Business Management Analysis

1036 words - 4 pages

Rocco Rapini, owner of Decorative Interiors Inc (DI), aged 47 years has suffered an unexpected heart attack on 8th July, 2006 and is advised by doctors to reduce stress significantly in daily routine. This has forced him to take an appropriate decision about his business. He is in a dilemma and not able to decide which course of action will be beneficial both for his business as well as his health. Keeping this in mind, he has hired the services of a management consultant to help him take a decision on how to proceed.

Keeping ourselves in his shoes, we have analyzed various alternatives based on the following data:-

a) Balance Sheet as on 31st December 2005.
b) Statement of earning for year ending 2005.
c) Population and housing statistics of Canadian suburb.
d) Business history and experience of Rocco Rapini.

The criteria of our analysis is that he must change his life style as advised by doctor and
at the same time earn sufficient money for the future financial stability of his family.

Selling the present big size show room and moving to suburb area:

He will have to incur a rental expenditure of $1,200 per month ($14,400 per annum), which is quite comparable to the rentals at GTA ($16,200 per annum as of 2004). In addition, his travel expenses will increase by 5%. Moreover, as per the statistics, there is a meager population growth in the Meaford and Thornbury suburb area as compared to the township of the Greater Toranto Toronto Area (GTA) where it is to the tune of 37%. Since he has recently suffered from heart attack, he will require constant medical supervision which is least likely to be available in the suburbs. His daughter has come to continue her higher studies from Toranto and wishes to stay with her parents. Though by moving to suburb area, there will be saving on the cost of living, yet he will have to arrange for his daughter’s stay in GTA.

Although he has been doing this business for the past 18 years, the growth in his business is due to his familiarity with the Italian community to which he belongs. He will be deprived of his community connection incase he shifts to suburb. Establishing new business connections will be very difficult as he will be new to that area. Being suburb area, there will not be enough opportunity for his wife to support him financially, if needed.
Continuing the business in the same showroom:

It is estimated that the cost of hiring a sales manager and part time installer to run his business from the current show room will be $90,000 per annum. Although, his sales figures will increase to the level of 2004, [How can you assume that? Morris was an exceptional person. The spurt in sales in 2004 was due to her.] the monitoring of hired personnel will also add to his stress. Moreover, his past experience with Mary Morris was not less than a nightmare for him. Being a perfectionist, he is not at ease with anyone he hires. If the work undertaken by the hired personnel is not...

Find Another Essay On Business Management Analysis

Success Factors in Supply Chain Management

971 words - 4 pages Proprietary Proprietary Business Size Accommodations Large Any size Any size Functions Client Collaboration Client Collaboration Client Collaboration Inventory Management Inventory Management Inventory Management Order Processing Management Sourcing & Procurement Order Processing Management Sourcing & Procurement Supplier Management Sourcing & Procurement Supplier Management Supply Chain

Should You Invest in Enterprise Project Management?

1025 words - 5 pages websites that I found to provide interesting information on one of the following topics: project management, project management careers, project portfolio management, and IT project management; as well as the Project Management Institute’s Web site. The four websites that will be examined are: CIO – Project Management Definition and Solutions, Project Management Certification, and Wisconsin School of Business – Project Portfolio Management. Based

International Financial Management: BHP

1862 words - 8 pages organization operate in a coordinated manner.On the other hand, Rio Tinto uses various tools in managing the financial risks in the business organization. The risk management approaches adopted and implemented in riot into is based on the fact that the business organization conducts a risks analysis in their financial systems of the business organization. In the risk analysis, a business organization is able to identify the various risks that can influence

How Organizations Employ Strategic Management Concepts

1245 words - 5 pages . This allows companies to assess and understand their market value and position better. There are several strategic management tools employed by companies that enable them to evaluate their current status like PESTEL and SWOT analysis. PESTEL analysis (Political, Economic, Social, Technological, Environmental, and Legal analysis) defines the effect of macro-environmental factors on the business (Johnson & Scholes, 2002). It is useful in

Career Research

827 words - 4 pages of the company. Most of the Management analysis workers work alone and are their own employer. Many of the analysis work more than 40 hours a week no matter if they are self-employed or work for a company. To be a management analysis you obviously have to do time in college. A bachelor’s degree is a basic requirement when looking for this job but a lot of employers also require their MBA which is their master’s degree in business

