Managemen: a case study of wb engineering limited

The flexible reputation of attention of micro and spiritualist scale loyal has made the charge carriage of life in this bodily structure of system to be difficult. The structure and the size of elections available to clear and medium scale administrations these fall in jointly constituted a f correspondor that turns the worry styles in teeny-weeny quicks to be at variance with what is obtainable in sizable-scale cheeks.In the view of Slatter(prenominal) (1992159) cited collins & Ram, 2003, managing fast yield in entrepreneurial fast(a)s is sensation of the most difficult challenges that exists. Owners often struggle to balance the flexibility gather uped to keep pace with customers demands, with the stability mandatory to provide employees with a smell of continuity and security. Hence wariness essentially comprises a automobilegonful balance act between strong leading and alter task-oriented management and processes involving fundamental lawal cohesi on and those promoting individual responsibility (Collins & Ram, 2003).As a s nub and medium scaled secure expands and begin to transform into a large surface plaque t here(predicate) is the need for such transformation to be capable to changes in management style that hitherto had macrocosm practiced this need be d integrity so that a lacuna would not be created and a confused of touch and seemly control of the expanding resources. There is to a fault the need to be awoken to topical trend in our foreveryday propellent production line concern environment. The non-adherence to these diminutive but significant facts has rendered many well to do but poorly managed cheeks to die a premature death.This write up would be looking at those calculates that had imposed the difficulty our case field of operations (WB design science hold in) is passing with. WB Engineering Limited is a small firm having the aim to develop into a medium scale firm. The coordination of the fi rms valet de chambre resource portends an impending difficulty to the travel transport of the firm to its next developmental level. Adrian and Grey are both managers of the small firm. Adrians relocation to Spain from US where the business located, kept Grey in a tight corner on how to effectively manage the firms resources.The immediate cause of the firms problem and recommended solutions on how to curtail this problem would be proffered.CONCEPTUALIZATION AND CHARACTERISTICS OF SMALL AND MEDIUM constitutionThe term small is a relative one it is not absolute. The chore separating small from large is in a continuum and an issue that is inevitably arbitrary. harmonize to Odaka & Sawai (1999), small business is a generic concept. Being the antonym of enlarged business, its social significance becomes clearer when placed in the historical context where the latter first appeared in the world economy. Bolton 1971, cited in Bannock (2005), he identify three characteristics in its eco nomic definitions of a small firmA small market share, that is not large enough to influence guinea pig price or qualities (even though a village shop whitethorn be the only one, its prices cannot get too far knocked out(p) of logical argument from those of major national retailers in the nearest town, even though the great unwashed will pay something for local convenience)Managed in a personalized guidance the owner actively participates in all aspects of the business un akin in a large firm where the shareholders and management are ordinarily nearly entirely separate.Independence or the exercise of ultimate management responsibility. A small subsidiary of a large firm, which has a head superpower to report to, does not share these characteristics. The above characteristics are usually place with vast majority of business, which are inherently small in size.The charter of small firms revolves around it fivesome major features which include 1 population 2 Survival. 3 Succ ess 4 Take-off 5 Resource maturity. And these are regarded as the five stages in small business growth (Churchill & Lewis, 1983). These five stages go a long way to influence and determine the victory that trails the small business historical growth.ADDUCED REASONS LEADING TO THE FALL OF WB ENGINNEERING hold inTransition from a small or medium size of business disposal to a large entity, it requires the need to restructure the organizational structure and likewise the organizational dodging should be enhanced to be in tune with the new status the organization is attaining. Managing a fast development entrepreneurial firm as that of WB Engineering is a toilsome task that requires adequate managerial dexterity in balancing the flexibility required to keep pace with customer demands, alongside with the stability needed to provide employees with a sense of continuity and security in the transitional organization.One way of doing this is through a strong leadership in the organizat ion that provides a key role in oercoming the confusion that usually accompanies growth and is necessary to build and maintain the stickingness of the organization. According to Collins & Ram (2003), management essentially comprises a careful balancing act between strong leadership and decentralized task- oriented management and processes involving organizational cohesion and those promoting individual responsibility.Looking at the case study, WB Engineering Limited had missed the mark in a cohesive management of its expanding business and the leadership style meeted had being one of a centralized and undemocratic. The WB Engineering organization started well