Document Analysis Exercise:
Discussion

Here are two authentic documents from a local software company, all sent within the last few months. As a group, read through these documents and answer the following questions:

1.What image does this company portray?

2.What image does this company seem to want to portray?

3.What is the objective (main purpose) of each message?

4.To what extent are these documents adapted to their intended readers’ needs?

5.What analytical tools or perspectives seem most useful in analyzing these documents?

Analysis

Select one document to analyze in class as a group. Explain (as if you are talking to the company) what your analysis shows, then make a specific recommendation. Your analysis and recommendation should be based on the company’s image and the document’s objective. You need to demonstrate that a change is needed, then coherently explain why and show what it would look like. Try to avoid concerns such as spelling or punctuation as your main focus. Groups will report briefly to the class on their analysis and recommendation, but no formal presentation is required. Turn in your written analysis (can be in the form of notes, outline, and/or comments on the text of the document).

Text of a speech delivered July 31, 1998, by new President and CEO Kim Watson (also distributed via e-mail to all employees):

TXS Colleagues,

We are experiencing an exciting time at TXS that is creating many changes and growth. The company’s leadership and Board of Directors made the decision in late 1996 to take TXS to a higher level as a software company. It’s our time to capitalize on our core assets and the market’s accelerating interest in using structured information as a vehicle to enable faster time to market, reduced costs and improved customer care. Additionally, thanks to the proliferation of the Web and the ratification of XML, a broadening market has heightened awareness and anticipation of numerous benefits which will become a reality from reuse of structured information. We aim to be the first company in the world to bring this reality to the masses in an easy-to-use, easy-to-adopt powerful suite of applications, all powered by XML. We’ll call this new space SuperDoc. It all will begin this fall. Our strategic planning is complete, the whole product is under way and the plans are being laid for our “assault” on the market.

The company has already responded to the challenge of growth by increasing revenues 40-50% per year for the past 3 years. As satisfying as this may seem, in order to be a top player in the broader and emerging document supply chain marketplace, we will need to grow faster and operate at a higher efficiency rate than ever before.

Therefore, effective today we are announcing a series of initiatives to prepare TXS for becoming fit for the coming months where we will re-launch TXS in a broad and exciting market, where it will compete to become a very significant software entity. In order to be the best, TXS will need to “shape up” its bottom line, add some incremental talent to the senior management team, focus on excellence in execution of products, services, sales and marketing and expand globally.

First, in order to position ourselves for this new era of competition, we are announcing a series of organizational changes.

1. We have initiated a number of key executive searches which I’ve referred to in our earlier discussions which include a chief financial officer, a managing director of Europe, Middle East and Africa (EMEA), a vp of core engineering, a leader for the new applications team as well as Sue Small as our business development manager. We’ve also recently recruited John Doe to lead north American sales and Jane Smith to lead worldwide recruiting. We are making good progress on these searches and hope to have more news within 30 days.

2. We are pursuing the expansion of our European presence by opening a European hub office in London and a smaller satellite office in Paris. We hope to have a team of 8 to 10 employees in Europe before year-end. A number of current TXS employees will be asked to help us establish our presence and will be going overseas for either a few months and in some cases for a year or more. The newly recruited MD for EMEA will report into Bill Jones. Current sales directors will report into the new MD when on board. Two strong candidates for the MD position will be visiting us in the U.S. next week.

3. We are in the final stages of recruiting a new core engineering leader for Ann Arbor and hope to have someone in place by late summer. We are creating an applications development team to be based in Boston that will consist of 10 to 12 developers, QA and documentation who will be focused on developing our vertical applications on top of our core engines and our main product. Some individuals from the group which used to be called “app/dev” and core engineering will be transferring to this team under the “Applegate Project” banner effective today. Some members will also be relocating to Boston.

4. Marketing will be playing an increased strategic role in TXS’s future. We will be adding to our investment in marketing this fall and next year in order to maximize our opportunity to leverage our new product offerings for the targeted vertical markets. This means increasing our presence in those markets through trade shows, seminars, speaking engagements, mailings, advertising, PR, white papers, web site, etc. We are also announcing today that Cal Neumann will be taking over the role of vice president of product marketing in Ann Arbor, giving him an opportunity to focus on a highly strategic area of our future. Cal will report into a new vice president of marketing who we are recruiting in Boston. Cal will remain the vp of marketing until the recruit is concluded.

5. Effective today, Sarah White will be assuming responsibilities for operations in addition to information technology. Cara Martin will report directly to Sarah, who will continue to report to Bill Jones.

