Explain which of the functional areas listed above suggested the increase to the CEO, and why.
USA Industries in a local company that produces natural wood veneered panels for consumers in the form of residential wall paneling, as well as industrial panels to manufacturers of cabinets, furniture, store fixtures and architectural interiors.
Consumer products are sold through retail home improvement stores, while industrial panels are supplied through a network of independent wholesale distributors throughout North America.
The company has 66 employees on the Day (First) shift, which operates at 100% capacity, working 4 – 10 hour days. The First shift produces on average 1250 pieces of product every day.
The Evening (Second) shift had 35 employees, and operates at 70% capacity, working at least 3 days a week with additional days and hours dependant on orders. The Second shift produces on average 550 pieces per day.
There is no Graveyard shift.
As with most businesses in this current economy, USA Industries has seen a drop-off of orders beginning in 2008, resulting in the company reducing the production workforce by 50%. They have remained financially solvent, and are confident the recession will end before other drastic changes must occur.
Today in Monday, May 23, 2011, and CEO of USA Industries is about to speak to her staff during their normal Monday morning meeting.
The CEO of USA Industries begins the meeting by announcing she wants to increase production by 50% by the end of June, 2011.
1. Explain which of the functional areas listed above suggested the increase to the CEO, and why.
2. Put yourself in the seat of each functional area manager listed above, and describe what is going through your mind the instant the CEO makes her announcement.
a. Example: What is the HR manager thinking when she hears “Increase production by 50%”
3. As the HR manager, which other functional area manager are you going to work closely with during the next 30 days, and why?
4. Repeat questions 2 and 3 for all the functional areas listed about.