as a small entrepreneurial firm that adequately managed its resources and put in that individual- centralized managerial skill required at this stage of the business. except as the organization expands and transforms into a conglomerate status integrating on a vertical level and diversification of resources and operations l evel, it then requires that at this developmental and transitional level in the organization that a cohesive maintenance of the organization is keep an eye oned through a strong leadership that exhibit a decentralized and democratic leadership style.The focus here is that WB Engineering Limited failed to give room for experts trained in specialised managerial skills to assist in managing the growth of the organization. This became visible when Adrian move to Spain, Gary felt totally abandoned and helpless. Assuming there is a decentralized structure in place, the absence of Adrain would not concur constituted a big effect.His absence would suck being adequately c everyplaceed. It thus ever signifies that the management has being one that is centralized even in this assumptive state of the expansion of the organization. This had helped in the collapse of the organization. The no cohesive management of the organization again is reflected in the disconnected and autonomous manag ement of the specialized units within the company as a group of satellites.The uncoordinated nature of the management of the organization shows the lapses in management style which is another factor that has contributed to the fall in WB Engineering Limited. The lapses in managerial style adopted by Gary and Adrain is the miss of consultation with specialist before embarking on projects and besides the lack of proper omen and investigate before venturing into a new business environment. Though, the WB Engineering Limited spent a whooping sum (2million pounds) in consulting professional and legal fees, this was done after the chain reactor has being signed and as a way of restructuring the organization, after the science of ESR, to be floated as a public organization.Assuming a little part of the sum had being spent in managerial consultancy and proper forecasting and research work, prior to the sequence the deal of acquiring ESR, this would have enable WB Engineering Limited to foresee the possibility of the accomplishment as a dead trap, and an alternative measure would have being taking to avert the impending consequences. It is seen that the management style of the WB Engineering Limited had failed to grow out of its old shell and imbibe current management techniques and adopting strategical planning for the transitional organization. As it is a noticeable fact, management style in small firms have been more on operating(a) plan than strategic plan.While strategic plan is conceived as a written long-range plan, which includes both a corporate direction statement and a statement of organizational objectives operating planning on the other hand is defined as the setting of short-term objectives for specific functional areas such as finance, marketing, and personnel (Shrader, et al 1989). A strategic planning needs adequate forecasting and researching. The embarking on projects without proper forecasting and re searching on consequences and buildin g alternatives plan had being the waterloo of WB Engineering Limited when it acquired ESR. According to Orpen, strategic planning benefits small firms by causing them to explore new alternatives for increasing sales and improving their warlike advantages (ibid).The management of WB Engineering Limited failed to recognize the significance of business environment in influencing the outcome of business operation. The preference for racing car in the UK market is different from what is obtainable in the US market. commencement ceremony impression matters a lot. The first introduced model of racing car in ESR by WB Engineering Limited, with a lesser timberland in comparison with its other produce had beclouded the mind of prospecting customer, even when a winning model was reengineered by the company best engineering hold little was done to safeguard the already battered image of the immerging firm (WBE-ESR organization) in US.Another factor that had contributed to the fall of WB Eng ineering Limited is the lack of concentrating all its resources directly at the operation it is having an upper hand. The organization had no specialized operation area it is thus enough varlet of all trade and master of none.Since the organization had cut an ace for itself in technical expertise and project engineering skill to mainstream automotive market, it ought to have concentrated its resources in consolidating its operation around this area, rather than dabbling into other areas like owning a car racing team, and other project that is unrelated to it midpoint area of operation. Concentrating and being specialized in a function makes the organization the master in such operation, hence competitive advantage over its rivals, even in this modern dynamic business world.From the given show of WB Engineering Limited historical antecedents, it is observed that the organization ha a poor human relationship with its actors. They are not adequately informed and carried along in th e organization scheme of operation. This is reflected where senior employees of the organization began to question the strategic direction of the organization. This shows that initially the senior employees were not partakers to the strategic planning. This also goes back to support the centralized and non consultative pattern which the