In: Accounting
Case study 2
Wires Oman LLC is one of the oldest manufacturers specialized in
producing Cables & Wires in the
Sultanate of Oman. The company was established in 2013 and was
running successfully. In 2017, the
company decided to expand its business. Hence, they took steps to
arrange and structure the works to
accomplish the organisational goals. They divided work activities
into separate job tasks. And specialized
employees were given part of an activity rather than the entire
activity to increase the work output.
But the employees and functional managers were confused because the
procedures, rules and
responsibilities were not correctly specified. Sometimes employees
were compelled to report to different
managers at the same time. Also, they felt that the managers failed
to motivate, inspire and communicate
with them properly.
But, by the end of 2017, the company faced the problem in the
coordination of different activities which
decreased the productivity and delayed the completion of tasks.
Further, Wires Oman LLC has to focus on
the external environmental dimensions. Further, the administrations
have to follow the rules of business
social responsibilities in Oman. As a result, the administration of
the company faced a lot of confusions and
the company incurred huge losses.
Questions:
1. Examine the management functions responsible for the issues in
Wires Oman LLC.
(3 marks- Answer in 75-100 words)
2. Identify and explain three external environmental dimensions to
be focused by the company.
(3 marks- Answer in 75-100 words)
3. The case has discussed some ways implemented by the company as
part of business social
responsibilities Discuss them in detail? (4 marks- Answer in
Solution 1
Management functions responsible for the issues in Wires Oman LLC are as follows
Solution 2
Three external dimensions to be focussed by the organisation are
Solution 3
A business derives inputs for its operation from the environment in which it operates. Thus the organisation also has a responsibility towards the environment. It has the responsibility of providing safe and reliable products. It has to contribute towards the welfare of the society and help the Government in achieving socio- economic development.
Due to failure of the entity in achieving its goals, Wires Oman LLC may not be in a position to satisfy the business social responsibility requirements. Delayed completion of tasks and decreased productivity would have a considerable impact over their profitability. Also, the quality of the products may not be as expected due to lack of adequate and proper management functions.