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Micro-Electronic Products Division (MEPD) of SMA is faced with both financial and organizational problems. The financial problems, specifically a decrease in growth, are result largely from a failure to keep pace with the market¡¯s demands for new product development. The organizational problems stem from conflict and lack of coordination between departments. The two main changes are behind these problems: The first one is a change in business environments surrounding MEPD. The other is a change in organization and ma