1. INTRODUCTION

Firstly, we want to explain this project purpose. This study is prepared by

Business Administration Department’s students at Hacettepe University. Our project

group chooses to analyze a huge technology shopping centre called “Vatan

Computer at Söğütözü in Ankara”.

We have choosed “Vatan Computer at Söğütözü in Ankara” because of many

reasons. If we need briefly demonstrate, we can focus on their growth rate and sales

figures. They make very big figures that a company which has been since 2006.

In this project we explain the organization’s goals, how they established their

mission, vision and principles, which strategy is used, how it formed and updated,

what are the organization’s internal weaknesses, strengts and external oportunities

and threats (SWOT ANALYSİS), relationship with social environment (such as social

responsibility) and their resources, suppliers, sales strategies, consumers, rules,

policies that are related whole organization’s activities.

In this project, we could try to apply what we learned at the “Organization

Theory Course” such as approaches, principles, modern techniques and tools which

are related the state of organization. When we analyzed Vatan Computer Söğütözü,

we tried to acquire the datas from interview with managers and employees,

observation of work conditions, market and article scanning.

VATAN COMPUTER

Vatan Computer was opened by Hasan Vatan at Taksim-Elmadağ, in 1986,

which had been a first computer shop in Turkey. Followingly this first store,

chronologically Topkapı-Cevizlibağ Store in 2002, Bostancı Store, İzmir Technology

Store and Vatan Computer at Söğütözü in Ankara, in 2006, Adana Seyhan, Bursa,

Konya Stores in 2007, Antalya, Kayseri, Batıkent, Bağcılar Stores in 2008, Samsun,

Mersin, İzmit Stores in 2010 were opened. Additionally, many notebook shops have

been started to service for Turkish people. Today, they have 72000m² total indoor

area and over 1900 employees.

VATAN COMPUTER AT SÖĞÜTÖZÜ IN ANKARA

Vatan Computer at Söğütözü was founded in December of 2006. It is located

at across the Armada AVM, near the Bayındır Hospital, 28.street, no.7 in Ankara.

When this store was built, it was the biggest technology shop in the work, because it

covers 18.650 m² areas. However, Japans made a bigger one. Therefore, it falled to

the second place in the world. The store consists of six floors and these floors

contain many active and passive areas. The four floor of this building is active area or

sales area. The floors involved with so many technological goods. And the other two

floors contain assisted services such as, technic services, V Cafe, conference rooms,

some managerial rooms, dining hall for employees, parking garages for 120 cars.

Every day 2000 customer comes here to buy some technological products and 145

employee gives them service.

VICE PRESIDENT SELÇUK ÖZDEMİR

He was born in1975. He graduated in 2006 Computer Programming from

Kocaeli University. He started to work HP for three months in 2007. After that, he

transferred Vatan Computer at Söğütözü in Ankara. He worked as a computer

salesman and he became a chief assistant and eight monhts later, he was appointed

to chief position. He worked at this position eight months. Since then, he has been

working a vice president.

BOUNDARY

We can seperate sales of Vatan Computer at Söğütözü in Ankara into two

parts. One of these parts is direct selling. As you know, it’s a common selling

technique which means sales to customers in the store. The second part is e-

commerce. When a customer buys something by www.vatanbilgisayar.com , their e-

commerce system, firstly canalize the sale internet warehouse. If internet warehouse

has the product, sales are confirmed from warehouse. On the other hand, if product

can not exist in internet warehouse, the system automatically research and transfer

the sale which store of Vatan Computer Store which has the most of this product. So,

we can say our company’s boundary is Ankara surrrounding to coming customers

and all of Turkey with their e-commerces.

MISSION

Vatan Computer aims at providing the most reliable shopping atmosphere with

the best prices, brodest product line and to fulfill the consumer satisfaction at the all

of the Turkish people.

VISION

The store wants to be at the highest position in the sector and market share.

Reach the goals with the best way.

They follow a term which is described “girene fatura”. It means sell product to

consumer who visits the store. Building doors and security personnel automatically

count how many people come to the building, and, thus they can oversee the “girene

fatura” process. They want to make higher number of “girene fatura”.

