The Greyson Company should maximize scarce resources and lessen expenses to increase profits. The case study focuses on the effect of the decline in the demand for the company’s products and services. The case study includes a study of the company’s growth stage. Greyson Company must exert all efforts to increase the company’s revenues and profits (Fifield 260).
The case study focuses on an impending event, product demand slide, in all organizations. All organizations go through four major stages. The stages are introduction, growth, maturity, and decline. Currently, the Greyson industry is firmly planted in the decline stage. Historically, people have replaced the previously popular typewriter with the computer. The desktop computer is being threatened by the latest desktop computer is being threatened by the new iPod marketing scene. The car industry is characterized by the diversity of car models (Fifield 239).
The case study is a reflection of the real world. Each company must continually maximize its scarce resources to outmaneuver the competitors in the same market segment. The case study shows vivid pictures of the world of the affected parties within an organization. Managers must continue to strategically implement organizational goals or objectives. The goals and objectives include increasing and revenues and profits. The case study correctly focuses on the organizational profits-based goals and objectives of Greyson Company (Fifield 148).
Further, the case shows the plight of employees in all companies in a crystal-clear manner. Employees work for the sake of achieving their security of tenure. The employees prefer salary increases. Employees expect seniority in terms of retrenchments, promotions, and other benefits. Employees expect to work in comfortable environments.
This is common in the aerospace industry. The decline in the demand for missiles is brought about by the reduction in the United States’ war policy. The Bush Government is popular for its Iraqi invasion policy. The Greyson Company can supply the missile needs of the Bush Government during the Iraq War. However, the case study shows that the government has reduced its missile production requirements.
The Greyson Corporation case seems realistic. All countries have an aerospace program. Some countries purchase missiles for their defense and offense military programs. All companies are beset by labor strikes. All companies are beset by decline demand for their products and services. All companies must maximize resources to keep abreast of the competitors. All companies are faced with retrenchment situations. All companies must generate enough revenues to defray the company’s costs and expenses (Fifield 221).
Other industries have the same problem. The food industry has been extremely affected by the new health-based advertisements. The changing client demands contribute to fashion changes. Smoking is hounded by health issues. The intoxicating drinks industry is confronted with health concerns. The changing demands contribute to car model changes. The fast-food chain industry is hustled by health issues.
It is very important to show related experience in a proposal. Related experiences indicate mastery of the job responsibility. For example, a teacher with 20 years of experience has mastery over the subjects being taught. Generally, a new college graduate has lesser work experience when compared to a middle-aged work applicant. Normally clients prefer suppliers having many years of related experience in providing quality products and services in the same market segment (Fifield 41).
The company has to comply with its corporate social responsibility towards its employees. The company must comply with all labor laws. The company must implement seniority policies in terms of promotion, salary increase, and other benefits. The company must implement the security of tenure policy of the United States labor laws. In the current situation, the United States Navy’s 2006 offer of $3.7 million and a maximum 2005 funding of 30 motors as well as the contract’s cost plus incentive fee pricing forces Greyson company to reduce labor and other avoidable production expenses. In response, management must explain the company’s current financial debacle to the striking leaders of employees can apply for jobs in other companies instead of conducting a strike. The company management must explain that the current revenue stalemate triggered the retrenchment of 700 noncritical employees (Koebele 18).
As the new president of Greyson, the actions would have been similar. The new president must retrench the 700 noncritical employees to reduce avoidable labor expenses. The company must generate enough revenues to pay for its operating expenses and costs of revenues. The reduction in the demand for Greyson’s missile-based products forces the company to reduce its production costs and expenses. Avoiding the retrenchment of the noncritical employees generates a net loss situation. Consequently, the company must shut its plants. In this scenario, all employees, not only the 700 noncritical employees, will lose their jobs.
Also, the Greyson management will focus on venturing into finding new needs, wants, and caprices need and filling the new needs, wants, and caprices. After learning of the government’s reduced demand for the Greyson aerospace products, the new president has to search for replacement clients in the market segment. In case there are no other viable client replacements, the company can venture into new market segments. The replacements must be based on surveys and other feasibility study procedures. The new market Neptune market segment study offers an alternative marketing plan to replace the current sunset industry undermining Greyson Company’s strive to retain the current status quo in terms of employee salaries and benefits. The employees are primarily interested in their security of tenure as well as monetary concerns (Fifield 299).
The customer plays a very important role in helping a contractor resolve the decline in revenue and labor problems. The customer buys the company’s products and services. To be profitable, the company must undertake a feasibility study. The feasibility study focuses on conducting customer-based surveys. The surveys include inputs from current and prospective clients. The surveys include a study of the competitor’s sales, cost of sales, marketing expenses, marketing expenses, assets, liabilities, stockholders’ equity accounts of the current market segment. Besides, the company can conduct a parallel feasibility study of new market segments (Fifield 8).
Conclusion
Greyson Company must exert all efforts to increase the company’s revenues and profits. The case study centers on an impending event, demand decline, in all organizations. The case study is a very realistic reflection of the real world. Each company must maximize its scarce resources to outmaneuver its competitors. The case shows the plight of employees in all companies. Employees generally strive to have the security of tenure. The Greyson business case study problem is normal in the aerospace industry. The case seems realistic. Other industries have this problem. It is of utmost priority to indicate related experience in a business proposal. The company has to comply with its corporate social responsibility towards its employees. As the new president of Greyson, the actions would have been similar. The Greyson management will focus on venturing into finding and filling new needs, wants, and caprices need. The customer plays a very crucial part in helping a contractor resolve the decline in revenue and labor problems. Indeed, the Greyson Company should make the most of scarce resources and reduce expenses to boost profits.
Works Cited
Fifield, P. Marketing Strategy. New York: Butterworth Heinemann Press, 2007.
Koebele, M. Corporate Responsibility. New York: Martinus Press, 2009.