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Management Process (Case Study): Computime

3388 words - 14 pages

The Mission of Computime:We act as one responsive, flexible and innovative team with full commitment and dedication to exceed our customers' quality, cost, delivery and service expectations. (Computime.com)1.0 IntroductionComputime is a second generation family business operating from head offices in Hong Kong. They are one of Asia's leading providers of electronic design and manufacturing services with clients all around the world. Computime offers end-to-end solutions in consumer and industrial electronics, including product engineering and design, testing, supply chain management, contract manufacturing and logistics services. They have successfully transformed from a local Asian Family business to a global player. To keep up with current trends as well as local and global competitors, Computime must look at decentralising the company's structure. In addition Computime must restructure their Human Resource Management (HRM) and Research & Development departments in order to improve their market share and maintain their high level of customer service.The scope of this report is to take an in-depth look at the current structure of Computime and its environment and examine plans by its president, Bernard Auyang, to modify the structure of the company, in order to achieve its current goals.2.0 The Objectives of the CompanyIncrease sales by 3 fold by 2007.Increase profit margin by 2.5% by 2007.Create a new plant to meet production demands within 5 years.The Current Situation3.0 EXTERNAL ENVIRONMENT3.1 The EconomyAs BBC Quentin Sommerville states, "China's economy has grown by an average of 9.5% a year over the past 20 years and it looks to not slow down" (2005). Chinese economy is now the world's sixth-largest, with a GDP of $1.4 trillion (Bhatia 2004). Bhatia also brings the data from Goldman Sachs. They predict China will surpass the United States to become the world's biggest economy by 2040.As a member of the World Trade Organisation (WTO) since December 2001, China can now offer all foreign individuals and enterprises, including those not invested or registered in China, "a treatment no less favourable than that accorded to enterprises in China with respect to the right to trade" (WTO successfully concludes negotiations on China's entry, 2001).Reduced pressure from the communist headquarters in Beijing allows private companies to freely establish factories and business in the Shenzhen region (Brudivig 1993).3.2 Social / Cultural FactorsIn his 1999 SWOT analysis of China, Helms raises a few issues that may be of a concern for the western entrepreneur. He suggests that the cultural and traditional differences between China and the west may cause conflicts in a business. These differences are:- Collectivism versus individualism: "The rigid educational systems stifle individualism".- "Chinese take time in negotiations and dispute resolution"- "Non-Western work habits and slow bureaucracy are frustrating".- Hiring Chinese managers is essential...

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