TASK

To provide company’s continuity and grow.

To accept trust, honesty, mutual respect and open communication, cooperation

as a basis,

To reach a real family atmosphere by improving friendships in order to provide

common goals and objectives together.

To give motivation to employees for increaing the sales and consumer

satisfaction.

To make constitute of consiousness to consumer.

They believe that Turkish consumer tends to being had attention, so they show a

high interest to customers.

To make a role social responsibility.

To provide good services customers not only the sales process but also the after

sales and service process.

To follow the current innovation and to put into practice in the daily operation.

To behave ethical to consumer and employees.

PRINCIPLES

Always to be initiator, even if it necessitate to take risk.

To open stores at attainable places.

Pay sufficient attention to intercorporate trainings.

To be innovative because of sectors requirements.

To give attention social responsibilities for our society.

Create high sense of belonging to employees and job satisfaction.

To minimize inefficient factors such as absenteeism and turnover.

If they need a new position, they prefer to appointment from inside personnel.

Reward personnel when they over target sale.

Watch the changes and opportunities for company’s growth.

INPUTS

The organization use various brands’ technological final goods.They provides

these goods from supplies which are depatmented as notebook, pc, oem, phones,

home electronics, digital photo machines, household appliances, small home goods.

OUTPUTS

The organization is in the service sector so their outputs are defined as selling

the final goods from suppliers to customers.

PERFORMANCE

The goals are setted by the center of Vatan Computer Campany for the

Söğütözü store. Managers divide the goal into the departments and performance is

measured by assessing these departemental goals. They call the departmental goals

as “reyon hedefi”. Performance of employees is being measured by “Tem Danışma

Örgütü”. They use another measurement tactic is called secret customers who are

charged by organization itself and they control the store in the basis of customer

satisfaction, store atmosphere and service quality. Furthermore, the goal which

divided to daily parts and managers makes meetings in order to get the daily goal.

When the daily goals are reached, a song called “Vatanımız için” is being played, in

order to keep team spirit high.

Absenteeism is not a problem for organization. The situation is controlling by

cards which are being used when personel check in to organization building.

Turnover ratios are very very small numbers for organization which are about

% 0,07.

Managers say that there is no deviation between the desired output and actual

output.They are enjoying having niche and the highest market share in IT sector

which includes pc, notebooks because of their competitive advantage.

The main secret of the company is building the stores near the highway

likewise AVMs.

2. External environment

Task environment

The industry sector

Competitors: Media markt, Best Buy, Darty, Electro World, Bimeks and

Teknosa is the powerfull and international competitors in market.

Raw metarial sector

Suppliers:Apple, Acer, Asus, Casper, Crea, Dell, Exper, HP, LG, Samsung,

Sony, Toshiba, Vestel, Microsoft, Blackberry, Nokia, SonyEricsonn ,Casio, Benq,

Kodak, Nikon, Canon, Panasonic, Philips.

The technology sector

Tecnology: Nowadays, tecnology is the most changing element in whole

market sector in the world and Vatan Computer Söğütözü is a technology hiperstore.

Moreover, they try to get the newest innovations in market and service it to

customers in the best price in order to get goals.

Market sector

Consumers all want is the quality with best price. So, making loyal costumers

is very difficult task in service sectors.

Economic conditions sector

Economy: Nowadays, crises are whole around the world. It affects the entire

human. The lifes desires, needs, preferences are all affected by costomers economic

condition.

Human Resources sector

Human resources sector is a key part of environment for all organizations.

Providing right skilled and enough employee curcial point for Söğütözü store.

General Environment

Government sector

Regulations, taxes, political processes are of course affect the organization

process.

Financial resources sector

Financial resources sector is made up of stock markets, loans, savings, banks

and private investors. This sector is a very important part of environment as all

profitable association has.

Socioculturel sector

It addresses demographics situations. It means that age, value,

belief, religion, work, ethic, which are affects the market sector and organization.

