial performance of a given business entity. Realistically, the management of CoPS is executed in three major phases, namely, organizational capabilities, innovation models and strategies of the respective firms and companies (Eriksson, Larsson, and Pesдmaa 2017). It is important to note that CoPS is executed through two main perspectives, which are sustainable management practices and innovations. The advancement realized globally is essential in enhancing quality innovations and inventions that have overseen the creation and development of CoPS. Notably, CoPS can also be purchased by different big companies. For instance, large transport companies that operate worldwide may decide to heavily invest in high-end transportation machines such as airplanes. To further comprehend the concept of CoPS, this paper will discuss the development of mobile communication systems by Ericsson Company. Mobile communication is achieving success in the world and most mechanically advanced and developed nations. Mobile communication network systems are quickly turning into the principle media communications framework. This case study paper is important in giving a keen and insightful comprehension of the mobile communication systems and parts and in developing frameworks for the help of broadband versatile internet accessibility protocols.
Company Background
Ericsson Mobile Company was started and developed as a company that was tailored solely for development and manufacture of mobile phones. The main offices of the company were located in two major towns namely HYPERLINK "https://en.wikipedia.org/wiki/Lund" \o "Lund" Lund, HYPERLINK "https://en.wikipedia.org/wiki/Kumla" \o "Kumla" Kumla, HYPERLINK "https://en.wikipedia.org/wiki/Raleigh,_North_Carolina" \o "Raleigh, North Carolina" Raleigh, North Carolina and HYPERLINK "https://en.wikipedia.org/wiki/Lynchburg,_Virginia" \o "Lynchburg, Virginia" Lynchburg, Virginia. In the early stages of the company’s inception, it was faced with challenges of management and inability to penetrate the United States of America market, especially in the mobile phone production industry. This was partly due to poor managerial and administrative decisions by all stakeholders (Eriksson et al. 2017) Significantly, it is worth noting that the Ericsson Mobile Company began as a radio systems developer under their then CEO Lars Ramqvist. In the early days of 1994, mobile telephony was marked and recognized as a major product of the company after shifting from the manufacture of radio systems. To maintain relevance in the market, the Ericsson Company rebranded itself from Ericsson GE Mobile Communications to Ericsson Mobile Communications AB (ECS). The rebranding of the company was necessary for enhancing a good image for the company among its loyal consumers. More so, the company was able to reorganize its activities and create subsidiary offices within its headquarters premises to cut down on the costs of operations.
The new Ericsson Mobile Communications AB (ECS), in enhancing the concept of CoPS engaged in full-blown inventions and innovations to remain steadfast in the competitive mobile telephony market. For instance, the company designed and developed Bluetooth technology in the production of its operations, especially with its vast knowledge in short distance radio technology (Whyte, Stasis, and Lindkvist 2016). Quite importantly, Ericsson Mobile Communications AB (ECS), engaged in mergers that were significant in fostering its survival in the market trends. The management of Ericsson Mobile Communication was instrumental in enhancing business mergers and partnerships which solidified their rating in the exemplary use of technology. For example, in the designing, developing and eventual production of a HYPERLINK "https://en.wikipedia.org/wiki/Bluetooth_Special_Interest_Group" \o "Bluetooth Special Interest Group" Bluetooth Special Interest Group, Ericsson Mobile Communication AB joined hands with different players in the industry like Intel, IBM, Nokia and Toshiba to overseeing the successful production of the Bluetooth special device. In the year 2000, Ericsson Mobile Company effected a corporate spin-off that was named Ericsson Technology Licensing that was to preserve the rights of their products (Whyte et al. 2016). Moreover, the Ericsson Technology Licensing was significant in hosting technology and releasing their new products into the market. The Ericsson Technology Licensing was the first to unveil the Ericsson Bluetooth headset in the United States of America market and the world at large.
Development and volumes in Ericsson Mobile Communications quickly expanded. In the initial years in the activities of the company, all emphasis on the management of the company was rapidly increasing the generation of income from sales, which was met with progress. In 1998, the organization created a benefit of 13 billion SEK (Eriksson et al. 2017). However, as early as in 1999, the Ericsson Mobile Company began to experience challenges in the customer tastes and preferences, which inadvertently reduced their market dominance. The decline in Ericsson Mobile Company sales was presided over by Nokia, its primary competitor. Nokia had to fully integrate exquisite designs in the production of their mobile handsets as a weapon to pick up pieces of the overall industry and consequently outdo Ericsson. Nokia 3210 was to a large extent depicted as a particularly troublesome item, as it did not have an outside receiving wire (antenna). Ericsson saw this as an opportunity, a sub-par development. However, the consumers changed their preferences and tastes to settle for Nokia's new invention of design in the mobile telephony market and industry respectively (Eriksson et al. 2017). In the meantime, Nokia began to favorably enjoy the benefits of economies of scale and could, therefore, relatively cut down the cost of its products to attract more customers, thus increasing its average sales of handsets annually.
Challenges Faced by the New Ericsson Mobile Communications AB (ECS)
Ericsson Mobile Communications was faced with various challenges in the wake of designing its own CoPS. Some of the challenges that the company faced include stiff competition from its competitors. Ericsson Mobile was faced with strong competition from Nokia. Nokia invested heavily in good software and design in the manufacture of their mobile handsets (Eriksson et al. 2017). The handsets that were produced by Nokia did not need an antenna to function, unlike the ones produced by Ericsson. Bearing in mind the vulnerability of antenna breakage on Ericsson phones which implies no more communication, customers changed their preferences and tastes into buying Nokia phones.
The Ericsson Mobile Communications AB (ECS) suffered from the telecom crisis. Ericsson ran into financial problems by the end of 1998, which unequivocally paralyzed major functions of the company. For instance, the company delayed the release of their new phone model Ericsson T28 which was due during the Christmas season of 1998 (Whyte et al. 2016). The launch of the phone was pushed forward to the autumn of 1999. More importantly, the main partner of Ericsson by 2000, Philips, was struck by lightning and eventually caught fire. This incidence reduced the chain of supply for Ericsson, which led to delays in deliveries. Ericsson Mobile Company main competitor Nokia was steadfast in engaging and signing supply contracts with different secondary suppliers and thus was able to contain the damages and maintain their market command. The telecom crisis too was a bad occurrence for Ericsson since it led to the splitting of the company into two; Sony Ericsson and Ericsson mobile platforms. The continuous realization of losses by Ericsson contributed to the laying of its workers. For example, in the spring of 2001, the main countermeasures to eliminate the misfortunes started by laying off 600 individuals, while at the same time outsourcing all generations with somewhere in the range of 11000 individuals to Flextronics (Whyte et al. 2016). The innovative work office in Lund was not subject to any real layoffs: 100 individuals were laid off, and around 80 individuals in office administration and IS/IT were outsourced.
Ericsson Mobile Communications AB (ECS) Project Goal
The project goal of the Ericsson Mobile Communication Company was to develop a strong mobile network system that could help the company...
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