Case Study Natasha Phils
Executive Summary
Natasha’s scheme for dealers is very lucrative. There are companies with more lucrative compensation schemes but they have exorbitant prices to finance these. Natasha is the one of the most successful network marketing in firms the country. Tasked with developing an optimal organization structure and control system for its branch network.
How to improve the operations o the branches and at the same time monitor their performance the general manager directly supervised the branch managers.
Mr. Mangahas was anxious to find a way to monitor and evaluate the performance of the branches.
He was also trying to formulate a reward system appropriate for the branch managers
A branch manager should made a decision on the following:
Personnel size:
Staffing in the branch
Promotion of staff
Disciplinary action against staff
Mix and quantities of inventories to be maintained in the branch based on the sales targets approved by the general managers
Credit approvals subject to the existing credit guidelines approved by the executive committee and:
Special marketing initiatives which are within the budgets allocated to the branch
The catalogue contained the different producer lines of Natasha’s branch managers could make decisions on the what products to sell or which product were obsolete.
The head office decided on this. Branch managers also did not make pricing decision.
They were also not allowed to deviate from the prescribed prices of the products. Branch managers compensation is 50 percent fixed salaries and 50 percent commission.
Mangahas, also wants to provide incentives to motivate employees to work for the best interest of the company.
He want to develop company policies that will further enhance employees satisfaction and loyalty to the company.
Problem of the Case
Main Problem: How to improve the operations of the branches and, at the same time, monitor their performance.
Sub- Problems: * The
Natasha’s scheme for dealers is very lucrative. There are companies with more lucrative compensation schemes but they have exorbitant prices to finance these. Natasha is the one of the most successful network marketing in firms the country. Tasked with developing an optimal organization structure and control system for its branch network.
How to improve the operations o the branches and at the same time monitor their performance the general manager directly supervised the branch managers.
Mr. Mangahas was anxious to find a way to monitor and evaluate the performance of the branches.
He was also trying to formulate a reward system appropriate for the branch managers
A branch manager should made a decision on the following:
Personnel size:
Staffing in the branch
Promotion of staff
Disciplinary action against staff
Mix and quantities of inventories to be maintained in the branch based on the sales targets approved by the general managers
Credit approvals subject to the existing credit guidelines approved by the executive committee and:
Special marketing initiatives which are within the budgets allocated to the branch
The catalogue contained the different producer lines of Natasha’s branch managers could make decisions on the what products to sell or which product were obsolete.
The head office decided on this. Branch managers also did not make pricing decision.
They were also not allowed to deviate from the prescribed prices of the products. Branch managers compensation is 50 percent fixed salaries and 50 percent commission.
Mangahas, also wants to provide incentives to motivate employees to work for the best interest of the company.
He want to develop company policies that will further enhance employees satisfaction and loyalty to the company.
Problem of the Case
Main Problem: How to improve the operations of the branches and, at the same time, monitor their performance.
Sub- Problems: * The