westwards exports limited

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CASE STUDY By Rajesh Sabitha Santhanalakshmi Sunanthan  Vigneshwaran  vinoth WESTWARD EXPORTS LIMITED

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Page 1: Westwards Exports Limited

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CASE STUDY

By

RajeshSabitha

Santhanalakshmi

Sunanthan

 Vigneshwaran

 vinoth

WESTWARD EXPORTS LIMITED

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BRIEF INTRODUCTION«

Westward Exports was a private garment export company

established in the year 1971, a family run business, all four 

directors being brothers.

Over the past 14 years the exports of company had grownfrom Rs. 0.71 million (1972) to Rs. 59.76 million (1984).

Company owned no manufacturing facility of any kind, it

Purchased cloth from six different textile mills and had the

cloth dyed and printed and then passed on to 138 switching

subcontractors.

The company was expanding the product line and by the

year 1983 it was exporting about one million garments in

over 100 basic designs.

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INTRODUCTION CONTD«

Since the company got things done through subcontractors

the managerial control of the operations became quite

challenging.

The directors felt the heat of the changing situation and

decided to hire some professional assistance to bring morecontrol over the operations.

As a result Mr. Mahmood who had about 15 years of 

marketing and sales experience was hired in the year 1983

to be the general manager.

Mr. Mahmood determined that if company was to remainin the business it must eliminate haphazardness in its

operations like no proper costing, no scheduling, no status

reports and no follow up charts etc.

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INTRODUCTION CONTD«

However when Mahmood started to implement some new

systems and procedures, but Mr. Saleem who joined the

company in the year 1973 the senior most supervisor of the

entire manufacturing process refused to go along with him.

Mr. Saleem views were like all these luxuries are alrightfor big companies but not for companies like us.

But Mahmood was confident that company did need achange as soon as possible and he would not be able to do

the job unless he could overcome Saleem¶s reluctance to

accommodate his new systems.

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YES ± WESTWARD EXPORTS

 NEEDS CHANGEMr. Mahmood concluded that the

company was all so

nebulous ± not clear in operation.

A proper system to cure the lack of control is required.

Hence change is important.

If you want to truly understandsomething, try to change it.

- Kurt Lewin.

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EFFECTS OF CHANGE

A proper system of control can bring

 proper costing, schedules, balance sheets

and follow-up charts.

Improves business and managerial

challenges can be met.

Company can overcome any problemseasily in the long run with better control.

It will be capable to withstand the tough

competition in the export industry.

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MR. MAHMOOD¶S MISTAKE

Mr. Mahmood failed to convince theimportance of the new system and startedimplementing them directly.

Should have gained the trust of Mr.Saleem

since he is the senior supervisor and closeto the directors.

Lack of self- confidence and doubtfulnessin his experience.

Should not bring drastic change,it won¶t be a adoptable by the employee,he has totake a step by step changes to implementmanagement information system.

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HANDLING THE CURRENT

SITUATION Since Mr. Mahmood has been facing oppositionfrom Mr. Saleem for implementing his newsystems so he should first explain the importanceof the new system and advantages of having suchsystem in the company.

Mr. Mahmood should try to convince Mr. Saleemsaying that thought he is capable enough of handling the company without any specificsystem, but on a long run prospective there is anecessary for a particular system which companyneeds to follow to remain in business.

Hence thereforth without any specific systemcompany cannot depend on an individual for along time as he\she will leave the company after 

retirement.

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SALEEM¶S NOT FOR US

THOUGHT CONTROLLING MEASURES andINFORMATION GATHERING (or) GIVING isindependent of size of the company.

Small companies also need all these aspect as

much as big companies. Coordination with employee and the

subcontractors is the main key to improve thecompany.

Clerical work to employee is not a burden, its

inevitable one. If there is a problem in the company- physically

means we have to see the blue print of thecompany, managerial means we have to see thefollow up chat, if both are not available ,think out

the problem arise.

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THANK YOU

By

Rajesh

Sabitha

Santhanalakshmi

Sunanthan Vigneshwaran

 vinoth