Implementing and Evaluating the Future at Galaxy Toys Inc

Implementing and Evaluating the Future at Galaxy Toys, Inc.

BMGT 364

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Implementing and Evaluating the Future at Galaxy Toys, Inc.

Introduction

Galaxy toys having already planned for its new product of the Moon Mission to Jupiter’s Europa 1 project. The manager has to bring together both human, financial and capital resources together in a managerial function known as organizing. The organizing aspect is guided by principles of specialization, span of control, a chain of command and functional organization (Griffins, 2013). The manager has to then define the leadership function by defining authorities and powers of other executives. The last step is that of controlling which entails monitoring and establishing corrective measures to ensure that the results are in aligning with the budgeted metrics.

Organizing

Organizing is a managerial function that typically follows the planning function. It involves combining and synchronizing human, financial and capital resources in a move to attain the overall company objectives. As a manager, one has to follow certain steps to perform the organizing function.one has to first identify the necessary activities, departmentalize, define authorities, aligning employees to tasks and coordinating between responsibility and authority (Griffins, 2013).

Identification of activities

In this step, a manager needs to identify the necessary activities that are required to achieve a particular result or target. In the case of Galaxy toys, the relevant activities include purchasing materials and 3D printers, recruitment of additional employees and training of 3Doperators, production, and shipping. This step simplifies the organizing function as it informs a manager first hand.

Departmentalization

This is the act of grouping similar or related activities into units or groups. The grouping can be based on either dependent or independent groups. From the activities identified in step one, the activities can be summarized into human resource, production, procurement, logistics and finance departments (Griffins, 2013). The human resource department will be concerned with identifying and recruiting the additional employees required for the project and also train them on the use of 3D printers. The procurement will have to make orders for materials and also for the 3D printer’s machines. The production department will oversee the conversion of the raw materials into the final products. The logistics unit is expected to take care of the shipping aspect and make sure that the goods reach the final destination on time and in good conditions. The finance department will be concerned with the financial resources issue and manage the cost factor of the project and make sure that the costs are at minimum and below the planned amounts

Classification of authorities

This is the step where a manager ought to classify and clarify powers and the scope to other administrators. The other managers are the people tasked with leading the identified departments in step two. It involves giving ranks with regards to the managerial positions which is also known as a hierarchy (Griffins, 2013). The manager will have to classify other managers into three categories namely top level, middle level and low-level managers, the top level managers, are at the apex of the hierarchy and make long-term strategies goals and policies. The middle-level managers will organize the identified departments and be able to make short-term goals. The low-level managers are tasked with the day to day supervision and are expected to come up with tactics that are aligned towards attaining the short term targets set by middle-level managers.

Aligning employing to tasks

This follows the principle of specialization that advocates for the division of work by abilities, qualifications, and skills. With regards to Galaxy toys, the new project will encompass the use of technology which requires trained and skilled personnel to operate. The production area should also be run by qualified staff regarding skills and ability. Specialization results in an active organization, quality products, less waste and on time production as there are no redundant steps and work are done right the first time.

Coordinating between responsibility and authority

This is the final step and is backed up by the functional definition principle. Organizing requires that all the activities are identified and defined to both the subordinates and the managers. It involves clarifications of responsibilities, authority, duties and inter-relationship aspect among employees. The step enables coordination which acts as a synergy towards attaining both the short and long term goals actually (Griffins, 2013).

Organizational chart

The organization chart followed the concept of a functional group where activities are grouped into specific actions. The table type enables specialization as labor is divided into similar units. The system also allows for effective control as the manual functions are separated for the mental functions. Balances and checks keep the managers within specified limits and calls for accountability and responsibility. The chart is more of a flat hierarchical structure withfew management levels. The board of directors and CEO are the top level managers and make strategic decisions and policies. The vice presidents represent the middle-level managers who make decisions meant to achieve goals set by the top managers. The quality control and the recruitment manager are at the low-level management and make decisions expected to meet the targets established by the vice-presidents. Decision making is fast as the chain of command is horizontal.

