DECISION SHEET (HBO)

Opening Up the Pandora’s Box – A Consultancy Assignment

CASE FACTS:
- Mr. Manoharlal Agrawal, the Managing Director Cum Chairman of Agarwal Industries
Pvt. Ltd
- Sunderlal, brother of Manoharlal hired 2 engineers for factory work (Menon and Singh)
and one more person (Malik)
- Manoharlal was heading industry cylinder, nut bolts, small tools, lock & key factories and
accounting department
- Under Sunderlal’s guidance every things worked properly and company saw good
amount of growth in sales
- But due to some road accident, Sunderlal died
- Manoharlal was mainly occupied with the finance and sales department and nobody else
had much knowledge about the key & lock factory work, so he was not able to focus on
the 3 factories.
- So he contacted IIM Rohtak team for some solution to the issue

PROBLEMS:
- There was a conflict between the factory managers due to lack of cooperation.
- Quality of products was not good
- Experienced and well trained workers were leaving the company and were joining the
rival companies.
- Instead of addressing the employees concerns , they increased their salary to keep them
motivated which increased the operating cost
- Formation of a troublesome trade union by workers for increment in wages
- Factory managers were not following the superiors appointed by Manoharlal,
Which disrupted Manoharlal’s initial hierarchy

SOLUTIONS:
- Investing in Research and Development and adoption of advanced machinery
- Training regarding maintaining of good employee relations
- Effective communication channel is required at all levels in the organisation
- Management should address the employee concern instead of increasing their payoffs.
- Proper implementation of planned hierarchy of Manoharlal

Chairman & MD
↓
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↓ ↓ ↓
Production Sales Finance & Accounts
(Manoharlal) (New Entry) (Malhotra)
↓
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↓ ↓ ↓
Factory Managers Quality Manager Administration
↓ (Chatterjee) (Girdharilal)
↓
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↓ ↓
Junior Engineers Accounts Clerk