This website uses cookies to ensure you have the best experience. Learn more

The Wallace Group Case Analysis

1924 words - 8 pages

The Wallace Group Case Analysis

Introduction

The Wallace Group is a diversified company that deals in the manufacture and development of technical products and systems. The company consists of three primary operating groups, electronics, plastics, and chemicals. The electronics group is by far the largest, its size is approximately the size of the plastics and chemical groups combined. Of the $70 million in net sales, the electronics groups contributed about $35 million of that, with plastics contributing $20 million and the remaining $15 million coming from the chemical group.
Both the plastics and chemical groups were acquired for the sole purpose of diversifying the company. Mr. Wallace thought if he added these two new divisions, he would be able to bring new life to the company.
However, due in part to these acquisitions, the Wallace Group faces several problems. The first issue relates to their hiring process and how they choose who to promote. Instead of hiring qualified employees with the proper expertise, they focus more on cutting costs, therefore hiring non-qualified employees. One example of this process is, instead of creating a management development program for training and recruitment of new management, they just promote within. However, they promote technicians to management positions without the proper training, because it's cheaper to do that.
The second issue arising is their inability to have a standardize form of collecting and presenting data. One example is that both the Vice President of Marketing and the Director of Advanced Systems, collect and utilize the similar data for marketing purposes. Because both managers are collecting data for the relatively same purpose, there redundancy and also a greater workload that is unnecessary and unproductive.
The third and final issue, which is the most crucial, is the lack of vision from Mr. Wallace. The acquisitions of the plastics and chemical companies, both lacked forward looking vision, the only requirement for their acquisition was that they were profitable.

PEST

Political
• The U.S. Government is their primary customer
• Changes in government policy or funding to defense can affect sales dramatically
• Change in world environment (peace, war, etc) can affect government contracts
• Unions enforcing a no lay-off clause conflicting with increased production measures

Economic
• During a good, booming economy, the Wallace Group should expect large spending from its customers
• Company has a hard time attracting skilled employees
• U.S. spends more than any other nation in regards to defense
• Current wars may affect sales of defense related products
• State of economy and expected direction suggest increased current and future sales of autos
• Rising interest rates will make it more expensive to finance the necessary adjustments/expansion to the company through long-term debt issues

Social
• Due in part to the Department of Defense...

Find Another Essay On The Wallace Group Case Analysis

The Wallace Group what is the biggest area of Concern

3011 words - 12 pages What is the most important problem facing the Wallace Group?After completing interviews with key members of the Wallace Group and reviewing notes from these interviews as well as various reports and observations of the Wallace Group it is clear that there are several problems within the organizations, among these are a mood of lethargy and drift within the Wallace Group, many managers feel that each of the three groups functions as a separate

"The Wallace Group" Strategic Management and Business Policy

1304 words - 5 pages -6 of The Wallace Group Case, most positions held by the corporate staff are "recent additions, many of the job accountabilities are still being defined." The same type of problem is apparent in the groups. In Frank Campbell's interview he states that the rapid growth of the company forced technical people into management positions that they aren't qualified or experienced to uphold (p. 2-7).Furthermore, Mr. Wallace is, in the words of Brad

Jaffree v. Wallace Supreme Court Case: Analysis

3419 words - 14 pages of the United States”(Wallace v. Jaffree). Stevens also cited several landmark cases, one being Cantwell v. Connecticut, the case that determined that the Fourteenth Amendment limited the power of the States in the same way the First Amendment limited the power of Congress. To support his argument, Stevens quoted Chief Justice Burger on a previous opinion he had made, where he stated that “… the right to speak and the right to refrain from

Analysis of William Wallace using the “Psychoanalytic Approach”

714 words - 3 pages William Wallace Hero or Herod?An Analysis of William Wallace using the "Psychoanalytic Approach""William Wallace, a murderer, a runaway, a patriot, or a thief?" William Wallace led one of the first Scottish revolts against the English in the early 14th Century. His army defeated a much larger and much more powerful English army at Stirling Bridge, they captured Stirling Castle, and then ravaged northern England, for which Wallace was knighted

Interpretation and Analysis of Wallace Stevens' The Snow Man

1482 words - 6 pages "The Snow Man" by Wallace Stevens is a poem which creates a unique dramatic situation through an effective imagery, and which compels the reader to employ another way of thinking in order to both understand the poem and realize its very theme.The first thing that is noticeable about the poem is that it is actually just one long, complex sentence. There is no rhyme, and there is no particular meter. Each foot varies: the poem becomes a

wallace group

325 words - 1 page (สถานการณ์ที่เกิดขึ้นWallace Group Inc. เป็นบริษัทที่มีความหลากหลาย ประกอบด้วยการค

