The success of the Lego Brick

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The very first LEGO brick was sold in 1949, and was called an Automatic Binding Brick. Just like the modern LEGO bricks in our collection, this brick had studs which could be used to connect the top of one brick to the bottom of another. However, its because automatic binding bricks has hollow, construction made with these bricks were a bit unstable. This inspired the inventor of the LEGO brick, Gottfried Kirk Kristiansen, to spend night and day trying to figure out how to give LEGO bricks more grip power. Eventually he came up with a brilliant idea -- tubes! The newly redesigned LEGO brick was born and introduced to the toy market in 1958. Since then, more than 2500 different LEGO elements have been designed, and over 327 billion LEGO elements have been

produced by their factories!

The basic parts of a LEGO brick.

Lego system:

Mostly all the LEGO systems have been derived from the LEGO bricks. LEGO system is an open ended systems which enables us to make whatever we imagine!! Based on the stud-and-tube coupling system that is used to connect LEGO bricks), it works on the principle of stacking elements together to build models. Every LEGO System element is derived from the two most basic elements, bricks and plates.

A brick is defined as an element that is at least 8mm wide, 8mm deep and 9mm thick, and has at least one stud on top. A plate is similar to a brick, but is 1/3 the thickness of a brick in height. This shows that three plates add up to the size , height of one brick.

It features several special plates, including a group of plates with no studs on top called tiles. You can use tiles to provide a more finished look for your model. Another special plate called a half stud has only one stud on top so elements that you stack on top of it will shift slightly. Although not as thick as a standard plate, base plates form an excellent starting point for your models, as they ensure that the base of your structure will stay stable as you build.

Another basic element of LEGO system is the roof brick, mostly used for making roofs on houses and buildings. Roof bricks also make great noses for large-scale figurines! A roof brick is identified by the fact that it looks like a regular brick with one side flattened. The pitch, or angle, of a roof element is either 30° or 45°. A 45° angle has a steeper slope than a 30° angle, which means that you can make a steeper roof with a 45° roof brick.

Lego technic:

The LEGO TECHNIC building system was first released in 1977,it was developed so inventive builders could create even cooler LEGO models that amble, cavort, wobble, quake, and otherwise move in all sorts of fantastic and imaginative ways. The TECHNIC system includes specific elements such as axles, beams, connector pegs, and gears, which are all generally compatible with the standard LEGO System elements. one can use these TECHNIC elements to add lots of movement and functionality to their LEGO models.

When designing a TECHNIC model which comprises of moving parts, one should first spend some time studying how things move in the world around them. Take a good look at the bike, and see how the wheel turns when pedalled. Watch how the gears mesh as you turn the crank on a simple can opener. Study how your pet moves its legs as it runs from your kid sister.

Movement is generally regulated by basic mechanical principles, and TECHNIC models which involve movement can be called machines. Whether it's very simple or highly complex, a machine is something that helps you perform work. Machines actually transfer energy (for example from your bikes' pedals to its wheels), and can be used to make something move faster (or slower), change direction, or work harder.

Lego's turnaround:

Mr Christiansen's heirs decided to work on by the family business. They invested some DKr800m of their own money and appointed Mr. Jorgen Vig Knudstorp, a former management consultant at McKinsey, to get their company back on its path. After talking to toy retailers, who told him not to deal with Lego's brand or its core products, so he decided to fix it rather than reinventing the firm, which had gone astray when it branched out into businesses it did not understand.

The logic of diversification was compelling, says Mr Knudstorp, but Lego went about it the wrong way. It tried to become a brand with its own range of watches, clothes and video games. And as it tried to catch attention of more girls, it deviated from its main customers, boys aged five to nine. "We had become arrogant-we didn't listen to customers any more," says Mr Knudstorp.

Lego's turnaround plan, was launched in March 2004. Around 3,500 of the firm's, 8,000 employees were laid off, with more cuts to come: almost half the 2,400 workers in the firm's hometown of Billund will lose their jobs over the next three years...The new boss also had simplified the management structure and made a more commercial culture through a performance-based pay scheme and frank communication between management and employees. "We were not used to speaking about money," says a Lego employee.

A 1 . At first Lego had a very bright future. But as and when the time passed by the company became over confident of its success n started taking things as it came. They also deviated from their main customer that were kids and focused on girls. Than Mr. Christiansen's decided to join their family business and hired Mr. Knudstorp, and it was than that all the changes in the design of the organizational structure took place.

The company splitted its innovation in 8 different parts, and also divided the responsibility in the four different areas.

RESPONSIBILITY Functional Concept Product and Marketing Community

Groups lab Development Education and

(PMD) Direct (CED)

By adopting these strategies the company could actually know the actual labour intensive capital to be needed and also how many employees are required. This also helped the company to know the actual knowledge of the employees in a particular field. And as it was divided in to several groups , there would be more numbers of idea generation which would lead to better innovations, ultimately resulting to the success of the company.

A 2. Organizational culture is an idea in the field of Organizational studies and management which describes the psychology, attitudes, experiences, beliefs and values (personal and cultural values) of an organization. It has been defined as "the specific collection of values and norms that are shared by people and groups in an organization and that control the way they interact with each other also known as "beliefs and ideas about what kinds of goals members of an organization should pursue and ideas about the appropriate kinds or standards of behavior organizational members should use to achieve these goals and the LEGO main objectives were to lead the industry in creating values for the customer and sales channels , to refocus on the value offered to customers & to increase operational excellence. To achieve the turn around their innovation level went from low to high and their area of innovation were sales , operations , financial planning & marketing planning.

A.3 Organizations do not organically develop into Learning Organizations; there are usually factors prompting their change. It has been found that as organizations grow, they lose their natural capacity to learn as company structures and individual thinking becomes rigid . When problems arise in the company, the solutions that are proposed often turn out to be only short term (single loop learning) and re-emerge in the future . To remain competitive, organizations have restructured to work more effectively. To create a competitive advantage, companies need to be able to learn faster than their competitors and also develop a customer responsive culture. This requires co-operation between individuals and groups, free and reliable communication, and a culture of trust is applied to this case study.

A.4 LEGO manages take a broad view of innovation that includes not only new products , but pricing plans, community building , business processes and channels to market all of which can be powerful business drivers - states In the organizational context, innovation may be linked to performance and growth through improvements in efficiency, productivity, quality, competitive positioning, market share, etc. For innovation to occur, something more than the generation of a creative idea or insight is required: the insight must be put into action to make a genuine difference, resulting for example in new or altered business processes within the organisation, or changes in the products and services provided and LEGO gave importance to this innovating ideas to make a turnaround and achieve the goals.

A.5 Fashion and trends in the toy industry are changing faster than ever, and it becomes increasingly difficult to predict children's toys preferences . The LEGO group meets this challenges with a determination to bind consumer, fans, retailers even closer to the organization . It continues to be LEGO group's primary purpose to supply good play - developing children and helping them to face the challenges of tomorrow. At the same time group will continue to improve its product range so that the latest products will always be ready to face the competitors. So yes, it's clearly justifies that LEGO can be described as a service driven organization. .