1. Identifying the main issues that Jack should consider and enhance evidence from the case study.
2. Explaining how Jack benefits from applying the rational decision-making process for addressing the issues
3. Describing the different resources such as valuable, rare that are available to Jack and provide evidence from the case study
4. Identifying, explaining and applying organizational strategy frameworks that Jack might be helpful in considering future of Glasshouse Avocados
1. From the case study, it is evident in understanding the fact that Jack while dealing his father business felt that his father managed their business pretty well (Wood et al., 2016). Jack identified some of the external environmental factors that turn into a threat in the near future. There are several issues that Jack faced while dealing his father business and immediate attention for attainment of future goals and objectives. The first issues relates with cost of production whereby the costs are the expenses that are incurred from the finished products. It is advisable for Jack in understanding the cost of producing an item for getting perfect position analysis of the company (Shah, Anwar & Irani, 2016). Product name is avocado where it involves cost of irrigation equipment as well as managing the root of the plants. Jack identified invisible cost and interest from the capital that has been invested by Jack’s father. With the increase in competition, it was difficult for Jack in continuing their business in smooth terms with the available resources. Competition means active demand from more than two organizations as the available resources are rare in nature. In actual terms, Jack really enjoys the profits earned by the business as there is not much of competition present in this field of operation. Jack has brilliant networking skills like his father and he too believes in maintaining cordial relationships in handling the situation (Rhoden, 2016).
Jack also identifies low sales as there is lack of process whereby sales managers remain unproductive in operations (Page & Nilsson, 2016). Crucial attributes should be taken into consideration as it is the backbone of business in achieving higher sales. As far as Glasshouse Avocados is concerned, the cost of production as well as competition resulted in increasing the number of sales for given year. Jack also need for innovation in their products where they will have better understanding of new entrants by putting the ideas for the better performers (Malik, 2014). Natural conditions is other conditions that Glasshouse Avocados should take into consideration as they need clean water and clean air as major part of natural environment. Jack identified the issues of moving in the streamlined business by exploring alternative options. It is recommended to Jack in considering ways for moving towards other options like real state (Kumar & Sundareshan, 2015).
2. It is essential for jack in applying rational decision process so that he can solve the above-listed issues identified at first place (Kinicki et al., 2014). It is important to understand the fact that business decisions are highly risky to take as the outcome or consequences will have direct affect in major attributes of business. There are several steps that get involved in the rational decision-making process from the case study such as:
The first step is defining the main problem such as lower sales as well as profits. In this step, several issues will be mentioned by Glasshouse Avocados (Gold et al., 2013). This involves dipping revenue and competition by creation of downstream atmosphere as it is considered main issue for Glasshouse Avocados in the recent time. The major reason lies for Glasshouse Avocados is decrease in profits as well as sales due to advanced and nearest competitors for gaining competitive edge. This requires intuitive as well as rational decision-making whereby individual will be keeping an approach for solving a particular problem.
The second step will be bringing out the goals of the business such as growing in revenues as well as beating the level of competition (Gelens et al., 2014). In this step, primary goal will be mentioned as it will help in creating maximum economic value such as profit maximization. Glasshouse Avocados believes in regaining their market share as they face lost in sales in the present time.
The third step in rational business making decision will be developing various alternative solutions involving concentration on custard apple as well as passion fruit. In this step, two fruits such as custard apple as well as passion fruit will be selected for making decisions as they lead towards sales growth due to other nearest competitors (Frederick, 2014). There is huge opportunity that will be utilized by the company in driving the attention for Glasshouse Avocados.
The forth step is the evaluation part where it requires comparing the cost of production within the allocated resources and stipulated time. In this step, Jack’s Father, Elias ideas will be evaluated that will have more weightage based on rate of success (Fernando & Lawrence, 2014). This takes into consideration the investment that helps in keeping long profits and sales. In this case, both the fruits can be even secondary option for Jack as they will be finding ways for yielding good profits.
The fifth step is the selecting the best solution that will be essential for selecting the best option for achieving the target. In this step, all the ideas will be taken into consideration so that best can be selected based on several parameters. Best idea can be evaluated by conducting analysis on their advantages and disadvantages at the downtime period. It is essential for selecting the best options by undertaking rational decision-making process (Abraham, 2013).
