Caribbean Management Cases – Terrence Bruton (1993)

SUCCESS ENTERPRISES
The ring of the telephone interrupted Mrs. Deen in mid sentence, and she looked apologetically at her banker in her office as she picked up the receiver.
"Success Enterprises, GM speaking," she answered pleasantly.
It was Mr. Anthony Julien, one of the two supervisors in her medium sized sanitation company. The rest of the conversation went something like this:
Mr. Julien: "Another truck breakdown in Area 2B, Mrs. Deen, and guess what? I think the new battery was stolen and replaced by a reject! No one knows how it was switched. Different loaders had different routes and of course that truck has been used by several drivers this week."
Mrs. Deen: "I'm not surprised. "Just this morning I spoke to a few drivers who changed oils without checking with the mechanics. One truck is now under repairs because of that. They listened politely as usual but some of them won't heed instructions until you repeat them."
Mr. Julien: "Actually one driver told me they checked with Mr. Singh and he said it was okay to change oils."
Mr. Julien was referring to Mr. Jai Singh, the second supervisor, who was overseeing work in the company garage and on the route.
Mr. Julien: "Something must be done about accountability for these mishaps. Its affecting morale. You have to take a harder line on the offenders."
Mrs. Deen: "We'll see, Anthony. I know that performance must improve, but I worry that these men have families."
Mr. Julien: The government checkers are becoming nervous about us not making the routes on time. They're wondering if we're operating by Murphy's Law. And apparently an extra truck for trimmings had been requested weeks ago."
Mrs. Deen: "I've been caught up. I must have forgotten. Come up and I'll get Jai to discuss this further. These contracts cannot be lost."
Mrs. Deen's meeting with her banker to negotiate another overdraft to pay VAT would have to be rescheduled. Having over fifty male workers in her employ, she often questioned, as she did now, her capability, as a woman in a top management position, to give effective instructions. Perhaps Mr. Julien should handle this, she thought to herself… This case was written by Dr. Kwame Charles, Lecturer in Human Resource Management,
Department of Management Studies, The University of the West Indies, St. Augustine,
Trinidad and Tobago.

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Caribbean Management Cases – Terrence Bruton (1993)

BACKGROUND
Mrs. Karen Deen had spent her entire life in business. She vividly remembers herself at the age of nine going to the office of her father who managed an extremely successful cane hauling and heavy equipment company in the 1960s. An ambitious woman, she graduated with honours in Business Administration from a reputable
Canadian University, and in 1978, 'Success Enterprises', her brainchild, was created from the ground up, financed by her own savings and family loans.
Yearly sanitation contracts had been publicly advertised by government ministries inviting companies to submit tenders. The task: outline an efficient system for the collection and disposal of household refuse and garden trimmings. Purchasing five compactors from her brother who was well established in the business, Mrs. Deen was able to service one area and maintained the contract until 1981, operating with a small staff of 21. By 1984, Success Enterprises had gown considerably, and maintained four contracts with a fleet of six vehicles. It was registered as a limited liability company, and employed 75 persons. The company was profitable, and still maintained the family type orientation which Mrs. Deen wished to preserve.
With the overall contraction in the economy in the latter half of the 1980s and the shrinking of government expenditure, the number of areas serviced by Success
Enterprises was reduced. Many vehicles remained idle and Mrs. Deen was forced to cut the staff to 60. Tighter controls on access to credit facilities resulted in strains common to the business sector as a whole. Though clearing a substantial profit overall, government payments were increasingly being made weeks past their due date. In addition, up to $60,000 per month in advance was required to cover the newly imposed value added tax. This requirement necessitated constant negotiations with the company's bankers for overdrafts with 14% to 18% rates of interest. The National
Contractors Association, to which Success belonged, had been largely unsuccessful in its representations to government on these issues and it was clear that annual renewals of existing contracts had become more competitive. Only the most efficient could survive in this high risk industry, with government supervisors monitoring performance in all areas.
OPERATIONS
The four areas serviced by Success Enterprises were covered by drivers and loaders: a total of forty eight workers who accounted for the majority of the employees in the company. Twelve compactors were dispatched every day to four areas, four per area according to the daily schedule drawn up by Mrs. Deen herself. This schedule was posted in the office by 6:00 o'clock each morning. Sometimes open tray trucks accompanied the compactors to collect trimmings. One driver and two loaders operated each vehicle and serviced a specified route. They began at approximately
6:30 am. and continued- until the route was complete, usually by 10:30 am. Workers and vehicles rotated freely throughout the various areas. The whole operation would be supervised for that week by a route supervisor, either Mr. Julien or Mr. Singh. The joint signatory, Mr. Deen, was also co-owner of the business but he played a largely passive role.
A government checker was responsible for each area and made recommendations to government for either the renewal or termination of contractor services depending on the quality of the work. Checkers would make calls to Mrs.

