Escapes Outdoors Living Design Inc. Harvard Case Solution & Analysis

Escapes Outdoors Living Design Inc. Case Solution

Introduction

The company illustrated in the case, is Escapes outdoors living designs Inc. which was formed in the year 2007 by Harrison, who acted as the strategist, manager and sales person for the company. Escapes through the effective management of Harrison,has been able to increase its revenues, while gaining and retaining customers. Which had enabled the company to increase its revenues stream, and ensure its long-term survival in the market. Furthermore, the case illustrates the issues faced by the company, which were related to the decision of Harrison regarding the future of its business model. In which, it was unveiled in the case, that Harrison was divulged between two alternatives which included. should the company focus on landscaping design, which required significant amount of investment instead of landscaping construction.

Other than this, the company due to its inefficient policy with respect to its employees, lacked the ability to retain them for longer terms. Which in turn, resulted towards decreasing their employee’s retention rates. However, under the current scenario, it is recommended to Escapes and Harrison that, it should focus on landscaping designs industrial segment over landscaping construction, as it is estimated that, the trend for landscaping design would increase in the near future, among the customers available in the market. As the trend of design increases, it would decrease the trend of construction in the region.

Additionally, in order to increase the morale of its employees, it was recommended to Harrison, that Escapes should increase the annual leave more than his competitors, and give its outperforming employees paid vacations. Which in turn, would be attributed towards increase the employee's motivational levels, and hence increase their productivity as well. Therefore, Retention and high morale of employees are the key elements of company’s success,and these initiative would allow the company to gain sufficient share of the industrial segment under consideration.While increasing their revenues streams, and ensuring their survival in the long-term by sustaining this growth rate in the new industrial segment.

Escapes Outdoors Living Design Inc. Harvard Case Solution & Analysis

 

Analysis

Escapes outdoors living designs Inc. the company described in the case along with its issues that could create hurdles in its future growth prospect and profitability in the highly diverse and competitive landscaping industry. The core issue of Escapes were related to the critical decision by Harrison, the owner of the company and responsible for its business and sales functions.In which, he had to decide whether Escapes should focus on the landscaping design instead of landscape construction. In which, it was estimated that, the landscaping design industrial segment would require significant capital form the company involved in it. On the other hand, the second core issue faced by the company was related to its inability to hire trained individual first of all, and then its inability to retain them after employment. Due to the ineffective policies and remuneration given to them, which were below the market competitive rates. Which, in turn, created a sense of under-appreciation from the employee, and decrease their motivational levels. It could also decrease their productivity, and in turn compromise their ability to effectively interact with the clients or customers of the company. Furthermore, the low pay scale of the company compel the experienced and skilled staff to look for better opportunities, while they were working with the company and leave once, they got a better opportunity. The ill effects of these issues can be assessed from the analysis of the case and the data provided in it. In which, it was assessed that, over the years of its operation in the market almost all of its critical employees have left for bigger and better opportunities, or some just couldn’t deal with the pressures of the stressful foremen position, which was a key and critical position for the penetrability and long-term success of the organization.While gaining and maintaining a strong brand image among the customers, as the foreman was a direct interacting party or representative to the customers or client for the company, and significantly contributed towards either decreasing or increasing its image among the customers.And in turn, either make them recurring or dissatisfied customers. Therefore, it can be evaluated that, it could have a significant impact on the future revenues stream and profitability of the company, and could either ensure or compromise their ability to operate for a long period of time in the landscaping industry..............

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