Elektra Products
110093 | KENNETH EDWARD T. ROJAS Case Analysis Report: Elektra Products, Inc.
June 16, 2011
Case Analysis Report: ELEKTRA PRODUCTS, INC.
RECOGNITION OF DECISION REQUIREMENTS Elektra Products, Inc., an 80 year old publicly held company, had once been a leading manufacturer and retailer of electrical products and supplies. In recent years, it had experienced several problems such as declining market share, increasing competition against foreign and domestic markets, necessity for innovation of products, relationships between departments, and low morale among employees. In an effort to revive the company, the new CEO, Martin Griffin, introduced a new empowerment campaign to improve performance. Top management then selected managers to lead problem-solving teams to work on new ideas. Nevertheless, there were still those who were against change and considered the empowerment campaign as corporate crap such as Simon. However, Barbara Russel, the manufacturing vice president, was enthusiastic about the empowerment campaign. Together, she and her manufacturing team had provided new propositions and shared them with others. Although, Martin Griffin showed enthusiasm, the other department heads were skeptical and questioned the ideas brought about by Barbara right after the CEO left.
CHANGES Allow salespeople to refund up to $500 worth of merchandise on the spot. Make information available to salespeople about future projects. Permit a manager to follow a product from design through sales to customers. Swap sales and manufacturing personnel for short periods to let them get to know one another’s jobs. Human Resources department: This would destroy the carefully crafted job categories that had just been completed. OBJECTIONS Finance department: This would create a gold mine for unethical customers and salespeople. Legal department: This would invite industrial spying.
Statement of the Problem: Based on the facts presented, Barbara is faced with the existence of a system
June 16, 2011
Case Analysis Report: ELEKTRA PRODUCTS, INC.
RECOGNITION OF DECISION REQUIREMENTS Elektra Products, Inc., an 80 year old publicly held company, had once been a leading manufacturer and retailer of electrical products and supplies. In recent years, it had experienced several problems such as declining market share, increasing competition against foreign and domestic markets, necessity for innovation of products, relationships between departments, and low morale among employees. In an effort to revive the company, the new CEO, Martin Griffin, introduced a new empowerment campaign to improve performance. Top management then selected managers to lead problem-solving teams to work on new ideas. Nevertheless, there were still those who were against change and considered the empowerment campaign as corporate crap such as Simon. However, Barbara Russel, the manufacturing vice president, was enthusiastic about the empowerment campaign. Together, she and her manufacturing team had provided new propositions and shared them with others. Although, Martin Griffin showed enthusiasm, the other department heads were skeptical and questioned the ideas brought about by Barbara right after the CEO left.
CHANGES Allow salespeople to refund up to $500 worth of merchandise on the spot. Make information available to salespeople about future projects. Permit a manager to follow a product from design through sales to customers. Swap sales and manufacturing personnel for short periods to let them get to know one another’s jobs. Human Resources department: This would destroy the carefully crafted job categories that had just been completed. OBJECTIONS Finance department: This would create a gold mine for unethical customers and salespeople. Legal department: This would invite industrial spying.
Statement of the Problem: Based on the facts presented, Barbara is faced with the existence of a system