Leading-motivation

Motivation has emerged as a crucial leadership role in a contemporary work setting (Lawler, 1973). With regards to Galaxy toys, automation through the use of technology in 3D printers have replaced human labor in processes that were performed manually. The primary concern among the employees is job insecurity. Job insecurity is an example of work related stress factor and can have an adverse effect on the psychology of the employees. It may lead to loss of morale and consequently reduction in quality of quality of work and level of production. The introduction of technology is a change to the organization and as such is subject to resistance from the employees. To minimize the resistance, the management should communicate the change early enough and make them understand its importance to their work and the entire organization (Lawler, 1973.

The first idea is to make the employees understand that the machines are to complement their efforts and not replace their input. The human resource will have to revise and present the staff with new contracts that specify the period. All the employees should be trained on the use of the machines which only run with the help of an operator. Yu should come up with a reward system that acknowledges and reward active efforts of employees. The identified actions will boost the morale of the employees and bring a sense of job security.

Control

White Plains has the highest cost per unit of the MMTJE1 of 7.45 while the Juarez plan incurs the highest cost per unit at 8.01. Out of the five factories, it is only White Plains that operate under the standard value which is set at 7.65. The results mean that the budget of the other factories have an adverse variance as the actual amount is more than the budget amount.

Juarez has the longest production time per unit at 7.59 while White Plains has the least time at 7.31. Out of the five factories, only Juarez and Dayton facilities had a higher unit production time than the set standard time of 7.36. All of the factories had a quality control problem greater than the specifications set amount of 1.Juarez has the highest problem ration of 8.75 per 500 while white sand has the lowest cost of 1.5 per 500. Juarez has the least training time per hour of 25 while Huntsville has the highest number of 48.It is only Juarez that has a lower time than the standard amount of 30.However, all of the factories had less shipping problems than the set level of 1.

Cost, quality control problem ratio and training time need improvements and additional reviews. All of the factories but Huntsville recorded a lower price than the standard amount. This indicates that there is a reduced cost management program in the four facilities. The quality control ratio was also above the standard indicating that more units were below the quality in a group of 500 products. The results also suggest that the employees in the four out of five factories required a lot of time to be trained on the use of the machines. Time, shipping problem and 3D problems showed positive results as most of the factories had a favorable variance compared to the standard amounts.

Corrective measure

Corrective measure is an action is a step taken to rectify the actions that vary adversely from the budgeted or planned metrics (Weber & Schaffer, 2008). From the results above, cost, quality problem ratio and training time need corrective measures to bring them at par with the standard amounts. Keith should consider revising the metrics of the normal values or evaluate the individual factory parameters, identify the issues and put corrective measures. Keith should first of all increase the training time which has an effect on the other performance measures. For example, white sands have a high training tie with lowest costs, production time, shipping problems and quality control issues. Whereas Juarez has the least training time with highest costs, shipping issues, quality control problems and production time.

Employee training, employee turnover, and budget are major issues that may impact strategic planning. Most managers highlighted that training on repairs and maintenance was a major problem. Earlier results also indicate that for out five factories required a higher amount of training time above the set limit of 30. To ensure success in the long term employees need to be skilled on the issue of the machines. This will ensure that quality products are produced while limiting the frequency of repairs.

Employee turnover has been a big problem especially at Juarez where staff has been poached by a software company. The employees who are leaving are well trained meaning Galaxy’s development and training efforts and costs have gone into waste. A successful company needs to have minimal employee turnover and maintain people who are well versed with the company regarding culture and policies and skills. Galaxy must ensure that the employees are satisfied with the current working conditions which influence an employee’s decision on whether to stay or leave.

The budget can be viewed from the costs and availability of funds. The results indicated that four factories had high production costs than the standard amount. Failure to manage the cost will inflate the budget and reduce the profitability of the company in the long run. The managers also talked about not being able to find the right replacements without increasing the resources. The company should identify alternative sources of funds to help it manage its human and capital resources. Galaxy must sacrifice a reasonable amount of budget to capture competent and skilled employees in the market.

Reference

Griffin, R. W. (2013). Fundamentals of management. Cengage Learning.

Lawler III, E. E. (1973). Motivation in work organizations.

Weber, J., & Schäffer, U. (2008). Introduction to controlling. Schäffer-Poeschel Verlag für Wirtschaft Steuern Recht GmbH.