The Wallace Group, Inc. is a diversified company dealing in the manufacture and development of technical products and systems. The company consists of three operational groups and a corporate staff. The three groups include Electronics, Plastics, and Chemicals each operating under the direction of a Group Vice President Electronics offers competence in the areas of microelectronics, electromagnetic, sensors, antennas, microwave, and minicomputers.
The most important problem facing the Wallace group is leadership. Mr. Wallace has created a company of leaders with no empowerment. A management team without empowerment is not agile and will usually be behinds its competitors instead of leading them. The other issues that face the company are as follows: This company has many problems the most apparent being morale of the employees, on review this is largely due to the management style of the president. Also the underperformance of two of three groups especially the chemical group. The apparent problems are only the symptoms of the real problems. One of the primary issues is the lack of management training; the managers were grown with the company and lack previous experience in management. There seems to be no strategic planning in place, no clear marketing strategy, no cooperation between corporate and the divisions, and they don't have a common goal.
An example of this is that Mr. Wallace's own employees are demoralized due to the lack of action by upper management. Since management is not empowered they do not communicate to their subordinates about their concerns or ideas without Mr. Wallace's approval. Mr. Wallace should consider making himself the Chairman of the Board. He should find a new President/CEO who can make this company more stable for the future and ...