THE PATTERSON OPERATION

I. POINT OF THE MANAGEMENT

VIEW

The management’s perspective is the most

appropriate point of view for this problem
because they are in charge of deciding the
company's action
II. PROBLEM STATEMENT AND
ANALYSIS

A. Problem Statement

“How or what can be done so that the leadership style

implemented at the Patterson plant be also effective if it
will be imposed throughout the Section 10?”
 As the Carrington, Inc.’s world-wide
operations intensify, the management
B. was faced with problems in Section 10
and several problems arise from the
Problem creation of a new facility in the
Analysis Patterson Street:
• Section 10
• Patterson
 III. ANALYSIS OF THE CASE SITUATION/CASE FACTS

Economic 

Technological
A. Microenvironment
Analysis
Sociocultural

International 
 Company 

Item

Employee at SECTION 10
B. Company
Analysis Benefits at SECTION 10

Building SECTION 10

New plant: Patterson Operation

 IV. SWOT ANALYSIS
STRENGTHS

 Patterson's employees are highly motivated and productive.
 Employees have given the management their respect and appreciation, and they have created
excellent working relationship with them.
 Employees created a strong sense of mutual cooperation and esprit de corps.
 Employee involvement in decision-making
 Having Mr. Fred Hammond as a supervisor and his managerial skills.
 Workers were able to develop speed by repeating the same tasks on a single production line.
 WEAKNESSES

 Patterson seems not aligned with the main plant.

 Many company policies are disregarded.
 There isn't enough room in the manufacturing and assembly section to support the 
expanding workforce demand.
 Some managers have mixed feelings about the changes made to Patterson Plant.
 OPPORTUNITIES

 More qualified and competent workers will apply to work for the company due to the

Patterson's popularity.
 Recruiting new managers who are similar to Mr. Hammond in terms of leadership style.
 THREATS

 Sickness as a result of the warehouse's extreme changes in temperature.
 Earthquakes, fires, and hailstorms are all natural disasters that might easily demolish the 
Patterson operating facility.
 If the new manager's leadership style differs from Mr. Fred Hammond and Ms. May
Allison, the Patterson plant's positive record and progress could be disrupted.
 V. FORMULATION AND EVALUATION OF ALTERNATIVES
Alternative 1: Reviewing - Review working policy of Section 10 and compare to the working policy of Patterson plant. Then
apply changes accordance to a morale and ethical perspective.

Pros Con
•Manager and supervisors will be able to see
what is wrong in the working policy management. •Changes can give employee a hard time in
•Management will be able to make changes in adopting new working policy.
their working policy •Employees may confuse to the changes.
•Employees can participate in decision-making •Changes may not be applicable to all
regarding the changes in working policy. employees.
•They will be able to see what working policy in
Patterson to adopt and apply and what should
not, and vice versa to the Section 10 working
policy.
 Alternative 2: Adopting - Adopt the leadership style implemented by the managements at the Patterson plant to the
entire Section 10.
Pros
•Effective leadership in motivating other, controls
and influences in the condition in achieving high
group performance. Earn the respect and admiration
of the employees.
•Allowed employees to influence decisions. No
dress codes. Employees participate in decision
making.
•Acceptable to have radios as a means of
entertainment.
•Level of trust and confidence that a team has in a
leader. Acknowledge employees view in the process
of decision making.
Con
• Since the Patterson operation is more informal, there
are instances that it exceeded the limit for the regularity in
the company’s policy:
• There was no definite uniform so that the security might
be at risk.
• Sometimes they made decisions by themselves and
acted independently, without reference to overall company
personnel policy.
• Absenteeism, tardiness and turnover not better than the
plant overall slightly worse.
• Sometimes they made decisions by themselves and
acted independently, without reference to overall company
personnel policy.
• Playing of radios in production areas at high volume
may hamper the concentration of the employee
 Alternative 3: Changing - Discontinue the implementation of time-saved Hasley incentive program.

