Analyzing Managerial Decisions: Bagby Copy Company

by

HCM-540, MBOL5, Health Care Organization
Instructor:
Saint Leo University
Distance Learning

December 1, 2013

Analyzing Managerial Decisions: Bagby Copy Company

Ronald J. Sanders

Saint Leo University

MBA540

Analyzing Managerial Decisions: Bagby Copy Company

1. The subject, Bagby Company, has a dilemma between a specialized task assignment or broad task assignment. A specialized task entails designating an employee to a specific group of tasks that has a concentration in one functional capacity. In regards to broad task assignment, the worker is given a broader set of task that has variety. Depending upon which set of tasks is chosen, Bagby would have to understand what the tradeoffs are in making a decision. The benefits of specialized task assignment are:

a) Exploiting Comparative advantage permits Bagby to pair their employee’s with jobs based on their particular skill set and training so they will be able to focus on individual specialties.

b) Lower Cross Training Expenses: In regards to specialized task assignment, every employee is instructed to master a single basic function. Bagby can hire one person with a specialized degree and one without a degree.

Cost of Specialized Task Assignment:

a) Forgone Complementarities across Tasks: Often, accomplishing a single task may reduce the expense of tasking the same person to complete another task.

b) Coordination Costs: The tasks of specialized employees need to be coordinated.

c) Functional Myopia: With specialized task assignments, workers will usually focus on their personal duties as oppose to the entire process of administering high-quality sales and service to consumers.

d) Reduced Flexibility: Utilizing specialized task assignment, training only one person, to do a job will mean that skill is with that person where ever