P.2 Organizational Situation 

Case Study


Note: This Case Study refers to OE21 P.2 Organizational Situation

P.2 Organizational Situation - KICKOFF MEETING


The OE21 Facilitator (FAC) plans and initiates the P.2 Organization Situation online meeting.


This online meeting is attended by the Elafino Sports Center leaders, including the CEO, CFO, VP Administration, Public Relations Manager, IT Manager, VP Marketing and Sales, VP Operations, and the HR Manager.


The FAC leads the meeting with a desktop presentation of the OE21 Guideline P.2 Organizational Situation web page. The FAC begins the meeting with an introductory statement:


"The purpose of this meeting is to initiate the implementation of the OE21 Guideline P.2 Organizational Situation. This is a snapshot of the Elafino competitive environment and strategic information."


The CEO asks, "So, what is the benefit of this guideline?"


The FAC responds by pointing to the VALUE ADDED list in Guideline P.2 and reads it aloud:


"The P.2 Organizational Situation adds these values and benefits."


  • Captures important strategic and competitive information about the Elafino organization

  • Provides important inputs for use in strategic planning guidelines 2.1 and 2.2 

  • Used to support organizational assessments

  • Used as part of a Baldrige Award Application (if we decide to apply in the future)

The FAC scrolls through the P.2 Organizational Situation page


The VP Administration asks, "How will we pull all this information for P.2 together?"


The FAC responds. "We will use a web-based survey to collect information from you all."


The FAC continues. "After we have your survey inputs, I will work with a smaller group of you to export these survey inputs and integrate them into the P.2 Organizational Situation document. When we believe the document is ready, the Leadership Focus Team (LFT) will review and approve it. Then I will publish this document onto a special password-protected page on our Intranet."


The VP Marketing and Sales asks: "Why is this document password protected?"


The FAC responds: "Because this Organizational Situation content is sensitive and should have limited distribution so that it does not fall into the hands of any competitor of the Elafino Sports Center, or others who have no need to know about our strategy."


P.2 Organizational Situation - IMPLEMENTATION


After the Elafino Sports Center implemented OE21 Guideline P.2 Organizational Situation, the following outputs were available to the Leadership Focus Team:


P.2 Organizational Situation. The Elafino Sports Center has defined its key competitive and strategic environment characteristics, including:


 a. Competitive Environment


(1) Competitive Position - The Elafino Sports Center maintains a table and a statement of the organization’s competitive position, including, relative size and growth in the industry or the markets served, and number and types of competitors. Figure P.2-1 is a summary table that is used to define the organization's market share and opportunity.


Figure P.2-1 Market Share and Opportunity

As shown in Figure P.2-1, the Elafino Sports Center is located within a service region with an estimated 3.8 million people. About 60% of the population could become customers, including youth, adults, and seniors. 

The current membership is 1,875 people. They pay a small membership fee that entitles them to various benefits depending upon the services they use and the events they attend. The 1,875 of 3.8 Million translates to a market share of about .08%, which leaves an over 99% market growth opportunity.


(2) Competitiveness Changes - The P.2 Organizational Situation content includes statements about critical changes, affecting the competitive situation, including changes that create opportunities for innovation and collaboration. The Elafino P.2 participants used shared online document tools (e.g., Google Docs, Microsoft Word) to collaborate on the document writing.


The CEO, CFO, and VP Marketing/Sales participants asked questions and received responses:


Question: "Who are the serious competitors of the Elafino Sports Center?"


Response: Within our Elafino Sports Center service region is a new "XYZ Sports Center" competitor. This competitor also offers hockey and figure skating services. They have been open for one year and have already captured over 3500 of our past members, making them the number one competitive concern.

Question: "What events could threaten our market share and the customers that we now depend on?"

Response: Suppose that another pandemic virus (like the swine flu) spread across our service region, making many of our customers very sick, with some loss of life. Then suppose that our community health and government agencies told us that we could no longer bring all these sports fans into the Elafino Sports Center. That would mean that Rinks 1 and 2 that each seat 3000, would be empty. That discussion led to another question:


Question: "What changes to our Sports Center would be necessary to stay in business without all those fans coming to see our Hockey and Figure Skating events?"

Response: The FAC suggested that the participants try using the OE21 Innovator process documented in OE21 6.1d Innovation and Risk Management. This OE21 process, like many of the sixty or so OE21 decision support tools, uses an online survey to collect data fast. Then the data is inserted into a spreadsheet model to examine the results. 

