Critical Issues The obvious problems that exist in BTC include staffing and decline in sales. Staffing has become a strenuous issue in the company, since there are many locations that have physical store buildings built but are sitting unstaffed. This problem not only involves in having a high labour demand, but extends to hiring the right employees that meet their standards – which increases the difficulty to meet the labour supply. In addition to that, the company has a high turnover rate due to the constant change in compensation, which consequently results in sales decline in the organization. To summarize, the critical issues with BTC are the following: - High Labour demand - Low Labour (that meets the standard) supply - High turnover rate - Sales decline Analysis Recruitment Staffing the stores, as stated by Nkere Udofia, the vice-chairman of Montreal BTG, is BTG’s most challenging issue.
Managers who failed to follow the rules either changed their ways quickly or were sacked. | Inexperienced staff, food and service quality are below the standards set by the company. | One method of undertaking a SWOT analysis is to consider strengths, weaknesses, opportunities and threats in relation to two different times: until Joyce Lodge retired and when Patricia became to be manager of Lodge Bistro. It can be seen from Table 1 that the main weaknesses arise when Patricia decided, the most important thing is the culture of an organization than formal structures, rules and regulations.
Questions 1. What are the pressures that lead executives and managers to cook the books? The main pressures were coming from the economic recession and the aftermath of dot-com bubble collapse which then causes the industry conditions began to deteriorate in 2000. The competition among existing company and the new entrants were becoming more heightened; the company became overcapacity and the demand for telecommunication services reduced significantly. And the pressure to maintain a 42% of expense-to-revenue ratio (E/R ratio) had also becoming one of the forces that lead the executives and the manager to cook the books in order to make it looked good at the public’s eyes.
TMA 01 - Part 1: - Part A:- Having analysed this case study, I have identified potential issues, primarily relating to the external environment which, I believe, has had a greater detrimental impact on the business than any other factors. Using the STEEP analysis model, I have outlined these factors under 5 headings; Sociological, technological, economic, environmental and political, to try to surmise the key reasons for the companies woes. Sociological:- * High turnover of new staff * Wildly varying standards. Lack of consistency and a loss of control over key established standards of practice. Technological:- * Outdated fixtures, fittings and shop equipment.
Lack of strategic planning within a business will bring failure to the business and will cause the business to lose a lot of profit or even have to shut down their doors. Thinking strategically is essential in the growth stage of the business life cycle, either thinking of strategies to sustain growth, to forecast future expenses associated with growth and preparing for future problems which the business’ may encounter. Coles-Myer merger is an example of failure of strategic planning and thinking, Coles and Myers merged in 1985 and
Younger customers have been attracted to this fresher approach leaving Lodge Bistro with an older customer base. • The economic environment is less benign than when your mother founded Lodge Bistro. • The change from a highly motivated visionary leader to a more consensual and informal style has resulted in the recruitment of more independent managers. This has affected the morale of the longer serving managers who resent the new approach and feel that the chain is losing its core market (b) The chosen concepts I have chosen concept 4.3, which lists Drennan’s (1992) 12 key factors that influence business culture. I have selected three factors, which will most identify the business weaknesses.
This is an immediate problem for the franchise as this is negatively affecting the morale of the employees and is in conflict with the strategic direction of the organization (i.e. reduce unsold/damage food percentage to drive profitability). Data Analysis There are several different situations that have to be analyzed for this case. They are broken down in to two major categories: leadership of the manager and internal structure. Leadership of the Manager How Did the Issue Arise?
The pressure placed on them also makes them place intense pressure on the hourly employees, which results in low morale (hourly employees feel like the foremen don’t listen to them, are too harsh, etc.). • The plant is open 24/7 and uses 12 hour shifts, which is problematic. Due to the “strenuous nature of the long shifts”, employees show up late and call in sick often so line foremen constantly have to scramble to find substitutes at the last minute. • If they allow production to drop as a result of these problems, they get to be verbally reprimanded by their managers. Is it any wonder why turnover is a problem?
With the economy in recession, high unemployment rates, and high interest rates proved very challenging for Welch to run GE. The challenges faced from inside the company were massive information and inefficient macro-business models. Amidst all the challenges, Welch took them on with a motto, which was to be “Better than the Best” (Bartlett & Wonzy, 2005). Welch took a stand to restructure the company and identified managers who would fit in areas that could assist to restructure the company, while other managers who did not bring value to the company were let go. By eliminating the sector level, about 123,450 jobs, and also eliminating addition of new jobs, Welch implemented lean and agile methodologies, as well as real-time-planning strategy.
Introduction The troubles facing the Green Mountain resort are to do with staffing issues /concerns and the problem with turnover. Although the location of the resort is not ideal (located in the poorest area of the state), the management had attracted a group of hard working employees. Yet due to lack of promotion and advancement at the resort, the excellent members of the staff have moved onto other resorts leaving behind the novices and poorer workers. This is where the underlying problem arises, as the staff turnover rate was so high due to new employees having to be hired, that the added training for the variety of assignments staff would undertake was crippling management. This sort the management to find a solution to fix their high turnover rate.