To sum up, it is clear that all environments have a huge impact on

organizations. Söğütözü store has various competitors in sector. Such as Bimeks,

Teknosa, Media Markt leads a wild competition in market and this brings a quality

and value for organizations which are on the field. In order to survive and grow,

Söğütözü store tries the best prices and they take advantafe of diversity in store.The

store has various suppliers so they have very broad scaled diversified products

nevertheless they try to specialize in notebooks.

The store has a rich supplier sources. It seems unplesant for organization but

infact, situtation that richness of suppliers and competition between themselves

provides a decreasing the risk of resources dependence. Moreover, there is a

coorperation with suppliers because here is an interdependance.

Vatan Computer Söğütözü is a technology hyperstore as we said before.

So their job is all about the technology. Furthermore, innovation in tecnology and

competition brings lower prices. Hence team leaders take initiative about saling on

lower price which is provided by other rivals and also they try to obtain the family

security which is included in organizations culture, to prevent decreasing on sales

ratio and losing customers. Thus, they aim to create and protect loyal customers.

Nowadays, the economic crises cause tough conditions as we all know.

Although, supplying the most differentationed goods with at best prices is not enough

for costomers. Therefore, the store makes a procedure called after saling process,

which includes setup, transportation and guarantee, to create value on his market.

Competition and international competitors cause risks for the store. In

order to reduce this risk, organization sets his target group or consumers as the

Turkish people to make clean “We are from these lands.”

The organization takes a service for human resources management from

outside of the company. Though, they try to promote their own employees for higher

managerial positions, not from outside.

So, a rich environment which has very unstable stucture leads a very high uncertainty. Thus, using Daft’s model of environmental complexity, we classifed the environment as complex-unstable in fact, all organizations environments getting more complex and unstable by contingency factors.

.

However, organizational desing is mechanististic and efficiency oriented

with vertical information linkages. Since, the main goal is getting the highest

endorsement.

The organization has complex and unstable environment because of the

sector they settled in called “technology”. So that, they control over their

environmental domain by marketing techniques rather than OT principles such as

positions and deparments or buffering and boundary spanning or differentation. On

the other hand, providing guarantee process is could be considered as collabration.

Moreover, agreements with banks about extra hire purchase and discounts are also

good examples of collabration. For instance, worldcard, bonuscard, axcess makes

extra hire purchase and discounts. In addition to this, people, who enter the Yapı

Kredi Online Banking website, will win presents.

Of course the most basic way called advertisement is another way to

control over the unstablity for market demand and also, the store wants to keep high

voltage communication by their public relations.

We can consider the situation of Söğütözü store on the basis of population

ecology. Since, the organization get niche and conduct a market and grew up. After

that, rivals such as Media Markt, Teknosa, Electro World get in the field. Moreover,

the store operated generalist strategies in market in order to survive.

There is such certain growing trend in market and endorsement for

organization. Greatness of store, wide scaled diversity in products, big market share

and past success and brand name of Vatan Computer provides a huge competitive

advantage for organization.On the other hand, technology service sector getting

bigger. The market structure is getting bigger than oligapoly, especially with foreing

invesments. This situation cause great threat for organization. Furthermore, rivaly

and power of buyers may lead threats in future time but in fact, it is a general thrat for

all organizations who are in the market.

TECHNOLOGY

Technology includes the knowledge, tools, techniques and activities used to

transform organizational inputs into outputs. An organization has not only machinery

in terms of technology. It includes both employee skill and work procedures too.

Technology is crucial for organizations and it influences an organization structure and

design. Because of the organization is in service sector, its technology can be

examined just being service technology. This technology has two characteristics

which are intangible output and direct contact with customer.

To begin with intangible output, none of the organizations’s works are tangible

output. They are related to servicing the tecnology. Also, they provide tangible goods

but the real job of organization is intangible. Thus, the structure and design of each of

these departments reflect its own service technology.

Customer direct contact is that influences structure is the need for employees

to be close to the customer. In this perspective, the store has hired on employees so

well. Because, the staff work on customer-oriented and so they are very cheerful and

positive energy.

