Case 13-22
1. Indicate whether each of the foregoing four reactions contribute positively or negatively to the Wright Company’s operating effectiveness. Explain your answer for every one of the four reactions.
a. The fact that departments were neglecting reports during periods of peak activity definitely has an adverse impact on the company. The dilemma, however, is there are just several reports.
b. Considering there is a lot of data being generated, department heads were not accurately reading the reports leading to incorrect decision-making. This can prove to have adverse repercussions on the company.
c. The third reaction was the fact that others were reminding management of decisions that were necessary to make because managers did not have the best information to be able to prioritize
d. The fourth result was relying on the third parties for information to be able to make decisions. Unlike the other three reactions, this one is a positive one. After all, managers should be resourceful and consider all alternative methods for gathering information when needed. 2. For each reaction that you indicated as negative, recommend alternative procedures the Wright Company could employ to eliminate this negative contribution to operating effectiveness. a. For the first reaction, of neglecting data reports, an annual department audit should be part of the standard procedures for the company. This process would allow reports be updated and modified based on the current department head.
b. When department heads/managers are not capable of read reports, then systems should be notified, and perhaps a brief description of the reports intention can be provided. Alternatively, top level managers can hire experts to manage the information on the reports and summarize them to the department heads. This answer may be the better of the two since