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New Year's Eve Crisis - Mike Valenti

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New Year's Eve Crisis - Mike Valenti
LETTER OF TRANSMITTAL

To
Mike Valenti,
President, Michael’s Homestyle Pasta,
Hartford, Connecticut.

Date: 31 December 2001

Subject: Report on the analysis of issue faced by Michael’s Homestyle Pasta

With reference to your request for preparing a report suggesting immediate course of action to be taken regarding the Salmonella contamination at Southern Pasta Company, a report has been enclosed which analyses the situation, states the core problem, the appropriate options available to you and their criteria for evaluation, and final recommendation with proposed action plan. It is recommended that you call the clients and let them know about the contaminated batch.

Yours sincerely,
X

EXECUTIVE SUMMARY

Mike Valenti has discovered that a salmonella contaminated batch has been delivered to an important client. The new venture has made Mike’s company the only major player and thus it is important to keep that advantage by not losing important clients.
He has to decide on a course of action which should not only solve the problem at hand, but also address the basic underlying problem of clash of cultures of the two companies.
It is recommended that Mike should call the client restaurants as it is a step towards addressing the present issue as well as the root problem

Word Count [102]

SITUATION ANALYSIS

After knowing about delivery of Salmonella contaminated pasta to a major client of Southern Pasta Company (SPC), a company acquired by Michael’s Homestlye Pasta(MHP) just three weeks ago, Mike Valenti has to decide his courses of action. He cannot incur heavy financial losses and trying to contain that would mean risking lives of innocent customers.
The stuffed pasta is a specialty product and with the acquisition of SPC, MHP is the only major player in the market. Thus the customers are dependent to a large extent on these two companies. The customer dependency is validated by the fact that the client did not terminate contract

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