Managers have ignored their roles in the business, which has resulted in most of the business failures. However, they are expected to play a role in organizing and bringing together the resources such as human, capital, and finance to an agreement. The aspect of organizing should follow certain principles not restricted to the span of control, specialization, functional organization, and the chain of command. Besides, the manager is required to critically define the functions of leadership in the organization, taking into consideration the functional authorities and the power of other directors. Therefore, this paper provides an analysis of issues in Galaxy Toys organization and shows how the manager can use decision-making authority and the structure of the organization to take corrective measures, which will result in a considerable yield.
The manager is responsible for coordinating all the activities taking place in the organization, including all the production, sales, marketing, and procurement processes. Planning is also another responsibility of the manager in which activities and functions are assigned to individuals with skills to accomplish them. Most importantly, staffing has been one of the responsibilities given to managers. It involves recruiting human resources in the organization, their orientation, training, promotion, compensation, and the provision of performance appraisal for such employees.
As a manager, Itza Yu should address various issues in his organizational structure, which will aid in the delivery of both the existing and new production. These issues include authority definition, employee alignment to the task, responsibility coordination, identification of activities, and departmentalization.
Identification of activities. Itza Yu should address this issue since prioritizing activities is never easy in any organization. It is vital to identify those activities that are in line with the production needs of both the existing production and the project at hand. Yu should detect and evaluate those activities that will give good results or those that will enable the organization to achieve a particular set target. Further, he should communicate them to the subjects. In consideration of the Galaxy Toys’ case, some of the relevant activities that should be addressed are the purchase of materials and 3-D printers, recruitment and training of more employees, shipping, and production. When addressed effectively, all these activities will improve the level of production of both the existing and new toys.
Departmentalization. Departmentalization involves dividing an organization into various departments with different responsibilities and functions. It is a critical issue in the business since working with different departments based on the role and level of expertise will not only reduce the time of production but will also lead to high-quality production. Yu should ensure that the production department works in conjunction with other departments in the organization.
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Classification of authorities. Yu should address this issue to make different individuals within the production department responsible for various activities. Departmental heads use this step to classify and clarify power to the employees within the department. Classification of authority in the organization enables the departmental manager to give ranks based on the managerial position or hierarchy. This calls for the classification of personnel into categories responsible for a given task. As a reminder, departmental managers are middle-level managers who are responsible for setting long- and short-term goals and policies that will ensure a higher level of productivity in their departments.
Assigning tasks. This is based on the division of labor and specialization in which work is divided taking into consideration skills and qualifications. Yu should address this issue and divide responsibilities, which will facilitate production in the expected project. With regards to Galaxy Toys, the new project will entail the use of technology, which requires skilled and trained personnel. On the other hand, the production area of the industry should be run by qualified team members with the necessary skills and the ability to aid in the manufacture of the finished goods (Aini, Hafizah, & Zuraini, 2012). It is notable that specialization is an imperative aspect in any organization since timely and quality production is enhanced.
Coordinating between responsibilities and authorities. Coordinating between responsibilities and authorities is the organizing issue that may be difficult for most managers. It involves ensuring that all the activities within the production process are coordinated based on various responsibilities and authority at each level. Organizing ensures that all the activities are clearly identified and communicated to stakeholders so that they can understand them with ease. This issue is closely connected to the clarification of authority, duties, relationships between employees, and responsibilities partaken in the organization. Therefore, Yu should address the importance of responding to duties as assigned by various authorities.
Decision-making authority in the production department comprises the production manager who sets long-term goals to be adhered to by quality inspection, production team, and engineering division. These divisions and teams then formulate short-term objectives to be followed by the production technology representatives and those who are responsible for testing the goods.
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The decision making in the organization takes a hierarchical approach. The production manager is regarded as the most senior individual who makes long-term decisions that should be adhered to by the department. The production manager formulates goals and objectives for each team and division in the chart. However, the goals are set based on the nature of work each employee is expected to perform (Oesterle & Mullenberg, 2014). For example, quality inspection personnel ensures that the products that are manufactured undergo tests to ensure that they meet the required standards. This process is done in the testing room. The engineering division is another vital section in the production process since it is concerned with the functionality of the machines used in production and the type of innovation that will assist in the manufacturing process.
This structure was chosen since it is easy to understand. Employees will be able to follow the production procedures without any problems. Besides, the structure shows important stages required in the production process and ensures a proper flow of information.
Motivation is one of the key factors that are considered critical in any work setting. As for the Galaxy Toys, the use of technology, namely 3-D printers, has automated most of the processes that were done manually, hence reducing the demand for manual labor in the organization. However, the main concern, in this case, is job insecurity that affects employees negatively due to the psychological aspects associated (Al-Khouri, 2011). This issue may lead to the loss of work morale, which may consequently result in low-quality production. It can be deduced that the emergence of technology is one of the barriers to employees’ productivity and it is subject to resistance. To reduce the level of resistance, the management should communicate the change beforehand, so that employees can understand the benefits of technology for their work and even for the business, in general.
One of the immediate strategies to reduce the level of resistance is to make employees understand that machines do not reduce their input but rather complement their efforts in whatever task they perform. Workers are expected to receive proper training on how the machine operates. Moreover, Yu should deploy a reward scheme that recognizes the contribution and performance of employees, which will act as a motivational factor, improve their work morale, and bring a sense of job security.
