Mgt 521 Week 5 Paper

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Problem Statement: Kudler Fine Foods

University of Phoenix
MGT 521
April 27, 2009

Problem Statement: Kudler Fine Foods
Kudler Fine Foods was established 1998 in La Jolla, CA by Kathy Kudler. Although Kathy has seen much success with her business she is also experiencing difficulties. Some of the areas of the business she is experiencing difficulties with include the Del Mar location is not performing as expected, some of the employees are underpaid, and Kathy has too many responsibilities (Kudler, 2003). Problem Statement

The store opened in Del Mar is not performing as expected. The reason the store has not been performing as well as the other locations is due to the population in Del Mar. The city is not big enough to support the gourmet food store.

Kudler Fine Foods is also having a difficult time paying all employees competitive wages. Some employees are paid much higher than others. For example, specialists are paid more than the cashiers and stock clerks.

Last, Kathy has assumed much of the day to day responsibilities. Although Kathy has hired a manager and an assistant manager for each store she “spends most of her time at the stores, selecting and ordering product, occasionally running the cash register, and sometimes even stocking shelves” (Kudler, 2003, p.4). Kathy has also assumed the responsibilities of marketing and human resources. End Vision

The best outcome for the company would be to be able to relocate the Del Mar location to a larger city, increase the pay of certain employees and eliminate some of the tasks Kathy is currently responsible for. This can be accomplished by opening a new location in Carlsbad and shutting down the Del Mar store. Kathy could also have some of the other hourly employees train as a backup for the specialists and decrease the number of hours work by the specialist. This would allow Kathy to increase some of the under paid employees’ wages and provide them with additional skills. Last, Kathy needs to...
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