Amex Hungary
AMEX, Hungary
Introduction
Michael Thomas worked for AMEX Petroleum and jumped into an opportunity to set-up business operations in central Hungary. "His main goal is to established 10-14 gas stations in the region by purchasing existing stations, building new ones, or negotiating franchise arrangements with existing owners of stations" (Larson, & Gray, 2011 p. 560). He took this opportunity hoping that this will boost his career plus his mother being Hungarian he has the command of the language but didn 't realize what he was getting into. He is faced with a variety of challenges such as high employee turnover, high percentage of unemployment with a large number of unmotivated burned out workers and bureaucracy in the public sector. He underestimated the challenges and was overconfident on his abilities and now it seems like the issues are mountains that needs to be moved.
Analysis
"The issue with staffing is really obvious due to the fact that he has hired sixteen employees, four quit within three days and six were let go after the trial period due to absenteeism" (Larson, E.W., & Gray, 2011). His existing staff were no where to be found and will not even call him and let him know personally why they are not at work. This shows lack of respect, professionalism, structure and discipline on the part of his staff. It is also a reflection and indication of his leadership and management skills.
On his main job of establishing 10-14 stations he met with a prospect that he met from a reception sponsored by the US Embassy and Hungarian business people. Zoltan Kodaly owns three gas stations. Instead of trying to get to know the Kodaly who brought in a young daughter to translate he went straight to discussing how much AMEX is willing to pay for two of his stations. And went on to tell them about franchising that it is similar to McDonald 's "you pay a franchise fee, share profits with AMEX, and adhere to AMEX procedures and practices. I n exchange, AMEX
Introduction
Michael Thomas worked for AMEX Petroleum and jumped into an opportunity to set-up business operations in central Hungary. "His main goal is to established 10-14 gas stations in the region by purchasing existing stations, building new ones, or negotiating franchise arrangements with existing owners of stations" (Larson, & Gray, 2011 p. 560). He took this opportunity hoping that this will boost his career plus his mother being Hungarian he has the command of the language but didn 't realize what he was getting into. He is faced with a variety of challenges such as high employee turnover, high percentage of unemployment with a large number of unmotivated burned out workers and bureaucracy in the public sector. He underestimated the challenges and was overconfident on his abilities and now it seems like the issues are mountains that needs to be moved.
Analysis
"The issue with staffing is really obvious due to the fact that he has hired sixteen employees, four quit within three days and six were let go after the trial period due to absenteeism" (Larson, E.W., & Gray, 2011). His existing staff were no where to be found and will not even call him and let him know personally why they are not at work. This shows lack of respect, professionalism, structure and discipline on the part of his staff. It is also a reflection and indication of his leadership and management skills.
On his main job of establishing 10-14 stations he met with a prospect that he met from a reception sponsored by the US Embassy and Hungarian business people. Zoltan Kodaly owns three gas stations. Instead of trying to get to know the Kodaly who brought in a young daughter to translate he went straight to discussing how much AMEX is willing to pay for two of his stations. And went on to tell them about franchising that it is similar to McDonald 's "you pay a franchise fee, share profits with AMEX, and adhere to AMEX procedures and practices. I n exchange, AMEX
References: Larson, E.W., & Gray, C. F. (2011). Project management: The Managerial Process (5th ed.). New York: McGraw Hill. MM&A. (n.d.). Retrieved from http://www.franchiseconsulting.net.au/Advantages-of-the-Franchise-System/Advantages-of-the-Franchising-System/Advantages-of-the-Franchise-System.asp