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Caribbean Management Cases – Terrence Bruton (1993)

Deen or either of the route supervisors about problems with particular workers. Mrs.
Deen would usually simply relocate them to another area, and issue repeated warnings but rarely suspend or terminate anyone. No policy existed on such matters.
The two supervisors in the company moved between supervising route staff and maintenance staff from week to week. Maintenance comprised electricians, mechanics, straighteners, painters and their apprentices, as well as a janitor; a total of ten employees. The route supervisor generally stayed at the office and monitored distress calls on a CB network. Sometimes he accompanied crews, but the areas were so wide that often instances of idling on the job by work crews went unnoticed until a complaint was lodged by a government checker. Some loaders did not return to the plant at the end of a work route but stopped off closest to their homes. On many occasions, company equipment amounting to thousands of dollars had gone missing and had been found in employees' homes. Control of company assets was poor. Mr. Julien and Mr Singh had discussed these issues in the past and had found their constant rotation unsettling, since neither the operations group nor the maintenance group felt committed to the instructions of either supervisor. Their conversation went as follows:
Mr. Singh:

" How can I earn the respect of these workers if I am in a different camp each week, Anthony?"

Mr. Julien: "I know how you feel, (feeling Mr. Singh's frustration) all of our instructions conflict from week to week and by reporting to two bosses these men getting equally confused."
Mr. Singh: "Not to mention some are taking full advantage of the situation. Mrs Deen isn't seeing it because she's so caught up in daily administrative duties. The route shift is too stressful on one person since I can't possibly keep track of all those areas effectively."
THE WORKERS
With the exception of the supervisors and the secretary, who were monthly paid, workers at Success Enterprises earned between $ 7 5 and $100 per day. The number of working days for drivers and loaders had been cut from five to three when the number of government checkers had been reduced. Workers ranged in age from
19 to 60, the majority were in their mid-thirties, of all races and from all parts of the country. Ninety-eight percent of the workers were male. Literacy was high approximately 99% - most workers having a technical/vocational or secondary education. Turnover was higher for younger workers but many workers were loyal and had been with the company for several years. The recruitment process was largely informal and often existing workers recommended potential employees. However, drivers needed to be twenty-five and all had to present a certificate of good character.
Workers terminated due to cutbacks, were given priority for rehire.
Success Enterprises paid National Insurance, Health Surcharge, Workmen's
Compensation and provided uniforms for route workers. Most of the workers were satisfied with their working conditions and relationships with management.

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Caribbean Management Cases – Terrence Bruton (1993)

THE 'BOSS' LADY
Mrs. Deen carried the bulk of corporate responsibility herself. She had an "open door" policy and considered workers' points of view, especially on operational matters as they were out in the field. She was like a mother to the workers. For example, after discussing a personal problem with Mrs. Deen at her annual puja (prayer meeting), to which all workers and their families had been invited, Mr. Lewis, a driver of five years, was given a loan. Some workers who had been insubordinate or had been found pilfering, had been allowed to stay on with the company by a sympathetic Mrs. Deen.
Two weeks ago, Sean and Lee, two loaders, skipped out of her office chuckling: Sean: "Yuh see how sorf she is, boy?!"
Lee: "How yuh mean! 'No woman ent bossin' me roun,' nuh. All she could do is warn meh." An apprentice, Brian, interjected angrily:
Brian: "I make an honest day's work. She should fire people like allyuh!"
Sean: "She cyah prove nothin'. We on a different truck every day. And in dis business tomorrow is a mystery so grab today."
Lee: "I agree. I cyah take order from Mr. Singh one day and den Julien saying not so de next day, and den de boss lady saying someting else .."
THINGS FALL APART
At the same time, in her office with Mr Julien and Mr. Singh, Mrs Deen was being told the same thing.
Mr. Julien: "Jai agrees with me that some workers are aggrieved that we aren't suspending or firing guilty parties. And with the rotation system, it's difficult to foster commitment among them to improve standards."
Mrs. Deen: "I myself do not think that I can handle the stress I was used to.
After all I am a woman and not far from retirement you know. I try..." The telephone interrupted her. She switched the speaker phone on for all in the office to hear. It was the government head supervisor of contracts. He was informing her about "increasing complaints" from her customers, "unreliable service," "poor response time," etc
Mrs. Deen thought:

"Things fall apart...The centre cannot hold..."

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