Write The Report Called For In Mountainside Industries

Write the report called for in the Mountainside Industries case presented

Your task is to act as an external professional business consultant and advise Mrs. R. K. Hill, owner of Mountainside Industries, on the best course of action following issues identified after the appointment of Don Henson as general manager. You are to analyze the situation, identify core problems, and recommend three specific strategies for improving organizational coordination and efficiency. The report must be structured with an introductory thesis paragraph outlining what the report covers and in what order, followed by clear, thesis-like subheadings dividing the analysis and recommendations. Each section should contain well-developed, professionally written paragraphs with strong sentences. The report should focus solely on advising Mrs. Hill about how to proceed and avoid summarizing the case details. It should be written from an outsider’s perspective, providing objective, actionable advice based on the information presented.

Paper For Above instruction

Introduction

Effective coordination within a diversified manufacturing company like Mountainside Industries is critical for sustaining competitiveness in a challenging market environment. Despite its long-standing success, recent organizational challenges indicate the need for substantial improvements in internal communication, procurement processes, and inter-divisional collaboration. This report evaluates the underlying issues following the appointment of Mr. Henson as general manager and offers three targeted recommendations designed to enhance operational efficiency and organizational cohesion.

Assessing Organizational Fragmentation and Communication Gaps

Mountainside Industries evolved through mergers of four distinct cottage industries—candy, toys, crafts, and furniture—located in dispersed Appalachian regions. While the initial approach favored autonomy to preserve local expertise, this decentralized structure has led to operational inefficiencies such as duplicated efforts and missed opportunities. Notably, the crafts and furniture divisions have independently made large purchases from the same supplier, bypassing volume discounts, indicating a lack of central procurement oversight. Similarly, candy and toy divisions have duplicated marketing initiatives, resulting in wasted resources and diminished market impact. These issues highlight critical gaps in communication and coordination, which undermine economies of scale and strategic alignment necessary for competitiveness.

Analysis of Mr. Henson’s Initiatives and Challenges

Mr. Henson’s appointment aimed to foster tighter division coordination through procedural controls, such as requiring purchase order approval for amounts exceeding $1,000. However, a significant challenge has emerged: despite instituting the policy, no purchase orders have been formally submitted for approval, revealing resistance or misunderstanding of new procedures. This discrepancy suggests that local divisions either lack awareness, see the new policy as bureaucratic, or prefer maintaining existing informal practices. The failure indicates a need for cultural change, better training, and clearer communication to ensure compliance and foster a collaborative mindset.

Recommendations for Enhancing Organizational Coordination

1. Establish a Centralized Procurement and Marketing Coordination Office

Implementing a dedicated central office responsible for procurement and marketing coordination can eliminate duplication and secure volume discounts. This entity should develop standardized procedures, consolidate purchase orders, and negotiate for better supplier terms. For marketing, the office would coordinate division efforts to avoid overlaps and exploit shared opportunities. Such centralized functions can leverage economies of scale, improve bargaining power, and facilitate strategic consistency across divisions.

2. Foster a Culture of Internal Collaboration Through Training and Incentives

Addressing resistance requires a cultural shift emphasizing the strategic importance of cooperation. Conducting targeted training sessions that clarify the benefits of unified operations can enhance understanding and buy-in from division managers and staff. Adjusting incentive structures to reward collaboration and cost-saving initiatives will further motivate divisions to adhere to new policies and work collectively towards organizational goals.

3. Implement Transparent Communication and Monitoring Systems

Developing clear communication channels and monitoring mechanisms will ensure ongoing compliance and provide feedback. Regular performance reports on procurement savings and marketing efficiencies can reinforce the importance of cooperation. Incorporating feedback loops allows divisions to voice concerns and suggest improvements, fostering a participative environment that supports continuous organizational development.

Conclusion

Mountainside Industries’ future success hinges on overcoming current coordination issues by establishing centralized functions, fostering a collaborative culture, and enhancing communication systems. These strategies will equip the company to capture economies of scale, improve operational efficiencies, and bolster its competitive position in a demanding marketplace. Implementing these recommendations requires careful planning, leadership commitment, and ongoing evaluation to ensure lasting organizational improvements.

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