Paul Fortune was the GM for HI, came from England in April 2002 to the preparations for RDH. Problem: The challenge was to transform a large group of family-based employees, working under an ad-hoc management style, into a professional group of dynamic employees operating within a structured international organizational culture. Fortune also realized that many of the existing staff, who had been employed for as long as 30 years, were limited in their work professionalism and the ability communicate in English. Opportunities: Fortune has to reduce the number of employees from 675 to 350 employees by November 2002. A two month training period for all employees would being in search for employees with the right attitude and ability.
Politicians in Washington were supposed to work on a permanent plan over the past year and a half. Last year's temporary payroll tax cuts will expire, hiking taxes on all workers by two percent. Everyone will have to make the decision what they feel will be the best interest for the U.S. economy (Hoehn) . Both parties agree that something must be done. They must find a solution to fix the debt for the U.S.
In groups of three or four, make a list of possible reasons that the actual ending inventory might not agree with the ending inventory according to a computer system. Jason Tierro, an inventory Jason Tierro, an inventory clerk at Lexmar Company, is responsible for taking a physical count of the goods on hand at the end of the year. He has been performing this duty for several years. This year, Jason was very busy due to a shortage of personnel at the company, so he decided to just estimate the amount of ending inventory instead of doing an accurate count. He reasoned that he could come very close to the true amount because of his past experience working with inventory.
However, this situation would make the company incur more loss next year, which is about negative $ 293,586. In the mean time, Barb Shepard, the company’s owner, wants to sell the company soon, and she knows a purchase price would be determined by three main factors: the absolute level of profits, the rate of growth in profits, and future potential growth in the market. Barb Shepard also wants to reduce bank debts as soon as possible. Therefore, the company needs new strategic initiatives very much to improve operating profitability and move forward next year. Each of three vice presidents has rendered a separate and distinct strategic initiative, and they are “Introduce a new product”, “Increase promotion”, and “Raise prices and cut costs” respectively.
The Erih T should have asked the HI to do a study on RDH even before signing a contract. Whatever happened at RDH was pretty much predictable. Almost 50% turnover within 3 months cannot be a cost cutting but a question in the mind of people that why would someone do so. This would then affect the business because the entity which is in controversy has always suffered loss and took time to come on the track. It also shows that there was a miscommunication between the HI and Erih T as HI took the task as a long term plan and gradual change.
They both plan to retire 45 years from today. Because their budget seems tight right now, they had been thinking that they would wait at least 10 years and then start investing $2400 per year to prepare for retirement. Tricia just told Tom, though, that she had heard that they would actually have more money the day they retire if they put $2400 per year away for the next 10 years – and then simply let that money sit for the next 35 years without any additional payments – than they would have if they waited 10 years to start investing for retirement and then made yearly payments for 35 years (as they originally planned to do). Please help Tom and Tricia make an informed decision: Assume that all payments are made at the end of a year, and that the rate of return on all yearly investments will be 8% annually. 1.
Operating Budgets Paper Arin Lawson February 23, 2015 SEC/370 “A budget tells us what we can't afford, but it doesn't keep us from buying it” William Feather Operating budgeting helps to establish and achieve the costs and revenue to run your business. When having a budget plan it helps you follow a plan to control your day to day income for your business. There are two poplar budgeting strategy’s that are used by many companies; Incremental budgeting and Zero-based budgeting. There are also pros and cons to these budgeting strategies. Incremental budgeting is when you take last year’s budget and add more or less to it depending on what you’re looking to do with your budget for the year.
I am somewhat confident with my answer because I used simulation process correctly to find the loss of revenue and also, I used random numbers for calculating this. There are some limitations with the simulation process. The first one is that the cumulative weeks will generally not add up to accurate 52 as in my work, the final cumulative week comes as 50.968 so this is not the revenue lost in exactly 1 year. Also, if we apply simulation again then we will get the different answer for revenue loss. Therefore, it is better to apply simulation a number of times and then take the average of all those
As far as being 100% effective goes, the employees may still be able to effectively do their jobs, but she has to take into consideration the fact that by not getting new equipment, the methods in which they do their jobs is outdated. If they wait to make the purchase until prices go down to a level the supervisor finds satisfactory, the employees may no longer be able to work at the “100% efficient” level. I would also explain the concept of Moore’s Law, the prediction that computer performance would double every 18 months, to the supervisor. This would allow her to see how important it is to stay
Mantkelow (2014) explains lean manufacturing as based on "finding inefficiencies and removing wasteful steps that don't add value to the end product." Lean operations helps to reduce waste in production by using resources to only produce what the customer is demanding. A company that is using lean operations has measurable throughput. “Every minute that a product is not sold the cost accumulates and the competitive advantage is lost, this is the manufacturing cycle time” (Heizer and Render, 2010) this analysis could have been used to scale down production in the third and fourth quarter when it became obvious there was excess inventory. For starters, there is no value in holding 60 days' worth of inventory, to adopting lean principles would immediately help us to commit to inventory reduction and better alignment between production and demand.