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Formal report on the current management challenges facing Brigstone Kitchens andsuggested management actions.
This report is intended for the Finance Director.
Introduction
The purpose of this report is to:
Propose a set of new strategic priorities
Analyse the impact of the current management challenges faced by Brigstone
Kitchens Ltd
Assess the type of leadership styles/business culture within the business
Analyse and interpret different ways the business can motivate their employees and
encourage them to accept change.
Brigstone Kitchens Ltd that manufactures traditional handmade fitted kitchen units which are
purchased by house builders. The company has been established for 30 and is owned by
Carole Saunders, a Managing Director. The business is currently facing changes within the
management and leadership style, given the fact that the Management Director Carole
Saunders is considering retiring from her operational role, therefore she is handing over the
business responsibility to her two children, Peter and Sally. Within the business, there is no
formal organisation chart or system, though the business has a high employees retention
however with the change in leadership, workers might not want to work or a carry their job to
the best of their ability. Managers should communicate clear goals and expectation to
employee in order to implement a plan precisely. Accountability can be a problem in the
aspect of management which is why it is very important that mangers reinforce the
importance of team-work within the organisation. This is because when people are
accountable for their own decision and work the effectiveness of the business will greatly
increase.
The current change in management responsibilities offer the company with the opportunity to
establish a set new strategic objectives which will prepare the company for the next stage of
its development.
The proposed strategic priorities are as follow as:
Growth
Efficiency savings
Increasing productivity
Introduction of new products
Introducing direct sales to the general public
The current management challenges facing the business
Though there’s a high employee retention, those employed do not embody essential and
operative skills that is needed to implement a task efficiently. The business should look into
recruiting highly skilled workers in the future or upskill the current workforce/ workers
whilst motivating them and empowering them. Both gross and net profits margins has fallen
over the 5 years. Gross profit from 58% to 56% and net profit from 18% in 2012 to 12% in
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