‘Husband and Wife’
I, Ali’a Hasan, have been employed to prepare a business report to assist the multiple owners of ‘Husband and Wife’ in preparing for the employment of a full time manager and the implications this change may have on the business. I will provide advice on how to avoid undesirable situations and will propose information on the following: reasons for resistance; change in management techniques; roles and skills required of the new manager and; the type of management theory applicable to the business.
Reasons For Resistance
Even though it is essential for ‘Husband and Wife’ to implement this change, you must bear in mind that it may be difficult to do so.
Barriers that must be addressed to effectively create an efficient business environment are:
Financial costs:
The financial costs of employing a full time manager may be high as he or she may want to modify aspects within ‘Husband and Wife’. Major costs include:
* Purchasing new equipment
* Redundancy payouts
* Retraining
* Re-organising plant layout
If the new manager brings about change then it’s often necessary to change the way it carries out its activities. Where businesses have been prepared to incur the cost of purchasing new equipment they have coped effectively with change. Jobs may become redundant and therefore to pay staff off is expensive. Adopting a manager means adopting his or her ways of doing things and staff may need to be retrained in certain areas which may be expensive. Adoption of technology may lead to loss of production as staff is being trained. But be aware that although profit may decease initially, it will pay off in the end. If new technologies are adopted, plant layout may need to be changed and this will be expensive. You will need to notify your staff and convince them of the need for this change and train them in using new layout. Increment change is a vital aspect in addressing these expensive costs.
Staffing:
The partners may be worried about...