One distinct feature of service technology, written communication between

departments are low, however verbal is high. Moreover, the management is

decentralized because the employees have to contact with customers directly. For

that, the staff has to own some responsibilities which break the centralization.

ORGANİZATİONAL STUCTURE

We discussed the formal organization stucture in the basis of these four basic

structural dinemsion elements. Formalization, specialization, hierarcyh of authority

and centralization.

Formalization: The organization that we are discussing is highly formalized

as all professional organizations do. Every job describtion, regulation, policy,

manuals, tasks are in form of written documents.

Specialization: We consider the degree of specialization is moderate. Since,

there are temas and tasks to get for them. For instance, goals which are set by

center of firm are divided into productional teams (notebook, pc, oem, phones, home

electronics, digital photo machines, household appliances, small home goods) and

they are expected to get the goals with as whole. And also there is staff teams

(installation, warehouse, costumer service, technic service, dispatching). We are

going to see in detailed in organizational chart. Moreover, the goal is divided to daily

goal by the store.

Hierarchy of authority: There is high and vertical hierarchy of authority for

organization. Hierarchy of authority tends to tall because span of control is norrow for

supervizors and managers. Every productional team have team leader. Reporting

process is can be described like this => Team members => Team leaders (chief

assistants) => Supervisor of product (chiefs) => Vice managers => General manager.

Centralization: Decision making proccess is highly centralized. The goals and

compaigns are set by center of Vatan Computer. Highly formalized and centralized

tasks are set by center of firm but the way of getting the goals is set by the store

itself. And, team goals and task are also set by head of the store. So, there is very

centralized stucture.

If the structure doesn’t fit the information requirements of organization, people

either will have too little information or will spend time processinhg information that is

not vital to their tasks, thus reducing effectiveness. An emphasis on efiicenency and

control is assciated with specialized task, a hierarchy of authority, rules and

regulations, formal reporting systems, few team task forces, and centralized decision

making which means problems and decisions are funneled to top levels of the

hierarchy for resolution. Whereas, we all discussed about the contingency factors

which means things depend on other things, changing leads a chaos for all systems

and organizations. In order to reduce risks, organizations get flexible position. Thus,

organization has teams and horizontal information linkages between them to settle in

environment.

In the light of these informations, we can see an efficiency desing, although

many stucturein the real world don’t exist in the pure forms in the Daft’s text book,

like the Söğütözü store. For instance, they have highly centralized and long vertical

hierarchy of authority with both vertical and horizontal information linkage and

moderate specialization with more teams. Thus, organization use a hybrid stucture

that combines characteristics of various approaches tailored to specific strategic

needs. This hybrid structure combines characteristics of funtional and horizontal

stuructures.They decided that the horizontal model offered the best chance to gain

faster, more efficent, integrated approach to customer service. Each team has a

process owner (chiefs) who is responsible for seeing that the teams meet overall

objectives. The store retained a funcitonal structure for finance, strategy and

communication, and human resources depatment. Each of these departments

provides services for the entire division. A hybrid structure is often preffered over the

the functional, divisional, horizontal, or modular stucture because it can provide some

of advantages of each and overcome some of the disadvantages. And the Söğütözü

store is exactly doing a hybrid sturcure on a functional structure.

STRATEGY

Strategy is consist of the current set of plans ,decision,and objectives that is

interact with competitive environment because of achiving the goals of

organization.In other words, strategy represents “how the organization reach its

goals”.Therefore,managers select the strategy which is most appropriate for the

organization then put in practise.Like other organizations,Vatan Computer has

selected the appropriate strategy to achive the goals within the its competitive

environment.In this part we analyze the strategy of Vatan Computer through the two

perspective.First model is “Porter’s competitive Strategy”,and the second is “Miles

and Snow’s Strategy Typology”.

