Company X is facing a lot of problems these days. It manufactures white goods like washing machines, microwave ovens, refrigerators and air conditioners. The company’s margins are under pressure and the profits and market share are declining. The production department blames marketing for not meeting sales targets and marketing blames production department for producing goods, which are not of good quality meeting customers expectations. The finance department blames both production and marketing for declining return on investment and bad marketing. What quality of management do you think the company is lacking? Explain briefly. What steps should the company management take to bring the company back on track?
Answers
SOLUTION :
(a) I think quality of Management , Coordination is lacking in company X.
This is happening due to lack of coordination between production and marketing department. Both the department should have been guided by the General manager. It is the duty of the marketing department to tell the General manager what quality the public is expecting and accordingly this information should have been communicated to production department so that the production department could have produced goods accordingly and the targets would have been achieved for all departments.
(b)The step the company management should take to bring the company back on track is that the information relating to different departments needs to be channelised from the central point, i.e General manager.
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