Case study
CASE SUMMARY
Eastern International Food Service Corporation is a food service corporation that offers its services to the eastern part of the United State. The majority of the employees (300) are students out of high school and college students. Ocean Point, the park which they provide service for, is rumored to not renew their contract next summer because they have established specialty food stands for three years now.
For the last three years, The amusement park has established foods stands serving specialty foods. It does not interfere with Eastern International’s contract because of the type of food being served. EI employees believed they were going to be laid off because the company will not return to work the amusement park anymore. This meant about 300 college students will not return to a summer job. The employees became discouraged and lazy. No desire was put into their work anymore and many of them were quitting.
PRINCIPLE ISSUES TO THE CASE
- Ocean Point is rumored to not renew their contract next summer
- Increase on labor turnover
- Employee morale declining (theft)
- Rising food cost
- Plunging sales
ALTERNATIVE SOLUTIONS
First, he should start by his employees, Being that the greater part of the employees are students, they are less disciplined and committer to their work.
-Offer incentives to those who stay with EI (or to the ones who work fastest and sell more)
-Remind them that the employees who return the next year receive a 20-25% raise or slightly higher raise of 28-30%
-Motivate should be set to show students there are other rewards than money. Motivation can make a difference to the attitude of the employees.
-Management should give the employees an answer. They should either give employees a bit of support or clarify the rumors because the employees will feel as if they matter to the company.
RECOMMENDATIONS
-Have a Business Plan
-Use many geographic locations
-Prioritize employees (employee work schedule)
Eastern International Food Service Corporation is a food service corporation that offers its services to the eastern part of the United State. The majority of the employees (300) are students out of high school and college students. Ocean Point, the park which they provide service for, is rumored to not renew their contract next summer because they have established specialty food stands for three years now.
For the last three years, The amusement park has established foods stands serving specialty foods. It does not interfere with Eastern International’s contract because of the type of food being served. EI employees believed they were going to be laid off because the company will not return to work the amusement park anymore. This meant about 300 college students will not return to a summer job. The employees became discouraged and lazy. No desire was put into their work anymore and many of them were quitting.
PRINCIPLE ISSUES TO THE CASE
- Ocean Point is rumored to not renew their contract next summer
- Increase on labor turnover
- Employee morale declining (theft)
- Rising food cost
- Plunging sales
ALTERNATIVE SOLUTIONS
First, he should start by his employees, Being that the greater part of the employees are students, they are less disciplined and committer to their work.
-Offer incentives to those who stay with EI (or to the ones who work fastest and sell more)
-Remind them that the employees who return the next year receive a 20-25% raise or slightly higher raise of 28-30%
-Motivate should be set to show students there are other rewards than money. Motivation can make a difference to the attitude of the employees.
-Management should give the employees an answer. They should either give employees a bit of support or clarify the rumors because the employees will feel as if they matter to the company.
RECOMMENDATIONS
-Have a Business Plan
-Use many geographic locations
-Prioritize employees (employee work schedule)