Adaptive Management

865 words - 3 pages implementation of a plan of action designed to reveal the critical missing knowledge, monitoring of key response indicators, analysis of the management outcomes in consideration of the original objectives, and incorporation of the results into future decisions.While it was first developed for ecosystem management, principles of adaptive management have also been used in other fields. For example, the concept of learning organizations in business

An Overview Of Business Intelligence Technology

624 words - 3 pages layer. Data Management should include the following requirements: • Data Quality to maintain organizational standards. • Metadata Management with data definitions in to the organization for areas like product or customer. • Data Retention to maintain the proper level of information with a business intelligence platform. Business Analytics A BI platform can perform analysis on the data to transform it into information. The Business Analytics should

EFFECTIVENESS OF ABC ANALYSIS METHODS IN MATERIAL MANAGEMENT AT PT. PEMBANGKITAN JAWA BALI

977 words - 4 pages stated that there are discrepancies between maintenance management and material management which using ABC analysis in their operational. RESEARCH QUESTION ABC analysis is a method in the business is often called selective control . Business with regard to prioritize control of material importance. In the ABC method in the analysis of PT . PJB, PT PJB only using 3 criteria, namely criticality , availability / lead time and usage value. In this

Management Accounting: Its Principles and Importance

1398 words - 6 pages , and costs analysis which is important in decision-making including projections and predictions for planning and control decisions (“Managerial Accounting Concepts and Principles”). The objectives of management accounting can be enumerated as follows (Prasad and Sinha, 1990): 1. It provides valuable guidelines for planning future policies and setting company or organization goals. 2. It provides assistance for directing and coordinating business

Strategic Assessment of Kemira Oyj and Recommendation

1198 words - 5 pages , Harvard: Harvard Business School Publishing. Spencer, T., (2008), “McKinsey 7 S framework”, Available at: www.tomspencer.com.au/2008/09/13/mckinsey-7-s-model-analysis (accessed March 08, 2014). Valuewalk.com, (2010), “KEMIRA OYJ (FRANKFURT: KEM)”, Available at: premium.valuewalk.com/wp-content/private/.../Kemira_OYj-PDF.pdf ‎(accessed March 08, 2014). Warren, K., (2008), Strategic Management Dynamics, John Wiley & Sons Ltd: Chichester. Weiner

Henry Fayol and Frederick Winslow Taylor’s Contribution to Management Thought: An Overview

4985 words - 20 pages thought. Fayol wrote as a practical man of business reflecting on his long managerial career and setting drown the principles he had observed. He clearly specified the functions of management by a systematic analysis of management process. This isolation and analysis of management as a separate discipline was his original contribution to the body of management theory. He was father of management principles many of which have stood the test of time

Similar Essays

Analysis For Mhm Business Strategies Using Management Tools

1651 words - 7 pages Analysis for MHM business Strategies using Management Tools By Ahmed Al-Muftah Date:1/8/2013 TABLE OF CONTENTS 1.0 Introduction Companies use market entry strategies to expand their business in new markets. This research paper aims at analyzing the market entry strategies. External environment and internal environment analysis plays a key role in developing a market entry strategy. Mergers and acquisitions, establishing a wholly

Harvard Business Review: Carter Racing Case. A Management Communication Analysis

1000 words - 4 pages chart showing the distribution on head gasket success is related to temperature since the race might begin in a day with fairly low temperature. Thus, if I were John, I would have to determine to postpone the race until further information is gathered.Of course it is not easy to convince someone on things that no one can be guarantee of. Thoughts and doubts gone through the mind such as: the race itself is in the nature of a risky business; wondering

The Identification And Analysis Of Information System In The Business Enterprise At Each Management Level, The Suitability Of Information System For The Chosen Firm, The Security Of The Information...

3968 words - 16 pages REPORT INTRODUCTION: In this modern time, it is impossible to run a business without any information system. Whether the business is small or large, information system is very much needed for the survival of the business. This report will deal with the identification and analysis of information system in the business enterprise at each management level, the suitability of information system for the chosen firm, the security of the

The Advantages Of Strategic Management Essay

1172 words - 5 pages departments in the business (Nedelea & Paun, 2009, p. 98). The needs of the department are analyzed during the internal business environment analysis and the specific needs ascertained. It, therefore, becomes easy to allocate the resources efficiently and productively. The management also sets standards for the various departments and outlines the interdepartmental relationship among them for the sake of achieving a common goal. It is the duty of
#163 - Golden Kamui 163 06-26-2018 | Ningun Rastro ( Leave No Trace.. BluRayRip AC3 5.1 | Josimar Y Su Yambú