Yu should use various ways of the enhancement of employees’ motivation. Through better communication, workers will feel like they are part of the organization. Better communication will also establish good relations and work morale (Hokroh, 2014). Besides, providing gifts for better performance, as well as promoting the best staff members, will be a good way to motivate employees. The manager should offer opportunities for advancement because workers will consider this as a way to improve their skills. Most importantly, providing incentives is one of the best ways to motivate employees.
When looking at the cost of production in five branches, it is obvious that the cost at White Plains is the lowest one. Only White Plains (7.45) and Huntsville (7. 52) operate below the standard cost set at 7.56. On the other hand, Juarez has the highest cost of 8.01 per unit. Other branches are Toledo with 7.67 and Dayton with 7.87. Therefore, it means that the five factories will face an adverse variance since the market value is higher than the budget.
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Furthermore, Juarez production time is 7.59, which is the longest production time. On the other hand, White Plains has the least production time of 7.31. It is notable that among the five factories, Juarez and Dayton are the only plants with the highest production time per unit as compared to the expected standard set at 7.36. Toledo and Huntsville result is 7.32.
In addition, all branches in consideration are seen to be associated with various quality control problems that are estimated higher than the standard set amount of 1 per 500 units. Juarez has the highest problem ratio of 8.75 as compared to other industries. Toledo has a ratio of 2.5, Dayton – 4, White Plains – 1.5, and Huntsville –1.75.
On the other hand, Juarez has the least training time of 25 per hour while Huntsville is seen to have a training of 48 per hour. Besides, Toledo has a training time of 35 per hour, which is next to the standard time. Therefore, it can be deduced that only Juarez has a lower time as compared to the standard amount estimated at 30.
It should be mentioned that all the five branches have fewer shipping problems as compared to the standard of 1, with Juarez having the highest result (0.4), White Plains having the lowest result (0.133), and Dayton having an average result (0.333).
Furthermore, there is a balance between the branches with respect to 3D problems per 10000 units. Such branches as Toledo and Dayton have almost as the same result, namely 0.25 and 0.286, respectively. Juarez has 0.4, which is higher than the standard. On the contrary, White Plains and Huntsville have 0.1, and 0.111, which is lower than the standard specification.
Most importantly, Juarez (450,000) produces the least number of pieces per year while Huntsville (700,000) produces the highest number of pieces per year. However, all the branches produce more pieces annually than the standard specification of 400,000 pieces.
Aspects mentioned earlier such as cost, quality control problem ratio, and time need much improvement, as well as additional review. It is evidenced that among the five factories, White Plains and Huntsville have lower costs as compared to the standard specification while others recorded a higher cost. This shows that there is a considerably poor cost management program in the three branches. It is also evident that the quality control problem ratio per 500 items was higher in all branches.
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The training results indicated that in four out of the five factories in consideration employees had difficulties working with machines; therefore, they required much training time. However, time, shipping problems, and 3D problems showed encouraging results since most factories had a favorable variance in comparison to the standard specification.
From the presented results, the cost, quality problem ratio, and training time require a corrective action that will make them meet the standards needed. Keith should revise the standard metrics, as well as evaluate the individual parameters of branches, identify issues, and deploy a corrective measure. Specifically, he should increase the training time since it has an effect on other performance measures. For example, in consideration of White Plains, the branch has high training time, the lowest cost and production time, quality control issues, and shipping problems.
Some of the factors that are seen to impact the strategic planning in the branches include employee training, budget, employee turnover, damages, and quality control problem ratio (Aini et al., 2012). Among these factors, training on repair and maintenance can be considered the major issue. As can be seen from the earlier results, four out of five factories needed higher training time than the standard of 30 (Carlton & Perloff, 2015). Therefore, the success of the branches will only be possible when proper training is offered to employees on the use and repair of machines, which will increase the rate of output since machines will be used effectively.
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Employee turnover is seen to be a problem, especially in Juarez because employees in this branch have been hired away by a software company. These workers are well trained, meaning that the Galaxy’s efforts dedicated to training have gone to waste. To reduce employee poaching, Galaxy should ensure that good working conditions are offered to employees since this will influence the decision on whether to stay in the company or not. This can be done by offering proper working conditions, thus initiating morale to stay in the organization (Schimizu, 2012). On the other hand, Galaxy should establish a reasonable budget that will help to retain skilled employees in the market. A reasonable budget will allow for better pay of employees and ensure that they have better working conditions.
It is notable that the number of damages exists in the industries and, in as much as they are lower than the standard level, such damages lead to the waste of resources and time. The manager should deploy corrective measures to curb machine damages in the production process that may reduce the level of production. Lastly, ratio quality problems should be evaluated appropriately in order to minimize errors that may occur in the business (Najmaei, 2011). Errors are a threat to the business and they may lead to the loss of data and information that are important resources of the organization.
Therefore, it is appropriate to offer training for employees on the use of different devices. In addition, good working conditions, as well as other motivational factors, should be provided to workers. Most importantly, a reasonable budget should be established to retain employees. When these aspects are put in place, there will be a reduced number of errors that may lead to distorted data and information.