Cash study sales and budget crisis

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Reference no: EM134161

Faxco Combined is a business with 500 employees. The CEO of the company has newly learned, based on employee reviews, that the employees aren't very happy with the company. In fact the CEO is beginning to believe that this may be the reason why Faxco is experiencing slower sales as well as a recent budget crisis which threatens to shut down the company in 3 years if it isn't fixed

You are a consultant as well as the CEO has asked you to visit the company for a week as well as analyze what might be going wrong. Here are your notes from the week-

(1) Attended Manager 1's staff meeting. He has 200 employees working under him. Manager 1 talked about the recent budget problems that Faxco is having. He said, it's not like we didn't know this was coming. The company makes a junky product compared to our competitors as well as half the time, I think the manufacturing department is cutting corners. Overheard Manager 1 tell a worker, I don't blame anybody if they are observing for work elsewhere

(2) Overheard three employees talking afterward Manager 1's staff meeting. Employees are distressed about the idea that the manufacturing department might be cutting corners as well as creating junky products. The company advertises its products as having the premium quality as well as durability

(3) Attended Manager 2's staff meeting. He runs the Tech Department as well as has 20 employees. He was very distressed with the Marketing Department. He stated somebody over in Marketing reported to the CEO that a computer technician from this department was rude to them. I didn't even ask who it was that was supposedly being rude. I know we're all techies in this department organized and we don't behave that way. He as well read an email from a customer who said that someone from the tech department was rude. His response was, all these customers do is protest. It's us against them apparently, therefore we have to watch out

Reference no: EM134161

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