A) PORTER’S COMPETITIVE STRATEGY

In this model,strategies are split into four groups and we determined the most

convenient dimension is low-cost leadership dimension for the Vatan computer in

consequence of our investigation.According to low-cost leadership

strategy,organization want increase the market share by emphasizing low cost when

compared with competitors.Vatan Computer’s general manager asistant Selçuk

Özdemir says that;”If the price of any products are selling more cheaper any

computer organization than our store and if this cheaper price will cause our

costumers shopping the other computer organization,Vatan computer beat down the

price of the said products and prevent the loss of costomer.We don’t want put a risk

our sales amount as this issue.”This evidence shows us low-cost leadership strategy

dominates the strategy of Vatan Computer because of avoiding of risk taking and

servising low-cost rather than competitors.

Another point is that Vatan Computer aim at more advertising with lower

advertising prise.Mr.Selçuk says that;”We strive low cost advertising through low cost

campaign.For example, we opened the notebook stand at the Yeşilköy Semt Pazarı

in recent times. Thereby, we had the big loopback with this tactic which is not thought

formerly by any organization.By courtesy of notebook stand, Vatan Computer to

attarct publicity at lots of written and visual media.”This situation demonstrates that

the organization aggresively seeks the efficent facilities rahter than taking risk and

seeking new opportunities.

B) MILES AND SNOW’S STARTEGY TYPOLOGY

According to this model, organizations strive for a fit amoung internal

organization charcteristics, strategy, and the external environment.The model is

based on the idea that managers seek to formulate strategies that will be congruent

with the external environment.There are four dimensions in this typology: the

prospector, the defender, the analyzer, the reactor and between them most suitable

is defender for Vatan Computer.Vatan Computer reflects the all characteristic

features of defender dimension.

Firstly,we examine that centralized autority.It means decision making is limited

to higher autority.Purcasing,advertising and similar operations are identified by the

center of Vatan Computer Campany for the Söğütözü store.Vatan Computer must

behave this identified schema and can not have any reaction at these matters.

Defender dimension brings along the close supervision.When a deviation

occurs at the any depatment it must be documented up to top managers.All

supervisors and managers responsible for documentation any trivial or significant

error.

Another important term for Vatan Computer is low overhead which provides

efficiency of organization and stability.

According to defender dimension, we can say that hold into current customers

is most important thing for Vatan Computer.İnternal efficiency; high quaility serving

and control of serving reliable, satability is also effect the organization’s strategy.

However,we must mention Vatan computer’s risk-taking approach.The

purpose is earning profits while growing .They make this take risk at the right

time.Organization’s the biggest risk-taking comes true on 2006.Because they opened

the Turkey’s big hyperstore “Söğütözü Vatan Computer” at the perriod of

depression.Mr.Selçuk explain the organization risk-taking:”Some campaign is a risk

actually.”Therefore we can say that that they want to be effective and risk-taking with

sometimes not always.According to defender dimension, we can say that hold into

current customers is most important thing for Vatan Computer.İnternal efficiency,

high quaility serving and control of serving reliable, satability is also effect the

organization’s strategy.

CULTURE

In this part we examine the Vatan Computer’s culture according to Charles

Handry classification of organization culture.There are four dimension;club

culture,role culture,task culture and existentialist culture and most convenient culture

classification is task culture for Vatan Computer.With respect to task culture, mission

is the most essential thing for task culture and if the mission is incomplete,the

oragnization is fail.Also jobs is important but another important thing is individual who

works these jobs.Personal charecteristics takes role the raising to low from the top.If

employee works hard,expertise the own department,show ability in the works

group,he or she can be raise step by step at he organization’s hierarchy.Because

hierarchy is formed according to expertisement degree not the positions.We call the

this situation “meritocracy”.For example Vatan Cpmputer’s assistant

manager,became the oraganization a subsupplier firm’s employee.But in time of, he

raise the assitant manager position.Teamwork,collaboration are also important

factors at the task culture.

Because of personal characteristic,individual employees responsible for a

specified level of performance.Performance is divided into days and employees try to

reach the designated goals and the organization promises specified rewards in

return.Managers eveluate the performance of the employees at the end of day and if

ring the “Vatan Song” at the store, employees understood they earn the extra prim.