3. Resources of an organization can be viewed as the foundation for gaining competitive advantage of a corporation that lies mainly in the implementation of a wide variety of valued tangible as well as intangible resources (Shah, Anwar & Irani, 2016). As mentioned in the given case study, Jack has access to different resources that can transform into profitable assets of the firm. According to the case study, Jack possesses a land area of approximately 80 hectares that can be regarded as a valued resource and this can be exploited for carrying out operations of the corporation of essentially Avocados. In addition to this, Jack also has access to different utilities that includes the real estate alternative. Therefore, as the option of real estate is open Jack can decide to undertake the business activity of construction of different residential or else office space for the purpose of selling or else leasing (Wood et al., 2016). The yields from selling or else leasing of these office or else residential spaces can lead to accessibility to huge amount of funds. In addition to this, both daughter and son of Jack possess expertise as well as business acumen. In addition to this, his children can also comprehend the recent crest as well as troughs of business reasonably. Therefore, the manner in which Jacqui, daughter of Jack analyses different factors of business, business alternatives, feasibility, processes of reduction of costs and at the same time expresses the skills to arrive at good business decisions is very valued for the business of Jack. Further, Elias, son of Jack also possess innovative business ideas for expansion of business with the identical products or else diversification of the existent product line of the business. Therefore, Jack can enter into different new ventures as he is very much conscious about the regional business environment and has good image and reputation in the market. Thus, the good image as well as reputation of the firm can be regarded as an asset of the company of Jack as this asset can help in reaping advantages in the upcoming period (Shah, Anwar & Irani, 2016).
4. As rightly indicated by Abraham (2013), the strategic concepts of SWOT analysis can be utilized for the purpose of delivering solution to this particular question. The SWOT analysis calls for the need of analyzing the strength, weakness, opportunity as well as threat of the corporation Glasshouse Avocados. However, there is a strong confidence to have an augmented business circumstances in the upcoming future and Jack can properly utilize “the McKinsey 7-S Framework” for enhancement of the practices of the business. Particularly, this model helps in analysis of different internal as well external facets and subsequently can be employed in diverse business situations. However, the 7 different elements of the McKinsey model can be categorized into two different groups that are essentially the hard and the soft components (Shah, Anwar & Irani, 2016).
The different elements of the Mckinsey are hereby mentioned below for detailed analysis:
Strategy: Glasshouse avocados have thoughts regarding expansion of particular business line by marketing tube avocados and helping customers to consume avocados effectually.
Structure: Glasshouse Avocados have different plans to particularly add on different cultivators of Avocados to decrease the overhead cost of a large number of small sized cultivators in addition to satisfaction of reporting needs at the time of increase in the number of professionals (Wood et al., 2016).
Systems: Systems refer to different business processes and the corporation Glasshouse avocados also adhere to the established business processes and uses and aligns the same with the proficient workers. This in turn can help in the process of reduction of the overall cost and augmentation of profit figure of the firm.
Shared Values: particularly, from the Error’s time, it can be said that the work ethics was very much strong that can essentially help in addition of value of the entire organization.
Style: The Company needs to follow the Laissez Faire Style Leadership in order to manage different circumstances in the market.
Staff: Staff represents the workforce of the organization. Glasshouse avocados have the need to recruit more number of people as the management of the organization has the plan to expand the entire business line.
Skill: The management of Glasshouse avocados has strength to develop business and hire competent individuals to direct the organization (Wood et al., 2016).
Reference List
Abraham, S. (2013). Relationship between organisational culture and employee engagement: A study. EXCEL International Journal of Multidisciplinary Management Studies, 3(2), 34-44.
Fernando, S., & Lawrence, S. (2014). A theoretical framework for CSR practices: integrating legitimacy theory, stakeholder theory and institutional theory. Journal of Theoretical Accounting Research, 10(1), 149-178.
Frederick, P. R. H. (2014). Organisational Behaviour and its Role in Management of Business. Global Journal of Finance and Management, 6(6), 563-568.
Gelens, J., Hofmans, J., Dries, N., & Pepermans, R. (2014). Talent management and organisational justice: employee reactions to high potential identification. Human Resource Management Journal, 24(2), 159-175.
Gold, J., Holden, R., Iles, P., Stewart, J., & Beardwell, J. (2013). Human resource development: Theory and practice. Palgrave Macmillan.
Kinicki, A., Williams, B. K., Scott-Ladd, B., & Perry, M. (2014). Management: A practical introduction. McGraw-Hill Education Australia.
Kumar, S. A., & Sundareshan, V. (2015). Organisational Behaviour and Motivation Impact on Employee Performance. ITIHAS-The Journal of Indian Management, 5(4).
Malik, M. R. (2014). IMPACT OF POSITIVE ORGANISATIONAL BEHAVIOUR ON LEADERSHIP AND HUMAN RESOURCE MANAGEMENT. International Journal of Organizational Behaviour & Management Perspectives, 3(1), 770.
Page, N. C. P., & Nilsson, V. O. (2016). Active commuting: workplace health promotion for improved employee wellbeing and organisational behaviour. Frontiers in Psychology, 7, 1994.
Rhoden, M. (2016). Construction Management and Organisational Behaviour. John Wiley & Sons.
Shah, N., Anwar, S., & Irani, Z. (2016). The impact of organisational justice on ethical behaviour. International Journal of Business Innovation and Research, 12(2), 240-258.
Wood, J. M., Zeffane, R. M., Fromholtz, M., Wiesner, R., Morrison, R., Factor, A., … & Osborn, R. N. (2016). Organisational behaviour: Core concepts and applications. John Wiley & Sons Australia, Ltd..
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