Case Study, Grand Jean Company

Topics: Output, Input, Management Pages: 3 (697 words) Published: January 27, 2013
Q1. How would you describe the goals of:
(a). The company as a whole.
The goals of the company as a whole means the broad, usually non-quantitative, long run plans relating to organization. As we know, Grand Jean Company has been one of the world’s largest clothing manufacturers, which means it is at a relatively mature stage with variety lines of dress and jeans for men, women and boys. Therefore, according to the BCG Model, described the Business Unite Missions, the company's strategic goal should be “Hold” in the long run. And in order to achieve the goal, the company should maintain the high standard in growth rate, cash source, market share and cash use. Meanwhile, Grand Jean should be stated as “Harvest” right now, in terms of the stable growth rate but not high by now.

(b). The company’s 25 managers of manufacturing plants
The objectives of the company’s 25 managers of manufacturing plants, however, are more specific, often quantitative, shorter run plans for individual responsibility centers. The company treats the 25 plants as expense centers whose inputs are measured in monetary terms, but whose outputs are not. And the manufacturing plants are part of engineered centers, which relate to engineered costs. Since the outputs can be measured in physical terms, and the optimum dollar amount of input required to producing one unit of output can be determined. In this way, their objective is to put one plant to work for a whole year on one type of pants. So that they can save start-up costs and keep the plants at peak efficiency.

(c). The company’s marketing organization.
Meanwhile, the five marketing departments of marketing are treated as revenue centers, whose output is measured in monetary terms, but no formal attempt is made to relate input. Because the performance of marketing department managers is measured on the basis of meeting these targets, so the objectives for the normal sales force should be earning as much as commissions,...
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