Case No.47: "The Apollo Group" Managing Strategically

2301 words - 9 pages Case No.41: "The Apollo Group, Inc. INCLUDEPICTURE "http://www.apollogrp.edu/images/img_hdr_logo2.gif" \* MERGEFORMATINET Managing StrategicallyCase No.47: "The Apollo Group"TABLE OF CONTENTS2Sections 2Section a 21 Introduction 32 Core Competencies 42.1 Developing core competencies 42.2 Uses of core competencies 43 Core Competencies of the Apollo Group Inc 43.1 Skilled Workforce 43.2 Good Market Share 44 Key Success Factors 44.1 Product 44.2

Google Group Case Study: Google Takes on the World

3176 words - 13 pages Information Management SystemsFebruary 3, 2009IntroductionGoogle has become one of the biggest corporate conglomerates in the Internet and business world. How could a simple idea proposed in a dorm room by Larry Page and Sergey Brin grow into this huge giant of the business world? The purpose of this case study is to examine the reasons as well as possible scenarios that will help Google lead the charge throughout the new millennium.1) Evaluate

The strategic analysis of EasyJet and Easy Group --the analysis of organisational assets and Growth-share Matrix analysis for the Easy Group

3754 words - 15 pages IntroductionThe assignment was based on a strategic marketing analysis of Easy Jet and Easy Group. It will be carried out through two exclusive parts.In the first part, firstly, we are going to give a general overview on easyJet's assets, then mainly concentrate on its critical capability which formed its core competence. Essentially, historical comparison approach was adopted to evaluate the organization's relative strengths and weakness.The

The Medicines Company Case Analysis

2128 words - 9 pages complications due to Heparin should be a selling point. The doctors and pharmacists will need to be the salespeople of Angiomax to the hospital administrators and provide them with "selling tools" since the Medicines Company will not have direct access to the ultimate decision makers.Pricing of Angiomax needs to be carefully determined. Breakeven price point analysis has been completed based on limited data from the case, see Exhibit 1. The breakeven price

Analysis of the Case Law

3355 words - 13 pages Analysis of the Case Law "There is no prescribed constitutional relationship between the courts and the executive, but the judges assert their inherent power, derived from the rule of law, to review executive actions" The question starts off by giving us an element of the separation of powers when it says that there is no prescribed

Similar Essays

"The Wallace Group": Case 2 Essay

769 words - 3 pages Individual Project Unit 1.A. What is the most important problem facing the Wallace Group?There are several problems facing the Wallace Group, but it seems the most crucial problem facing the group is two-fold; the lack of vision and direction from the CEO, Harold Wallace and improper management.a. His diversification program that resulted in the acquisition of the chemical and plastics divisions lacked forward looking vision. He simply required

The Wallace Group Case Study: Problems And Solutions

747 words - 3 pages Melissa BaldanPrepared for Dr. MikeMarch 24, 2005MGT 485Unit 1 IPDuring the evaluation of the Wallace Group, it has come to my attention that several key factors are obstructing the growth of the company. The main issue in determining how these factors can be changed is by remolding the company outlook. It is imperative that The Wallace Group change their business perspective to a strategic choice perspective. This perspective utilizes an

The Wallace Group Strategic Management

1558 words - 6 pages THE WALLACE GROUP, INC. THE WALLACE GROUP, INC. I. CASE ABSTRACT Harold Wallace, founder, serves as Chairman and President of the Wallace Group. He owns 45% of the outstanding stock. The company consists of three operating groups -- Electronics, Plastics, and Chemicals -- which generate sales of $70 million. Mr. Wallace continues direct operational control over the Electronics Group. Several years ago, Wallace and the Board embarked on a

Strategic Management: The Wallace Group Essay

971 words - 4 pages , 2006). However, he continues to serve as the organization's President and Chairman while each group is individually run by a Vice President (Wheelen & Hunger, 2006). Harold Wallace enlisted the help of Frances Rampar, President of Rampar Associates, to perform an organizational analysis and provide a prioritized list of strategic recommendations to guide the direction of the company over the next year (Wheelen & Hunger, 2006).ProblemsA