Case 4 (35 marks / approximately 2,

Case 4 (35 marks / approximately 2,000 words):

The Fletcher-Terry Company of Farmington, Connecticut, is a worldwide leader in the development of glass-cutting tools and accessories for professional glaziers, glass manufacturers, glass artisans, and professional framers. The company can trace its roots back to 1868 when a young engineer, Samuel Monce, developed and patented a hardened steel tool that could effectively replace expensive diamonds as a cutting device. Using this invention as his centerpiece, Monce formed the Monce Company, which went on to become a leader in glass-cutting devices for several decades.

Meanwhile, in 1894, Monce’s nephew Fred Fletcher got a patent on a replaceable wheel cutter. Ten years later he went into business with his father-in-law, Franklin Terry, forming the Fletcher-Terry Company. In 1935, the Fletcher-Terry Company bought the Monce Company, thereby combining the assets and knowledge of the two companies. For the next four decades, Fletcher-Terry had much success making its traditional product lines of hand- held glass cutters and cutting wheels for the glass, glazing, and hardware markets. However, by the 1980s, Fletcher-Terry was facing a crisis. Its two largest customers, distributors of cutting devices, decided to introduce their own private-label cutters made overseas. By the end of 1982, Fletcher-Terry’s sales of handheld glass cutters were down 45%.

Fletcher-Terry responded by investing heavily in technology with the hope that automation would cut costs; however, the technology never worked. The company then decided to expand its line of offerings by creating private lines through imports, but the dollar weakened and any price advantage was lost. Eventually, Fletcher-Terry had to write off this line with a substantial loss.

Company managers realized that if they did not change the way they did business, the company would not survive. They began a significant strategic planning process in which they set objectives and redefined the mission of the company. Among the new objectives were to increase market share where the company was already strong, penetrate new markets with new products, provide technological expertise for product development, promote greater employee involvement and growth, and achieve a sales growth rate twice that of the gross domestic product.

To accomplish these objectives, the company invested in plant and process improvements that reduced costs and improved quality. Markets were researched for both old and new products and marketing efforts were launched to re-establish the company’s products as being “the first choice of professionals.” A participatory management system was implemented that encouraged risk taking and creativity among employees.

Following these initiatives, sales growth totalled 82.5% from 1987 and 1993. Fletcher-Terry expanded its offerings with bevel mat cutters, new fastener tools, and a variety of hand tools essential to professional picture framers, and graduated from being a manufacturer of relatively simple hand tools to being a manufacturer of mechanically complex equipment and tools. Today, Fletcher-Terry maintains a leadership position in its industry through dedicated employees who are constantly exploring new ideas to help customers become more productive. Because of its continuous pursuit of quality, the company earned the Ford Q-101 Quality Supplier Award. In August of 2001, Fletcher-Terry introduced its

FramerSolutions.com online business-to-business custom mat cutting service especially designed for professional picture framers. The mission of Fletcher-Terry is to develop innovative tools and equipment for the markets they serve worldwide and make customer satisfaction their number one priority.


Discussion

1. Fletcher-Terry managers have been involved in many decisions over the years. Of particular importance were the decisions made in the 1980s when the company was struggling to survive. Several states of nature took place in the late 1970s and 1980s over which managers had little or no control. Suppose the Fletcher-Terry management team wants to reflect on their decisions and the events that surrounded them, and they ask you to make a brief report summarizing the situation. Delineate at least five decisions that Fletcher-Terry probably had to make during that troublesome time. Using your knowledge of the economic situation both in the United States and in the rest of the world in addition to information given in the case, present at least four states of nature during that time that had significant influence on the outcomes of the managers’ decisions.
(20 marks / approximately 1,200 words)

2. At one point, Fletcher-Terry decided to import its own private line of cutters. Suppose that before taking such action, the managers had the following information available. Construct a decision table and a decision tree by using this information. Explain

Kết quả (Việt) 1:

