Wallace Group Case Study Essay

The role of the board of directors is to oversee their operations that consists of community-based volunteers. They work with other community members that are composed of youths and graduates of their shelter programs. Also, to provide resources, allocate funds, monitors the activities of management, as well as electing outside individuals to serve as officers of the organization.

Purchased plant for good price…with new equipment and deleted marginal product lines as they expanded nationally

Common stockholders are the basic owners of a corporation, but few stockholders of large corporations take an active role in management. Instead, they elect the corporation’s board of directors to represent their interests. Board members seldom get involved in the day-to-day management of the company. They establish the basic mission and goals of the corporation and appoint

1. Identify the key factors responsible for the success of Gordon Biersch to date. What concerns, if any, do you have as the company looks ahead?

In order for companies to be successful in a constantly changing environment a strategic management plan will need to be developed which consists of four phases: basic financial planning, forecast planning, externally oriented (strategic) planning, and strategic management.

In large corporations the success or failure of the company is the responsibility of the board of directors. According to Richard DeGeorge, “The members of the board are responsible to the shareholders for the selection of honest, effective managers, and especially for the selection for the CEO and of the president of the corporation.” (p. 202). The board members have a moral responsibility to ensure the corporation is run honestly, in respect to its major policies, and to ensure the interests of the shareholders are satisfied. The next responsibility within a corporation is the responsibility management has to its board of directors. DeGeorge writes, “It must inform the board of its actions, the decisions it makes or the decisions to be made, the financial condition of the firm, its successes and failures, and the like.” (p. 202). The management of the corporation is morally obligated to

Every organization should have a strategic plan to achieve its goals in a limited time period, the strategic plan has many variable models. The strategic planning process that we studied needs a collaboration between the organization’s staff, board members, and strategic plan committee. This strategic planning process has ten guide steps.

3. How easy or difficult would it be for other organizations to duplicate the leadership style of Simonic and the organizational systems practiced at Addy, prior to, and after Simonic’s tenure?

All of these issues are summed up in Thompsons (2008) assertion that Groves was the right man to grow the business but not the right man to manage the business, had the right manager been in place then the organization may have been able to turn its fortunes around.

1. What types of decisions must Chad Thomas make daily for his company’s operations to run effectively? Over the long run?

To create an organization with great leaders, the organization has to be able to help create those leaders.

Brannigan Foods soup division general manager Bert Clark was in charge of bringing their company out their recent decline. The company had seen steady decline in division sales, market share, and profitability over the last three years. He was in charge of moving their division’s growth back up to 3-4% per year and his team had come up with four different plans for doing this. It was Bert’s responsibility to review the benefits and costs of each plan and choose the most effective way to grow the company.

The Board of Directors are in charge of determining the corporation’s leadership structure on an annual basis and determine if the board will be led by an independent Chairperson or an independent Lead Director. The board has decided that Ronald Sargent, the CEO of Staples, will remain and the Chairman of the board. The Board of Directors is broken down into five committees made up of around three or four board members. Each committee has there own responsibilities and are in charge of making critical decisions that they must assure is communicated properly throughout the entire company. This leadership structure assures that the Board of Directors has a proper balance of leadership roles that allows for a system that prevents any conflict of interests that may come from having the CEO serving on the board.

David Fletcher is a portfolio manager with many years of experience and success under his belt. He currently is a limited partner managing an Emerging Growth Fund for Jenkins Fletcher Partnership or JFP. The company was small when David started and consisted of a CEO, Paul Jenkins, CFO, 2 financial assistance, 4 research analyses, 1 research assistant and a receptionist. David first started with JFP he hired an Administrative Assistance, Whitney to help organize his calendar, contact companies and take messages, etc. Whitney proved to be capable and eager to learn. Under David’s guidance she received her MBA and

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