OVERVIEW OF CASE 5
In this final Case of the Integrated Case Project, you will to take a look at feedback loops in Red Hat Enterprise. Identify one Balancing Loop and one Reinforcing Loop. Draw on the background readings from this module in constructing your diagnosis. Within each of these feedback loops there are opportunities for learning and improvement.
CASE 5 ASSIGNMENT:
You need to present two cases in this paper. For each Feedback Loop (Balancing and Reinforcing) Make a Case for the Learning Opportunities.
Case Expectations: This is what you need to do:
1. Generate evidence for the grounds of your cases. Describe each Feedback Loop that you identify in your organization and explain why you selected them. Make sure you explain the Loop, the cause and effect process within the Loop. You could also include a Causal Loop Diagram. If you do, show the arrows and direction of affect (+ or -). Also, determine what the warrant is for your case.
2. Briefly discuss the theory of organizational learning (the warrant and additional grounds.)
3. Identify the opportunities for organizational learning in each Feedback Loop. Make a Case that these are learning opportunities. Logically show how the feedback process provides an opportunity for the organization to learn and improve its performance. Be precise. Depth and breadth in your discussion is always a good thing.
Be sure to include your references.
Running Head: FEEDBACK LOOPS IN RED HAT ENTERPRISE
Feedback Loops in Red Hat Enterprise
Feedback Loops refer to a system in the organization, which assists the company to develop the events and strategies. It is an action defined by the company through which the management sent the information related to the input system in the form of input data. According to Patti (2004) system feedback loops can be explained as a casual path that provides both positive and negative feedbacks of the input data to the organization.
For Red Hat Enterprise, there are basically two types of feedback loops are available: balancing and reinforcing loop (Bellinger, 2004). Both the feedback loops have different need and both provide different opportunities to the organization. This paper is associated with the Feedback Loops used by the Red Hat Enterprise.
Balancing Feedback Loop
The balancing loop can be defined as the process through which the organization can achieve the objectives in an appropriate manner (Patti, 2004). The balancing feedback loop results in goal-seeking behavior (Larsen, McInerney, Nyquist, Santos & Silsbee, 1996).
Figure 1: Balancing Feedback Loop (Bellinger, 2004)
As shown in the figure 1, in balancing loop two states are available: current state and desired state (Bellinger, 2004). For example, if the management takes the strategic decision to increase the staff by 15 percent, it is called a balancing loop and the feedback of this loop would be based on the gap between the current state and desire state (Larsen, McInerney, Nyquist, Santos & Silsbee, 1996). Another example is the decision of the firm to increase its sales by 20% annually, it would be known as balancing loop (Patti, 2004, pg. 161). These are recognized by examples of balancing loop because in both of these, the management is putting effort to increase the performance of the firm (Bellinger, 2004).
Financial Performance of Red Hat Enterprise: According to the annual report of 2009 of Red Hat enterprise, the company has become able to achieve its pre-established target of increasing its revenues and profitability. At the end of fiscal year 2008 the revenue of the company was of $135.4 million (Red Hat Reports Third Quarter Fiscal Year 2008 Results, 2009), whereas at the end of fiscal year 2009, the revenue was calculated $194 million (Red Hat Reports Third Quarter Results, 2010). The net income and profitability of the company are increasing without any obstacle. This is a skyrocketed performance of the firm.
One of the main reasons behind the good and profitable performance of the Red hat Enterprise is the ...
A feedback loops for Red Hat Enterprises are examined.