Teamwork, collaborations are also important factor at the task culture.All

personals get together every campaings and help each other.Mr.Sleçuk says

that:”Some campaigns are too much exhaustive but i observe wheter or not working

all day we always leave the store with smile on our face, because of real family

environment, colloboration and teamwork.”

SOCIAL RESPONSIBILITY

Vatan Computer at Söğütözü on Ankara place special emphasis on social

responsibility. One of their things for doing social responsibility is free computer

courses. They make this course periodically on the conference room of building. This

course contains 80 hours computer and computer application education for 160

participants. The main purpose of this course introduces people to computer and

Vatan Computer. Thus they want to make “taraftar müşteri” for themselves.

The second and very important social responsibility of our company is raising

a school building. Until now they have raised two schools. One of them is “Cemal ve

Zekiye Vatan İlköğretim Okulu” the school is in Ardahan with 14 classes. In addition,

“Hopa Anatolian High School” with 16 classes was made by them. They take this

social responsibility the same reason of computer courses “importance of education”.

3. RECOMMENDATION

Vatan Computer at Söğütözü in Ankara uses the advantages of the first company

on this market. By this means they are leader in the information technology sector.

They are awareness of their size power to all their stakeholders. They use their

purchasing power to suppliers and buy cheaper product and sell cheaper product. In

the same time they have very big superciliousness, it may gives them damage to

future. They must think just like a simple star, not a Procyon.

Their organizational structure is hybrid and it partially change by situation. It

provides them flexible structure in rigid structure. This changeability increase sales

and efficiency. But still they have a very rigid and hierarchical structure. In view of

they are a technology sale company they must be more and more flexible

Organization’s physical environment needs some arrangements. If we need to

give an example we can focus their parking lot. This place is ragged, messy and

covered in mud. It reduces company’s quality perception in the first place. They must

revise this area.

To attain information about company is limited. Their internet site is inefficient. In

the same time they should regard advertisements for Increase Company’s market

recognition.

4. CONCLUSION

They have coorperations with their suppliers, financial sector and “market”. That’s

the main point that they want to provide in market. The main idea is two sided making

profit, both the organization and market.

The store has clear mission and vision statement.

The general and specific (teams and individuals) performances are at desired

levels.

The organization has an unstable environment in the basis of suppliers,

competitors, technology, market, economic conditions, and human resources

sectors. However, they are doing very well with their efficiency desing. Since, they

adopted and controlling their environment with high quality and low cost servicing

with high tecnology and enjoying having nice marketing and having the higest market

share in IT sector.

They have an efficent desing with hybrid sturcture. Teams tasks and moderate

specification makes them more flexible, in order to adopt environment.

As we said before, main goal is getting the highest endorsement. So they are

using a mechanistic desing, despite the fact that having a complex-unstable

environment. In fact, this situation comes from, where organization servicing sector,

technology. We have mentioned about the contingency factors. That’s the way of

contingency factors how effects on organizations. They are servicing a good, it’s a

clear situation, but when technology comes to field, situation gets more complex and

more. It’s the main impact of contingency factors.

The organization has a clear norm and well built culture which helps them to have

loyal customers.

They have right strategy on this market and they are enjoying it.

Actually we are seeing no threats from outside but growing such this high speed

may cause some connection problems in teams and for whole store. One more point,

they seem weak on household appliances and small home goods. They should

enlarge product diversity scale in these departments. Of course, rivaly and power of

buyers may lead threats in future time but in fact, it is a general threat for all

organizations which are in the market.

Social responsibility is another point where they are good at.

Referances

DAFT, Richard L. (Eighth edition), Organization Theory and Desing, Thomson Southwestern Publishing, USA, pages, 11, 17, 18, 22, 26, 28, 53, 55, 56, 62, 63, 65, 89, 90, 91, 99, 117, 136, 137, 138, 141, 142, 143, 153, 176, 178, 182, 183, 184, 185, 186, 361.

Vatan, Hasan, 2010, Bu Vatan İçin Neler Yapmadık Ki? pages, 25, 107, 157, 179, 197, 241, 250.

Vatan Computer, online, http://www.vatanbilgisayar.com/

http://www.google.com.tr/