JAVELLANA, KAYE C.

BAHR212 (10506)
CASE ANALYSIS- 3

Ponciano Retailing Company: Yesterday

QUESTION 1: The workers' reaction would be unusual, and maybe detrimental to the
company. Decentralization of the new company, which, by the way, is already being anticipated
by senior management and Patrick himself, who tells Danny that dissatisfied staff are easy to
replace once they depart. It might be aggravating for them because they have been accustomed
to Ponciano and Danny's traditional culture for years. However, I believe that employees should
understand that change is the only constant in this world, especially in the professional setting,
where everything is always changing and fast-paced. They should have expected this
transformation to occur at some time throughout their professional lives and should have been
prepared when it did. One of the most distinctive characteristics we have as employees is

to keep up with our tasks, we need to be responsive or adaptable. We should not be frightened
of change; rather, we should welcome it because it usually leads to the company's and our own
improvement.

QUESTION 2: Patrick's decision to implement the policy of decentralization in this case was, in
my opinion, a significant error. All the adverse occurrences occurred when they switched their
policy - their revenues plummeted by 2%, many employees seek new jobs, and employee
abstention and tardiness became common. But I completely see why Patrick wanted to create it
for the firm; all Patrick wanted to do was better the business that his father had created for years.
Both parties, in my perspective, may have flaws that are the root cause of the problem. When it
came to adapting to changes, the employees should have been more transparent and responsive.
Rather of being dissatisfied or unmotivated, they could have welcomed the challenge of change
and worked together with senior management to achieve their goal. They should trust the
process, even if it isn't easy at first. Patrick, on the other hand, must keep in mind that what he
asked for was a request. The staff did not have it easy. He should have talked to his partner,
Danny, to come up with a better strategy and gradually execute it until the staff were accustomed
to it. The foundations to a successful partnership between management and staff are interaction
and preparation. The outcome would have been different if they had done so.