KAIZEN SCHOOL OF BUSINESS MANAGEMENT
MARKS: 80 COURSE:MBA SUBJECT: General Management N.B: 1} Attempt all the questions
Name: Manoj Kumar Gupta Reference No: KP00510-20444 ____________________________________________________________
_________________ Case -1 The “FedEx” of Junk Removal Eighteen thousand expired cans of sardines. Fifty garden gnomes. A mechanical bull. An antique silver set (worth a lot of money). That’s just some of the weird stuff that 1-800-Got-Junk? customers have asked the uniformed people in the freshly scrubbed blue trucks to haul away. Company founder and CEO Brian Scudamore discovered there was a lucrative niche between “trash cans and those big green bins dropped off by” the giant waste haulers. But even in such an uncomplicated business as hauling people’s junk, Scudamore must be concerned with managing change and managing innovation. 1-800-Got-Junk? is based in Vancouver, British Columbia, with a corporate staff of about 170 individuals. “With a vision of creating the ‘FedEx’ of junk removal,” says Scudamore, “I dropped out of university with just 1 year left to become a full-time JUNKMAN! Yes, my father, a liver transplant surgeon, was not impressed to say the least.” However, in 2005, the company had over 247 franchises and system-wide revenues were over $66 million. Not surprisingly, Scudamore’s father is a little more understanding these days about his son’s business! Since 1997, the comp any has grown exponentially. In fact, the company made the list of Entrepreneur magazine’s 100 fastest-growing franchises in 2005 and 2006. Hauling junk would be, to most people’s minds at least, a pretty simple business. However, the company Scudamore founded is a “curious hybrid.” It’s been described as a blend of “old economy and new economy.” The company’s product—hauling away trash—has been done for hundreds, if not thousands, of years. But 1-800- Got-Junk? also relies heavily on up-to-date information technology and has the kind of organizational culture that most people associate with high-tech start-ups. The company uses its 1-800Got-Junk? call center to do the booking and dispatching for all their franchise partners. The franchise partners also use the company’s proprietary intranet and customer-relationship management site—dubbed JunkNet—to access schedules, customer information, real-time reports, and so forth. Scudamore’s philosophy was that this approach allowed franchise partners to “work on the business” instead of “work in the business.” On any given day, all a franchisee has to do is open up JunkNet to see the day’s schedule. If a new job comes in during a workday, the program automatically sends an alert to the franchisee. Needless to say, the company’s franchisees tend to be quite tech-savvy. In fact. some of them have installed GPS devices in their trucks to help find the most efficient routes on a job. Others use online navigation sites. With the price of gas continuing to increase, this type of capability is important. 1-800-Got-Junk? also has a culture that would rival any high-tech start-up. The head office is known as The Junktion. Grizzly, Scudamore’s dog, comes to the office every day and helps employees relieve stress by playing catch anytime, anywhere. Each morning at exactly 10:55, all employees at the Junktion meet for a 5-minute huddle, where they share good news, announcements, metrics, and problems they’re encountering. Visitors to the Junktion have to join the group huddle also. One of the most conspicuous features of the Junktion— “the first thing one sees upon entering—is the Vision Wall,” which contains the “fruits of Scudamore’s brainstorms.” Other members of the executive team have visions for the company’s future as well. Periodically they’ll “wander through the offices of Genome Sciences Centre, the tenant occupying the space above them, to visualize a future when Got-Junk has expanded so sufficiently” that it will take over that office space. Company...
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