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Patterson Operation

Essay by   •  March 5, 2018  •  Case Study  •  1,530 Words (7 Pages)  •  1,432 Views

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CASE TITLE:

Patterson Operation

POINT OF VIEW:

Patterson Operation’s First-line Supervisor: May Allison

TIME CONTEXT:

Three years ago until current time. Section 10’s below break-even point of the cost figures started three years ago, the space problem started early last year, and the promotion of former first line supervisor Fred Hammond as he was replaced by May Allison.

STATEMENT OF THE PROBLEM:

How will Patterson operation remove the negative and ambivalent reactions of the management?

OBJECTIVES:

  1. To improve and modify the working environment of the Patterson Building by next year.
  2. To shift the work day schedule to a time more preferred by employees by next year.
  3. To lessen the instances of absenteeism and tardiness by next year that will make then competitive against other units of the main plant.

AREAS OF CONSIDERATION:

SWOT ANALYSIS

STRENGTHS

WEAKNESSES

  1. Development of an assembly line which facilitated work speed, hence, bonuses
  2. Employee participation in decision making
  3. Completion of an air-conditioned rest break area from employees’ pockets
  4. Employees’ sense of ownership
  5. Mutual cooperation (esprit de corps)
  6. Cultural diversity (blacks & white)
  7. 32.8% increase in productivity on year 1
  8. Management tolerance in line with schedule changes and dress codes
  9. Formation of own softball team
  10. Low grievance rate
  1. Old brick structure suitable only for warehouses 3 miles from main plant
  2. Dark, poorly ventilated, not airconditioned, inadequately heated working conditions
  3. Poorly suited building for assembly operations
  4. No cafeteria or food service
  5. 10C in winters, 32C in summers
  6. Poor restrooms
  7. Violations of certain company personnel policies
  8. Infrequent visits from main plant managers/supervisors

OPPORTUNITIES

THREATS

  1. Fix coordination problems with receiving goods very early in the main plant for earlier assembly operations
  2. Renovation of the warehouse into a better working space for assembly lines
  3. Creation of a cafeteria consigned by employees or creation of a cooperative cafeteria which will provide food for everyone and funds for renovation
  4. Formalize the formation of “Patterson Warriors” regarding company policy
  5. Formation of other sports and interest groups such as “fun run groups, “craft groups”, “bake-sale groups” which in turn, will provide funding for different employee needs.
  6. Betterment of work records concerning absenteeism, tardiness and turnovers
  7. Positive management reactions
  1. Run down,low income housing neigborhood
  2. Mugging, and other crimes from the neighborhood
  3. Sickness because of the varied and intense temperature changes in the warehouse
  4. Natural disasters such as earthquakes, fires or hailstorms that might easily destroy the Patterson operation building.
  5. Change of management – new management may not be as liberal or as tolerating as the previous ones
  6. Coordination problems form the main plant could make them work in the hot afternoons of summer
  7. Negative and ambivalent management reactions

ALTERNATIVE COURSES OF ACTION:

VII. ATERNATIVE COURSES OF ACTION

ACA 1. Invest in customer comfort and satisfaction to develop branch loyalty

1a. Create a referral program for free casino credits.

1b. Serve free refreshments and alcoholic beverages.

1c. Offer free shuttle rides to provide convenience for patrons.

1d. Invest in Chinese and Korean translators in the VIP area .

ACA 2. Invest heavily on marketing promotions, concerts, contests and events

2a. Have promo tie-ups with nearby hotels.

2b. Bring more popular entertainers and make them regular performers.

2c. Give free airfare tickets and hotel accomodations for top VIPs

2d. Give away prizes and raffle tickets to be drawn to attract more players.

ACA 3. Restore old accounting and procurement policies

3a. Restore the old accounting policy where incentives, rebates, and commissions are deducted from the gross revenues instead of treating it as operating expenses.    

3b. If possible, re-impose the former practice of the processing of procurement through direct contracting of supplies and materials to be more competitive.

VIII. ANALYSIS OF THE ALTERNATIVE COURSES OF ACTIONS

ACA

ADVANTAGES

DISADVANTAGES

ACA 1. Invest in customer comfort and satisfaction to develop branch loyalty

Clients will feel extra special and will comback for the VIP treatment regardless of their customer tier, whether low or high-rollers.

Almost all casinos are investing in customer satisfaction and branch loyalty. Costly with unforeseen consequenses.

ACA 2. Invest heavily on marketing promotions, concerts, contests and events

Awareness and marketing – When concerts, contests and events are held in your casino, chances are these audiences are also willing to play given the right amount of motivation or impetus like raffles, games and free gifts.

Some casino concert venues are more luxurious and cozy, aesthetically pleasing and technologically advanced.

Quite costly but ROI is high.

Will mostly attract novice ”potential” players.

ACA 3. Restore old accounting and procurement policies

Higher customer satisfaction and a competitive advantage against the amenities of privately-operated casinos.

Highly unlikely since this is a Republic Act which can only be repealed by another law.

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