Pros Cons

• It may be easier to fix standard time for • Workers may have hard time to adjust
completing a job. • Workers may be at ease to finish their job.
• The quality of products will no longer suffer
because workers have the time to complete
the work.
 Alternative 4: Developing - Develop a new incentive plan that could motivate the employee and look for a
cost-reduction programs.

Pros Cons
• Developing a new incentive plan help motivate
employee, as well as the company. • It may not be as successful as to adapt the
Cost reduction program will lessen the health care working policies to the rest of the employees.
costs at the same time keep the union employees.
• Allows employees to contribute cost reduction • Temporary slowdowns may occur
initiatives to going deep down into the organization,
something a consultant or management can’t do. includes decreased short-term revenue
• Employees will become more aware of the costs
they actually cause.
expectations.
• Employees will be benefited by the reduced
prices which may be possible by savings form cost
reduction programs.
 Alternative 3:
Alternative 1: Alternative 2:
Discontinuing the Alternative 4: Develop
Reviewing of working Adopting working
Decision Criteria % implementation of new incentive plan and
policy and apply policy from
Hasley incentive cost reduction program
changes Patterson plant
program

Job Satisfaction 30% 20% 30% 20% 26%

Employee Motivation 25% 20% 23% 20% 20%

Low Cost 10% 10% 10% 7% 10%

Efficiency 20% 20% 20% 15% 20%

Ease of Implementation 15% 13% 14% 13% 13%

Total 100% 83% 97% 75% 89%

 Alternative 2:

Adopting - Adopt the leadership style implemented by the

managements at the Patterson plant to the entire Section 10.

VI. DECISION
 VII. IMPLEMENTATION PLAN

ALTERNATIVES Strategies and Action

 Meeting
 Seek for the advice of other managers during the meeting
Review working policy of Section 10 and
 Create a written agreement signed by all department managers
compare to the working policy of Patterson plant.
and submit to higher official of the company for approval
Then apply changes accordance to a morale and
 And apply the new working policy.
ethical perspective.
 
 ALTERNATIVES Strategies and Action

• The head manager should call a meeting to notify all departments for the
Adopt the leadership style
adoption of leadership of Patterson Operation;
implemented by the managements
• Ms. Allison and Mr. Hammond should share their knowledge about
at the Patterson plant to the entire
Carrington Incorporation. leadership style to other managers to assess their progress toward reaching their
objectives;
• Seek for advice from other department managers regarding the tardiness,
absenteeism, and turnover of the employees in Patterson Operation;
• And create a written agreement signed by all department managers and
submit to higher official of the company for implementation.
 ALTERNATIVES Strategies and Action

• The head manager of Carrington Incorporation should call a meeting

Discontinue the implementation of
• Persuade the other department heads about the negative impact of Hasley
time saved Hasley incentive
Incentive Program to company;
program.
• Create a written agreement signed by all department managers that they are
agree on discontinuing the implementation of time saved Hasley Incentive;
• Submit to higher official of the company for approval.
 ALTERNATIVES Strategies and Action

• To develop new incentive plan, the head manager of Carrington Incorporation

Develop a new incentive plan that
should call a meeting to notify all departments;
could motivate the employee and
• Create a written agreement
look for a cost-reduction programs.
• Submit to higher official of the company for approval;
• And implement the new incentive program.
• To look for a cost reduction programs, first, the company must improve
payment terms with the supplier
• Creating a long-term relationship with the company suppliers
• A company's operating expenses must be tracked.
 VIII. CONTINGENCY PLAN

SECOND BEST ALTERNATIVE

Alternative 4: Develop new incentive plan and cost reduction program

Other courses of action

 Concentration on the condition of the facility where manufacturing and assembly operations
take place.
 Perform strict recruitment for incoming employees and adhere to the management's
qualification standards
 Case No. 1

PATTERSON OPERATION

SUBMITTED BY GROUP 5:

Agustin Cynthia S.
Bobita, Dannah Mai C.
Cancino, Angelica Y.
Dancel, Reynaldo Jr.
Palasigue, Jetro M.
Salarzon, Ivy Joyce