The challenges that surrounded Alumina, Inc. could have been detrimental to the corporation. Areas the management team needed to concentrate on were the corporation's image to the general public as well as competitors, current customers and potential customers. Management's duty was to manage the crisis by preventing extensive losses to the company while at the same time preserving the image of the company and doing right by the community. As a team we agreed upon the strategies and recommendations to solve the challenges for Alumina, Inc., although the timing of how the events would play out was slightly different. We agreed the initial strategy was to release a statement highlighting Alumina's clean record over the five years. This would show the community our company has been in compliance with current regulations and that we are maintaining a high standard. Following the local newspaper's release of a damaging article suggesting that Alumina responded quickly because it was on the defense, we agreed that an independent investigation checking for new violations would be a prudent business decision. The result from the investigation indicated our PAH levels were lower than the prescribed levels.
Business Regulation 3
Strategy for Challenges
When further inquiries questioned our business practices, we decided to a partial release of the report. To ignore this opportunity could be very damaging,
indicating our company is hiding something. A full release of the report would jeopardize Alumina's competitive position in the global aluminum trade business.
When Bates threatened a million dollar lawsuit, we decided mediation would be an appropriate route to follow as opposed to litigation. This provided a win-win situation for Alumina and ...