John Smithers At Sigtek Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Background:

Sigtek, a well renowned printed circuit manufacturer, was initiated by three Western Electric veterans. The company has earned its customers’ satisfaction and confidence over the period of time by facilitating its customers with high quality products as well as excellent customer care services. Recently, the company sold its products to AT&T as well as other long distant suppliers in order to provide its products to the end users.

The company had performed extra ordinarily and has boosted up its sales over $60 million as well as the company was managing 1000 employees at the same time. In addition, the performance of the company was increasing at such rate that it was expected that the company would ultimately become a $100 million company in the near future.

Moreover, this also depicts that the company has a well-established management structure as well as the company also has a well-established and well managed cost effective system, which had allowed the company to maintain the overall efficiency of the management as well as the operations of the company. Moreover, it has increased the overall profitability of the company by reducing the overall costs of the operations of the company.

Furthermore, at the initial stage, the company faced a huge competition as well as many other challenges because of its small size of business. The business relationships with AT&T and Long distant suppliers have allowed the company to grow robustly as well as it also helped the company to make a strong brand image as well as they also allowed the company to enhance its customer base as well as to perform exceptionally.

Later, the company faced a drastic decrease in its overall profitability; moreover, the company was also facing serious strategic issues which had also declined the overall efficiency of the company. The robust growth of the company had turned into declining profitability of the company. This is because of the earlier stock piling by the company, which had artificially reduced the overall revenues of the company.

This had reduced the overall competitiveness of the company, which had led its competitors to dominate over the company. Thus, the company’s profits were declined by $20 million as well as the workforce of the company was also declined by approximately 200 employees.

The company was acquired lately by a well renowned gigantic company having profits over $500 million named Telwork. The top management of Telwork had completely analyzed the problems of the Sigtek and had decided to change the management structure as well as the leadership styles of the company in order to ensure optimal effectiveness in the operations of the company. Also, it did that in order to ensure that the management of the company is efficient in making strategic decisions as well as in running the operations of the company effectively.

Main problems:

There are many problems which the company is currently facing such as the top management of the company had initiated six sigma quality program in order to enhance the overall profitability of the company as well as in order to ensure that the excellent quality of the product of the company. as Also, it did that in order to ensure the effective management practices in the company. Moreover, the program is based on the idea that it will bring all the other companies owned and acquired by Telwork into a single corporate umbrella. The company is unable to implement the Six Sigma program efficiently and effectively, as well as the six sigma program is unable to provide management of the company with the productive results.

Additionally, the job of implementing six sigma quality program efficiently and effectively was delegated to John Smithers. John had been making his back breaking efforts in order to implement the program efficiently and effectively. However, the implementation program was taking longer than it was actually estimated, which has created a negative impression on the credibility of John.

Moreover, John is unable to identify the core reason of problems occurred in effective implementation of the program as well as he is also unable to identify the core reason of delay in the implementation of the program, which has further created a negative impression on his image. Thus, he realized that he has a very low chance of survival in the company which depicts the decrease in his motivational level.........................

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