Before Apple introduced the “iPhone”, researchers of Nokia, prepared a prototype of an Internet -ready , touch-screen handset with a large display, which they thought could give the company a powerful advantage in the fast-growing smartphone market. However, the company did not produce that model because of the management worried that the product could be a costly flop. In order to analyze the source of the problems, I’ve drawn a fishbone diagram ;
From the fishbone diagram, it’s very obvious to determine the source of the problem. As all of the small arrows directed to big, green one, it means that the main problem of the company also derives from smaller flaws such as; technology and management. According to Ari Hakkarainen, a manager responsible for marketing on the development team for the Nokia Series 60, the biggest obstacle of the company may be its stifling bureaucratic system. In my opinion, the problem that should be overcome is to built strong teams and develop the individual skills and confidence. I believe that, by providing a strong employee profile, they can prevent the slipping from 35 percent in March 2002 to 8.1 percent in April in the US. The decline in the United States is mostly because of the rise of the smartphone competitors, like Apple. Furthermore; Mr. Hakkarainen states that, ideas fell victim to fighting among managers with competing agendas, or were rejected as too costly, risky or insignificant for a global market leader. He also described a highly bureaucratic corporate system, in which proposals were screened by management committees, who have an authority to block ideas under consensual rules for decision making.
After analyzing the fishbone diagram which is seen above, the company should carry out some activities in order to develop its basic facilities, i.e.; its highly bureaucratic culture. So the main arrow should have shown ‘the decrease in quantity of sales’, which is more likely to occur if the company do not come out with a solution for the root causes(small arrows) of facing a competition problem with non-smart-phones.
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