We‘d like to clearly define the office configuration for TXS going forward so everyone understands the plan. Each major office will be called a “hub”. We plan to have hubs in Ann Arbor, Boston and London by the end of 1998. Each hub will have a distinct set of roles, some which may overlap. There will also be some “satellite” offices which connect to the hubs but are smaller in size and scope. We may add more hubs and satellites in the coming years, based upon the business requirements. Overall, we plan to decentralize the company and distribute functions across the hubs. Ann Arbor will be the hub for core engineering, professional services, operations and fulfillment, information technology plus some other administrative functions. It will also serve as a regional sales office. Bill Jones will have the responsibility of leading the Ann Arbor hub. Boston will become the corporate ices as well as acting as the hub for sales, marketing, business development, applications development and some other administration functions. It too will serve as a regional sales office and offer a training facility. London will be the hub for all European based sales, marketing, support, professional services, engineering (if any) and some administration. Paris will be a satellite sales and support office reporting into London. The MD for Europe will be responsible for leading the London hub.

We are announcing a restated 1998 orders goal of $23.5M. This represents approximately 50% growth over 1997. A desirable and achievable objective to strive towards. All formulas for calculating the Q3 and Q4 bonuses qualifying employees will now use the $23.5M figure (Q3 = $5.5M and Q4 = $l0.lM). We’ve agreed to restated goal based upon the desire to set objectives that will stretch the organization but are within reach if we all work hard together.

We are going to have to curtail expenses in order to get spending back in line with our revenues. Effective today, are going to be reducing the workforce by approximately 20%. This will be accomplished by a) automatically replacing positions that become vacant, b) re-assigning and in some cases relocating individuals to w positions or by c) a staff reduction for some positions. The decision to reduce staff is always difficult and pacts many parts of the organization. However, we will be as helpful as possible to assist our colleagues who have been impacted by this action, to quickly find new positions with new firms. Thankfully, the economy is at all time low for unemployment and many of the skills of our employees are in great demand. Those impacted by this change have been notified this morning.

We are also going to consolidate our offices in Ann Arbor and lease out portions of the first and second floor to subtenants. We have ample space available to be comfortable and save close to $200,000 per year in expenses offering part of the building to sub-tenants. Those departments that will be impacted will be notified of the move plan within the next 30 days. Over the next several month we’ll share plans to introduce a series of environmental enhancements to help make our workplace more and more comfortable and stimulating.

TXS is preparing to lift off on the most exciting journey it has ever dreamt. We need to have the right amount of runway, ballast and engine power to soar and climb to maximum altitude. The flight plan is complete, the trip plotted out and the reserves are being stored for this adventure into uncharted territory. In order to achieve lift off and reach our destination, we’ll need to get accustomed to change and learn how to turn it into wind under our wings for competing more effectively.

We will continue to be open, honest and forthright with each of you in an effort to keep you educated and informed so you can use your assets to help assure our success. Our goal is clear and simple: near term- to become the dominant leader in the global document supply chain market and longer term- to become one of the world’s most significant software companies. We challenge you to challenge yourself and your colleagues towards making TXS a better place to be.

Regards,

Kim, Frank, Bill, and Cal

This document was e-mailed to all TXS employees on March 31.

On March 9 of this year, Susan Mitchell submitted her resignation letter to me, effective April 1. Susan told me that she was resigning to join Adobe Systems as VP of Engineering for Enterprise Software. She said her duties at Adobe would include software development and product.

Adobe is, of course, TXS’s number one competitor.

On December 31, 1996, Susan signed a Severence Payment, Non-competition and Nondisclosure Agreement with TXS. Part of that agree reads as follows:

Employee hereby agrees that, while employed by the Company and until six months after the Termination Date, Employee will not... own, operate, invest in, lend money to, be employed by, consult with, render services to...any computer software or typesetting business...which competes with any computer software or typesetting business owned or operated by the Company....

Susan told Cal Neumann [then company President] that, in Susan’s opinion, the noncompete covenant was not enforceable in California, where Adobe has its headquarters.

Having no reasonable alternative, TXS has filed a complaint against Susan in the Washtenaw County Circuit Court. We are asking the court to enjoin Susan from ever disclosing TXS confidential information and to enjoin her from working at Adobe or any other competitor until October 1, 1998.

The hearing date is set for next week, March 25.

While we are engaged in legal proceedings against each other, Susan may not enter TXS’s premises unescorted. Susan’s escorts will either be Bill Jones [VP of Research] or me.

With Susan’s resignation, her direct reports are now reporting to me. Bill Jones and I are going to work closely to keep engineering moving forward aggressively, with Bill devoting his time to the creative aspects of engineering and me devoting time to process issues.

If you have any questions about Susan’s departure, please arrange a time to speak to Bill Jones or to me.

Thanks!

Cal Neumann