Organizational Analysis

History

Wholesale Distributor Company established in 1928 History of rapid growth In ten short years…

Shippers Supply Vision:We will meet or exceed our customer’s expectations.

Everyone who comes in contact with our company will have a positive experience through courteous and efficient service.

Value Proposition

We strive to be to the best, “easy-to-buy-from” source for companies that

produce, store, and/or transport products and who desire personalized attention to reduce their overall cost

of operations.

Three Business Units

1. Shipping and Packaging Solutions

2. Industrial Solutions

3. Productivity Solutions

Product Line

OPM Assessment

Week 2: BUSN610

7

Business

Situation

Business

Strategy

Business

Results

Culture

1

25

Tasks Decision Making

InformationPeople

Structure Rewards

3

4

Business Situation

$300 to $350 Million market in Upper Midwest

$11 million in 2008 Revenue Sales Flat YTD Very competitive Customers looking to save money either by

buying lesser quantity or lower quality

Business Strategy We help customers in getting their

products from Point A to Point B with these principles in mind:

Arrives in Good Condition Leaves a good Impression Solution is Cost Effective

Our Difference:

Our value demonstrates itself through the combination of knowledgeable employees that are eager to serve; wide product selection and reliable

quality; outstanding customer & vendor partnerships; and

competitive pricing that the market demands.

Culture/Relationships

Morale is good but some employees are merely compliant but not committed.

Most employees want to continually strive to get better. Strive to be the best.

Design Elements Structure

Sales, Service, Specialist, Procurement, and Warehouse Tasks

Selling the products, taking orders, finding and shipping the products

Decision MakingTeam members giving some latitude on certain issues

1. Sales people have some flexibility when presenting client solutions

2. Procurement may need to buy from competitor to fill order

Design Elements Rewards

- Pay raises may return and 401K match may return if Sales goals are met

People- Most staff are in the right seats on the bus. Most are owners and committed

Information- Bi-weekly e-mail sent to staff to inform them of current sales volume

Business Results

Sales are Flat YTD Employee expectation of being

adequately rewarded for their contribution may be in danger.

Issues Want to avoid any layoffs Payroll is 80% of expenses – other

20% is utilities and rent Ways to conserve cash and promote

quality. Incentives to produce quality and lift

morale.

In the face of all these challenges, how can the employees be

encouraged to cut expenses while at the same time keeping

morale up?

4R Model

Relationship: Maintain it to empower the employees as well rewarding them.

Responsibilities: Empower others to accept and adjust with the new changes within the company.

Roles: sharing the same vision, follow the strategy then execute it properly achieve the results. Motivating the employees , so they will be aligned to complete each others roles.

Shippers Supply VisionWe will meet or exceed our customer’s expectations. Everyone who comes in contact with our company will have a positive

experience through courteous and efficient service.

Were we thorough?

Are we aligned procedurally?Tactical Plan – does it match the strategic plan and the vision?Strategic Plan – does it match the vision?

Vision

Vision (Responsibility)

Strategic Plan= Strategic tactics + vision (Roles)

Aligned Procedurally + Were we through (Result)

Recommendation #14-R Model: Relationships

Team Building Event to brainstorm ideas to think outside the box. Need to avoid going to competitor for solutions and products. Example: game of Taboo.

Recommendation #2

Implement the use of job descriptions of employees

Employee ownershipCommitment versus compliance

Boost morale Empower employees Reward employees

Recommendation #3

Go Green: Conserving office supplies. 1. Buy reusable plates, cups, and

flatware2. Save Copy paper - Don’t print. If

necessary print on both sides

Recommendation #4Bi-Weekly Sales e-mail that is sent out

needs to be improved.1. Simple and Meaningful for All

Employees2. Bar Graph or Chart easy to read3. Monthly Goal vs. Bi-Weekly Goal4. Units shipped5. YTD % to Budget Goal6. Inspirational quote should be listed on

the bottom of the E-mail and match the message

Recommendation #5

Presenting DICE+1 to Staff