Johnsonville Sausage Company
The Johnsonville sausage company began as a rural market in Johnsonville, Wisconsin. In 1945, The Stayer Family purchased a shop with a slaughter house, and within one year several other retail stores. Upon graduating form college in 1965, the Stayer's son, Ralph, begun to work in the company, and after careful analysis, Ralph and his father decided to focus his efforts in building the wholesale aspect of the business. Over the years, the company enjoyed substantial growth. In 1978, the Johnsonville Sausage Co. opened a new production facility and Ralph Stayer was officially named president. Under his direction, the company expanded to capture a greater share of the wholesale business. As time went on, Johnsonville Sausage Co. began serving the states of Indiana, Illinois and Minnesota while the company's market position in Wisconsin strengthen. R. Stayer managed to build the company's wholesale business from $4 million in sales in 1975, to $ 50 million in 1985; and between 1980 and 1985, the return on equity climbed from 18% to 27%. Between 1983 and 1986, sales revenue per dollar of compensation doubled. The company's profits were well above average for the industry. The company was in great standing.
Who will make this decision? There are two options available to Ralph at this point. He can make the decision himself, or let the employee body decide. Under his direction, since the early 60's, the company has experienced considerable growth. He has proven to possess the knowledge, the ability, and the instinct to make a decision confidently. Since the outcome of this decision will have a significant impact in the company's future, Ralph might decide that the issue will be better handled by management. Together, with his team of managers, he could study the benefits and disadvantages of accepting Palmer's proposal, and communicate his final decision -Yes or No -to the rest of the company. This line of action deviates from Johnsonville's philosophy and could be detrimental to the employees' attitude. The already granted right to be process owners and dictators or their own goals and limitations would have been taken away. Enables people to feel that they are growing. All jobs should provide opportunities to learn. Individual should have some control over their job task. People should be provided wuth an opportunity to be accountable for the job. In order to minimize the impact of contract cancellation by Palmer Sausage, product quality should be maintained or improved, and new and improved products should be created. The workers of Johnsonville Sausage Co. should constantly work improve product's quality and efficiency. A successful tool for motivating employees to propose optimization ideas is to create a program that would reward financially. The awards will be given quarterly. There could be different award categories. That will be based on the amount of money that the company has saved or earned as a result of the implementation of the proposal the company $10,00 $50,000, $100,000 per quarter. In addition to monetary reward, quarterly meetings should be held, where recognition is given to the employees that have participated in the program.
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Approximate Word count = 2264
Approximate Pages = 9 (250 words per page double spaced)
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