  • NOTE TO MANAGERS: The OE21 Innovator tool is one of the most useful in the OE21 toolkit. This tool is a rapid brainstorming tool that can collect 1 to 10 ideas from 1 to 100 responders in less than fifteen minutes. That means up to 1000 ideas can be collected in only one 15 minute session. Each idea comes with a one or 2-word "category," which speeds up the sorting and analysis of ideas.  

After using the OE21 Innovator process, the participants came up with ideas for ways to "repurpose" the Elafino Sports Center so that business could continue without all these fans coming and going into the facility. The following are the results of this brainstorming effort:

  • The Elafino sports fan benches will remain empty until the pandemic threat is over

  • New live streaming cameras and specialized equipment will be purchased and installed

  • Hockey games and Figure Skating live events will be streamed online to fans who use the Internet

  • Professional sanitation crews will ensure that every part of the sports center is clean and safe

  • Daily hockey, skating, and fitness customers will be limited and must follow social distance rules

  • The Concession stand will stay open for the smaller number of employees

  • The unused Restaurant will be repurposed for temporary use by local Medical and Doctor businesses

  • The unused Offices next to the Fitness Center might be leased for medical patient treatment

After reviewing these ideas, the CEO remarked:


"Good work! Now that is what I call collaboration, and I want to see more of this as we go along. I am beginning to see the value of this OE21 Program." 

Next, Iville Workem (VP Operations) contributed. Iville had been thinking about how to do this live internet streaming. He told the others that a good place to begin might be a supplier he found at:


Iville explained that companies like this could help the Elafino organization understand the technology, costs, and processes that will be needed. The CEO and CFO were glad to get this input. 

(3) Comparative Data - This section of the P.2 Organizational Situation document is about the key sources of comparative and competitive data available from within the industry, including limitations, if any, affecting the ability to obtain or use these data. The Elafino P.2 participants collaborated on this and came up with the following action plan:


  • The Elafino Sports Center Purchasing Manager will issue a contract to an outside demographic research firm, tasking them to identify at least ten (10) similar services Sports Centers outside the Elafino Sports Center service region. Once identified, the research firm is tasked to discover each center's advertized services, layout, size, estimated membership count, and an estimated population of its service region. These data are used to compare the Elafino Sports Center to the others. The purpose of this comparative benchmark is to discover new ideas that would improve Elafino's market position and share.  

b. Strategic Context - This section of the P.2 Organizational Situation document is a statement of key strategic challenges and advantages in the areas of business, operations, societal responsibilities, and workforce.


  • The Elafino Sports Center Vice President of Operations stated concerns that the XYZ Sports Center competitor is actively recruiting the Elafino's top Hockey and Figure Skating instructors. The risk of losing key persons is of great interest in the immediate future. The CEO flagged this item as one to be further investigated as a high priority. The CEO asked the VP Operations to take the lead on this. 


c. Performance Improvement System - The Elafino Sports Center documented the key elements of its performance improvement system, including the processes for evaluation and improvement of vital organizational projects and processes.


  • The Elafino Sports Center Leadership Focus Team (LFT) implements OE21 Guidelines, which comprise the performance measurement, analysis, and knowledge management processes and tools used for performance improvements. The following OE21 Guidelines are used for performance measurement and improvement:


  • OE Guideline 4.1 Measurement, Analysis, and Improvement of Performance; and


  • OE Guideline 4.2 Knowledge Management and Information​​

The Elafino LFT (IT Manager) published the final P.2 Organizational Situation document on a public password-protected page of the Elafino INTRANET. Next, he requested and received CEO approval of the list of people who receive the password to this protected document. 

Business Conference

Brainstorming in a Meeting Room

Remote Monitoring

Brainstorming Online with OE21 Innovator


  • Would you rather spend several hours in a meeting room in an open brainstorming session or would you rather spend 15 minutes answering a target question using the OE21 Innovator tools? 

  • Is the P.2 Organizational Situation document useful to start up or to help improve the organization's strategic planning process?

  • Why should the information in the P.2 document be protected from public access and from people who don't have a "need to know?"

  • What did you learn from your studies of this OE21 Standard P.2?

  • What do you think you should do to be a better manager?

Where we go from here: If you are reading this OE21 Case Study for the first time, continue to Case Study OE21 1.1 Senior Leadership.

If you are assigned to an OE21 Focus Team (LFT, CFT, OFT, or WFT) and are implementing the OE21, then go to your team's web page and continue ahead.

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