Trường hợp 4 (đánh dấu 35 / khoảng 2.000 từ):Công ty Fletcher-Terry của Farmington, Connecticut, là một nhà lãnh đạo trên toàn thế giới trong sự phát triển của thủy tinh cắt các công cụ và phụ kiện cho glaziers chuyên nghiệp, các nhà sản xuất thủy tinh, thủy tinh nghệ nhân và soạn thảo chuyên nghiệp. Công ty có thể theo dõi các gốc rễ của nó trở lại vào năm 1868 khi một kỹ sư trẻ, Samuel Monce, phát triển và cấp bằng sáng chế một công cụ thép cứng một cách hiệu quả có thể thay thế các kim cương đắt tiền như là một thiết bị cắt. Sử dụng sáng chế này như là trung tâm của mình, Monce đã thành lập công ty Monce đã trở thành một nhà lãnh đạo trong thiết bị cắt kính trong nhiều thập kỷ.Trong khi đó, vào năm 1894, Monce của cháu Fred Fletcher nhận một bằng sáng chế trên một máy cắt bánh xe thay thế. Mười năm sau đó ông đã đi vào kinh doanh với vợ, Franklin Terry, thành lập công ty Fletcher-Terry. Năm 1935, Fletcher Terry ty mua công ty Monce, do đó kết hợp các tài sản và kiến thức của hai công ty. Bốn thập kỷ tiếp theo, Fletcher-Terry đã có nhiều thành công làm cho các dòng sản phẩm truyền thống của bàn tay-tổ chức các dao cắt kính, cắt bánh xe cho kính, kính và thị trường phần cứng. Tuy nhiên, những năm 1980, Fletcher-Terry đã phải đối mặt với một cuộc khủng hoảng. Hai khách hàng lớn nhất, nhà phân phối thiết bị cắt, quyết định giới thiệu mình dụng cụ cầm tay nhãn hiệu riêng được thực hiện ở nước ngoài. Đến cuối năm 1982, Fletcher-Terry không bán chạy như dao cắt kính cầm tay xuống 45%.Fletcher-Terry responded by investing heavily in technology with the hope that automation would cut costs; however, the technology never worked. The company then decided to expand its line of offerings by creating private lines through imports, but the dollar weakened and any price advantage was lost. Eventually, Fletcher-Terry had to write off this line with a substantial loss.Company managers realized that if they did not change the way they did business, the company would not survive. They began a significant strategic planning process in which they set objectives and redefined the mission of the company. Among the new objectives were to increase market share where the company was already strong, penetrate new markets with new products, provide technological expertise for product development, promote greater employee involvement and growth, and achieve a sales growth rate twice that of the gross domestic product.To accomplish these objectives, the company invested in plant and process improvements that reduced costs and improved quality. Markets were researched for both old and new products and marketing efforts were launched to re-establish the company’s products as being “the first choice of professionals.” A participatory management system was implemented that encouraged risk taking and creativity among employees.Following these initiatives, sales growth totalled 82.5% from 1987 and 1993. Fletcher-Terry expanded its offerings with bevel mat cutters, new fastener tools, and a variety of hand tools essential to professional picture framers, and graduated from being a manufacturer of relatively simple hand tools to being a manufacturer of mechanically complex equipment and tools. Today, Fletcher-Terry maintains a leadership position in its industry through dedicated employees who are constantly exploring new ideas to help customers become more productive. Because of its continuous pursuit of quality, the company earned the Ford Q-101 Quality Supplier Award. In August of 2001, Fletcher-Terry introduced its FramerSolutions.com online business-to-business custom mat cutting service especially designed for professional picture framers. The mission of Fletcher-Terry is to develop innovative tools and equipment for the markets they serve worldwide and make customer satisfaction their number one priority.Discussion1. Fletcher-Terry managers have been involved in many decisions over the years. Of particular importance were the decisions made in the 1980s when the company was struggling to survive. Several states of nature took place in the late 1970s and 1980s over which managers had little or no control. Suppose the Fletcher-Terry management team wants to reflect on their decisions and the events that surrounded them, and they ask you to make a brief report summarizing the situation. Delineate at least five decisions that Fletcher-Terry probably had to make during that troublesome time. Using your knowledge of the economic situation both in the United States and in the rest of the world in addition to information given in the case, present at least four states of nature during that time that had significant influence on the outcomes of the managers’ decisions.(20 marks / approximately 1,200 words)2. At one point, Fletcher-Terry decided to import its own private line of cutters. Suppose that before taking such action, the managers had the following information available. Construct a decision table and a decision tree by using this information. Explain