Reference no: EM131701464

Part 1: The Seatcor Manufacturing Company

You are senior vice president of operations and chief operating officer of Seatcor, a major producer of office furniture. Joe Gibbons, your subordinate, is vice president and general manager of your largest desk assembly plant. Joe has been with Seatcor for 38 years and is two years away from retirement. He worked his way up through the ranks to his present position and has successfully operated his division for five years with a marginally competent staff. You are a long-standing personal friend of Joe's and respect him a great deal. However, you have always had an uneasy feeling that Joe has surrounded himself with minimally competent people by his own choice. In some ways, you think he feels threatened by talented assistants.

Last week you were having lunch with Charles Stewart, assistant vice president and Joe's second in command. Upon your questioning, it became clear that he and Joe were engaged in a debilitating feud. Charles was hired last year, largely at your insistence. You had been concerned for some time about who was going to replace Joe when he retired, especially given the lack of really capable managerial talent on Joe's staff. Thus you prodded Joe to hire your preferred candidate-Charles Stewart. Charles is relatively young, 39, extremely tenacious and bright, and a well-trained business school graduate.  From all reports he is doing a good job in his new position.

Your concern centers on a topic that arose at the end of your lunch. Charles indicated that Joe Gibbons is in the process of completing a five-year plan for his plant. This plan is to serve as the basis for several major plant reinvestment and reorganization decisions that would be proposed to senior management. According to Charles, Joe Gibbons has not included Charles in the planning process at all. You had to leave lunch quickly and were unable to get much more information from Charles. However, he did admit that he was extremely disturbed by this exclusion and that his distress was influencing his work and probably his relationship with Joe. You consider this a very serious problem. Charles will probably have to live with the results of any major decisions about the plant. More important, Joe's support is essential if Charles is to properly grow into his present and/or future job. Joe, on the other hand, runs a good ship and you do not want to upset him or undermine his authority. Moreover, you know Joe has good judgment; thus he may have a good reason for what he is doing.

Question

How would you proceed to handle this issue? Around 300 words, thank you