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With the completion of phase one, Spud Busters anticipates sales revenue to triple from the existing yield of potatoes. Phase two of Down East’s plan calls for a connation sales and dilutions program to be established for the company. The third and final phase of spud Busters’ strategic plan anticipates bulging a second manufacturing facility in five years in Idaho. In this part of the plan, the company would also oversee an increase In crop planting and yield in both territories.
But perhaps the most grandiose strategic idea that this company has is to expand Its market territories Into Europe and the Pacific Rim. This Is set to come about during the final phase of the plan. These business Ideas are not too bad for just plain ole tater growers to have, wouldn’t you say? Bringing this proposed strategic plan to fruition would certainly provide Down East Spud Busters with achievement of its goal for future growth in the industry.
Chapter Topics Related to the Case: Diddles ten concept AT organizing Discuss how the concept of integration may impact upon a company like Spud Busters Identify how managerial issues such as span of control and authority may affect a company like Spud Busters Describe and discuss the concept of delegation Identify how the concept of delegation may effect individuals such as the sales associates of Spud Busters Case Discussion Questions: Select from the chapter text options and prepare an organizational chart for the national distribution program that this company is about to embark upon.
Be sure to incorporate the company’s goals into your overall structure. Suggested Response: Various organizational charts are to be expected in the individual student response to this question. However, acceptable responses must incorporate the following guidelines and information: (1) the boxes represent the different work, (2) he titles in the boxes show the work performed by each unit, (3) reporting and authority relationships are indicated by solid lines showing superior-subordinate connections, and (4) levels of management are indicated by the number of horizontal layers in he chart. 2.
Given the vast geographical expanse and logistical challenges of this new program, what recommendations do you have for the company regarding HER policies and procedures? While a variety of HER suggestions are to be expected, the following information will serve to represent some of what may be anticipated. 1) Develop clear company guidelines as to performance standards, (2) Establish a guiding code of ethics, (3) Have guidelines for diversity training and awareness, (4) Develop understandable Job descriptions, and (5) Establish guidelines that identify set rewards and punishment standards. . What other types of industries could use the model from this case as a means to expand sales nationally or internationally? Students may identify any one of a myriad of other industries. However each response should be supported with factual reasoning. A suggested response ay be Washington state apple growers. These growers could expand their business into apple butter, apple pies (frozen and ready-to-bake), and apple drinks such as cheer. I Nils type AT Dustless could utilize a plan salary to ten one propos case to expand in the overall industry.
Additional Discussion Questions: 1 . Down East Spud Busters has a future plan for utilizing sales associates that work out of their own homes. Each of these associates will have specific assigned territories and a broad range of functions to accomplish in the performance of their Job duties. Differentiate between responsibility, authority, and accountability. Rank these three terms in the order you perceive the future Spud Busters associates as having, going from the highest to the lowest.
Responsibility refers to the assignment of a task that an employee is supposed to carry out. Authority refers to the legitimate right to make decisions and to tell other people what to do. Accountability refers to the expectation that employees will perform a Job, take corrective action when necessary, and report upward on the status and quality of their performance. One suggested response to this question segment is to rank the terms in the following order: responsibility, accountability, and authority.
Students may present different ranked orders based on their own ideas and understanding. 2. Spud Busters plan for having its future associates based out of their own, individual territories poses perplexing issues of effective coordination for the company. Discuss the concept of coordination by plan. Do you see this as being effective for this company? Why or why not? Coordination by plan refers to having interdependent units that are squired to meet deadlines and objectives that contribute to the common organizational goal.
It does not require the same high degree of stability and routines required by coordination by standardization. The interdependent units are free to modify and adapt their actions as long as they meet deadlines and targets required Coordination by plan may indeed prove effective for this type of organization. The individual associates will have freedom to operate as they see fit while still having a guiding structure and set performance standards to follow.