Organizational Strategy
Organizational Strategy Paper
Organizational Strategy Paper
K. Huffman established Huffman trucking in 1936, and its subsequent growth was a direct result of the demand for carriers during World War II. The company has since maintained its government ties, and has continued to grow throughout the years. Internal sales and the acquisition of five Eastern regional carriers, has allowed Huffman Trucking to continue as a private company (University Of Phoenix, 2013). In keeping with Huffman’s history of growth and success, it is seeking to expand significantly and its operations to include the possibility of going public as a company, and entering the global market. Three immediate options considered by Huffman include acquiring another organization in the same industry, merging with another organization, and, becoming a publicly owned corporation.
Intra-Industry Merger Analysis
Merging with another organization can be an excellent option for an organization desiring to expand its operations and experience financial growth. The benefits from a successful merger are extremely valuable to the growth and success of a company. With bank loans more difficult to secure these days, and small businesses finding it difficult to secure lines of credit, a significant merger is a viable option. According, to one Chief Strategy Officer, “An ideal merger increases revenue, reduces overhead and redundancies, enables the company to attract more capital and increases the value of the owner’s equity in the company" (Valentine, 2013).
Specifically regarding Huffman trucking, the benefits of a merger are apparent, as are the demand for timely and trustworthy logistical support. Carrier logistics remains a predominate method of transportation of goods for many industries within the United States and internationally. This allows the expansion of Huffman Trucking to be facilitated by the abundance of logistical firms, and entities operating within a given area, which would
Organizational Strategy Paper
K. Huffman established Huffman trucking in 1936, and its subsequent growth was a direct result of the demand for carriers during World War II. The company has since maintained its government ties, and has continued to grow throughout the years. Internal sales and the acquisition of five Eastern regional carriers, has allowed Huffman Trucking to continue as a private company (University Of Phoenix, 2013). In keeping with Huffman’s history of growth and success, it is seeking to expand significantly and its operations to include the possibility of going public as a company, and entering the global market. Three immediate options considered by Huffman include acquiring another organization in the same industry, merging with another organization, and, becoming a publicly owned corporation.
Intra-Industry Merger Analysis
Merging with another organization can be an excellent option for an organization desiring to expand its operations and experience financial growth. The benefits from a successful merger are extremely valuable to the growth and success of a company. With bank loans more difficult to secure these days, and small businesses finding it difficult to secure lines of credit, a significant merger is a viable option. According, to one Chief Strategy Officer, “An ideal merger increases revenue, reduces overhead and redundancies, enables the company to attract more capital and increases the value of the owner’s equity in the company" (Valentine, 2013).
Specifically regarding Huffman trucking, the benefits of a merger are apparent, as are the demand for timely and trustworthy logistical support. Carrier logistics remains a predominate method of transportation of goods for many industries within the United States and internationally. This allows the expansion of Huffman Trucking to be facilitated by the abundance of logistical firms, and entities operating within a given area, which would
References: Company Assets University Of Pheonix. (2013). Huffman trucking [multimedia]. Retrieved from University Of Pheonix, FIN370 website. https://ecampus.phoenix.edu/secure/aapd/CIST/VOP/Business/Huffman//internet/facts.asp History of Huffman, University Of Pheonix. (2013). Huffman trucking [multimedia]. Retrieved on June 17, 2013 from University Of Pheonix, FIN/370 website. https://ecampus.phoenix.edu/secure/aapd/cist/vop/Business/Huffman/internet/index.asp IPO Planner. (2013, June 17). The advantages and disadvantages of going public. Retrieved on June 17, 2013 from http://ipoplanner.webzel.net/forum/00000003.html Nicole Valentine, President & Chief Strategy Officer, Synergy business. Retrieved on June 17, 2013 from https://www.openforum.com/articles/5-reasons-entrepreneurs-benefit-from-the-merger- growth-strategy/ Reference for Business. (2013, June 17). Going public. Retrieved on June 17, 2013 from http://www.referenceforbusiness.com/encyclopedia/For-Gol/Going-Public.html