management of the organization operates.The non involvement of workers especially the senior workers in the organization strategy planning, this had given them no sense of belonging in the organization, hence the lack of zeal to pursue the organizations objectives and goals. According to Marlow & Patton (1993), the effective management of employees is also uphill as a key variable in the survival of mall firms. The management of workers and non-consultation attitude of the management had contributed to the poor relationship of human resource in the organization with the management.CHANGES TO BE DONE IN ORDER TO cleanse THE ORGANIZATION EFFECTIVENESS The WB Engineering Limited need to adopt changes in ways it operates and the organizational structure for it to improve on its effectiveness. The under listed are ways the organization can achieve its effectiveness.First, there is a need that the organization restructures its management structure, which hitherto had been a centralized and undemocratic one. A decentralized organizational structure permits room for participation and workers bestow their innovative ideas in ways that would spur the organization ahead and make it compete vigorously with its rivals and attaining greater customer satisfaction.Thus, there is the need that the management of WB Engineering is decentralized, the strategic planning of the organization should not be left to only Adrain and Gary workers involvement would go a long way to effect a positive change in the organization. Also, the need to adopt a formal structure in the organization would also maintenance in bringing an effective management struct ure where each worker knows who to report to and the responsibility expected of him. There is also the need for the organization to build a more beneficial relationship between the organizations human resource and the management.Since the WB Engineering Limited is becoming vast in its operations, it should imbibe those strategic operations adopted by large organization thus there is the need to carry out a strategic human resource management. According to Bacon et al (1996), cited in Wagar (1998), small business managers are increasingly aware of new management ideas, and a number of organizations have implemented initiatives traditionally identified with large firm. Thus the strategic human resource management has to do with the organization using its human resource in jointly muster out strategies on which the organization would operate on. In modern time firms were most likely to report sharing business information with employees and rapid change, keeping employees informed is important (Wagar, 1998).The WB Engineering Limited should do more to incorporate more effective forecasting and consultative research prior to embarking on projects. This would not only safe the organization from move in wrong business and project deals, but also enable it know how to manage its resources in the most rewarding way.There is also the need for a well coordinated chain of the organizations satellites businesses. This should be synchronized toward achieving same goal. The different group of satellites and other operational areas of the WB Engineering conglomerate should be coordinated in a fashion to jointly work towards achieving the goal of the organization. As earlier stated, the organization should concentrate its resources in the area of technical expertise and project engineering which over the years had being its major profit maximizing venture.It is also suggested that the acquired ESR in U.S. since this has being the waterloo and the immediate cause of the imp ediment to the growth of WE Engineering Limited this should be made to enter into a strategic conjunction with other thriving organization in the United States. quite of a full merger, the organization resources and managerial know-how can form an alliance with other effective organization in strategizing a way of moving the organization through a symbiotic relationship. This will give the organization the ability to take advantage of the environment in which it operates.Lastly, it is suggested that in this ever dynamic contemporary business world, the organization should follow the trend of the time and adapt to modern management techniques such as strategic human resource management, Total Quality management (TQM), having competitive advantage through product differentiation. When these are adopted it would give the organization an edge over its rival and make the WB Engineering Limited regain its lost glory in the race car construction industry.REFRENCESBannock, Graham (2005), The economical and Management of slender Business An International Perspective. New York Routledge Publisher.Collins, L. & Ram, M. (2003), Managing the Entrepreneurial inviolable Stream 9 Critical realist in Perspectives on Entrepreneurial organic law and Discourses. June http//www.mngt.waikato.ac.nz/ejrot/cmsconfrence/2003/proceedings/criticalrealist/collins.pdf (06/03/06)Neil C Churchhill and Lewis, V. L. (1983), the Five Stages of Small business Growth. Harvard Business Review, 61, 2-11Shrader, C.B. et al (1989), Strategic and Operational Planning, Uncertainty and Performance in Small Firms in Journal of Small Business Management Vol. 27, No. 4Odaka, K. & Sawai, M. (1999), Small Firms, Large Concerns, The development of Small Business in Comparative Perspective. Oxford Oxford University Press. P1.Wagar, terry cloth H. 91998), Determinants of Human Resource management Practices in Small Firms Some evidences from Atlantic Canada in Journal of Small Business Management Vol.36, N o.2.