The purpose of this report is to help a financial special assistant, Linda, to analyze the financial position of Atlas Metals Company and deciding its capital budgeting and capital structure. Firstly, I explain why firm should use Net Present Value (NPV) methods for capital budgeting rather than Return on Investment (ROI) method and Payback Period method. Secondly, I calculate the Weighted Average Cost of Capital (WACC) which will be used as discount rate while calculating NPV. Then, I decide which rapid prototyping system company should invest as well as I compare the each expansion projects’ IRR with WACC to decide which projects should be invested and which should not. After deciding projects which should be accepted, I draw Investment Opportunity Schedule (IOS) and Marginal Cost of Capital (MCC) graphs to decide where the company should finance accepted projects.…
This paper will focus on a change initiative for Wal-Mart. Next, this paper will analyze how this change will impact the people, products, and processes. Then this paper will focus on the people portion, and provide recommendations to position this change initiative in a manner that results in high performance. Finally this paper will conclude with a summary of how the recommended approach to the change initiative will result in organizational excellence.…
Many companies throughout the world have suffered from bad leadership decisions or have not adapted well to business cultures brought in by new leaders. This can cause a spread of problems, both internal and external and often the new leader brought in has to make large changes to the way the business is run. The success of this change of leader often depends on their ability to find the shortcomings of the current business structure and to transform it into a competitive force in the future.…
Organizational transformation is en essential component of the evolution of a successful company. Organizational transformation is best described as “organization-wide changes, such as reconstruction, introduction of new technologies, processes, services or products, implementing new programs, re-engineering”. Finding incentives to motivate and inspire employees will help the entire organization reach a culture that fosters progressive transformation. Furthermore, understanding the purpose of leadership will aid an organization in developing principles and policies that keep the all employees on a transformational path. Failing to innovate and transform with the latest trends in business can lead to disastrous consequences for an organization’s long-term survival. The purpose of this essay is to analyze the transformational ability of major US corporations and the tactics that they utilize to achieve their goals. In addition, I will review the innovativeness of my own organization, the Unites States Navy.swwwfhj…
Cumberland Metal Industries (CMI) is one of the largest metal manufacturers in the world. The company evolved from selling metal as a finished product to one that used it as a raw material, increasing sales from $250,000 in 1963 to over $18,500,000 in 1979. Currently, CMI relies heavily on SlipSeal, which is used as a high-temperature sealant in automobiles. Although CMI dominates the market for this product, corporate sales figures decreased over the last year. As a result, the management at CMI realized the importance of diversifying its product-line so that the company does not rely as heavily on SlipSeal or the automobile industry.…
In a business environment things change in the desire to improve and better themselves. That is why the need for change.…
In January of 1980, Cumberland Metal Industries (CMI) had developed a new product for the pile driving industry. Its new pad, made of tightly curled metal, had the potential to break into an industry where little or no innovation was taking place. The CMI product testing showed great efficiency gains over the current standard asbestos product. The existing competition consisted of small firms, few of which had the knowledge or resources to design and develop new products. CMI seemed on the verge of breaking into a new market, where its product would be the technological front-runner. It now needed to show its customers the value its product would provide, and price its new product accordingly.…
7. GEN Richard B. Myers, Ret. and Albert C. Pierce, “On Strategic Leadership,” Joint Force Quarterly, No. 54, 3rd quarter 2009, 12-13.…
Peter Browning’s job is to revitalize a mature business in the face of serious competitive threats, but without discouraging the loyalty and morale of a family style culture. Market share of plastic bottles was growing fast and White Cap is losing customers due to that, so a change is necessary. However, few managers or employees at White Cap acknowledged the need for change and were resistant to change. Employees have been accustomed to a culture of little change, and consisted of years of rituals, ceremonies and traditions set by the White family. They are extremely loyal due to their expectation of job security and generous benefits. Browning was asked by Continental to reduce salary and administrative costs, so rapid change by Peter Browning could run the risk of an employee uproar.…
This paper will attempt to make a distinction between why companies change and the catalysts used in an organization to bring about that change. According to Ian Palmer, Richard Dunford, and Gib Akin (2009), “Whether the change is reactive or anticipatory gives rise to four categories: tuning, reorientation, adaptation, and re-creation”…
Managing change requires a vision which supports a renewal process (Moran & Brightman, 2001). Change doesn’t (or shouldn’t) occur for the sake of change. The stress which change places upon an organization isn’t likely to justify the price in terms of its effect on the people which make up the organization. Rather, change should be gauged in terms of its resultant ability to adapt to the needs of the organization’s external and internal customers (Burke, 2002). This should serve as…
Most importantly, the company is not being managed for or open to change and growth. This is reflected in Wallace's dependency on defense-related contracts, in the financial highlights listed in the study for the last two years, and in the focus on cost concerns when ideas are presented for changes to the organization. Additionally, the organization lacks a human resources management structure and suffers from managers who have not been…
Using quantitative and qualitative data, Data Imports, Inc. CEO, David Long seeks to ascertain if the corporation is equipped for change, employee perceptions related to the change process, employee experiences with organizational change, and employee perceptions of leaders in the implementation of change. What follows is a review and analysis of the data including the manner in which it does or does not support the decision to make sweeping organizational changes.…
Resistance to Change: Long standing organizational structure disrupted with purchase centralization; hence strong resistance for the same by the plant purchase executives.…
1a. Internal & external factors contextual factors which influenced the introduction of strategic changes at BA…