DIM LIGHTING CO.

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NORTON UNIVERSITY
MASTER IN DEVELOPMENT MANAGEMENT
INSTITUTIONAL DEVELOPMENT
CASE ANALYSIS
Group 3: Presentation
Submitted to: Dr. Renato M. Lee
1.
2.
3.
4.
5.
6.
7.
8.
9.
Mr. Nhim Dalen
Mr. Mao Piseth
Mr. Saman Dimara
Mr. Hak Sopagnha
Ms Lim Lina
Mr. Keo Sovan Chanborey
Mr. Chhoeng Sangha
Mr. Horn Pisith
Mr. Hut Chenda


Overview
Problem
 Macro
 Micro



Causes
Proposed options/Alternatives
Recommendation

The Dim Lighting Company is a subsidiary of a major
producer of electronic products.

The Dim Lighting Company subsidiary produces electric
lamps and employs about 2,000 workers.

This subsidiary successfully for the past five years, however,
last year the division failed to realized its operating targets,
and profit margin dropped by 15 percent.

Spinks has submitted a budget request for a major research
project, the micro-miniaturization “The Lamp of the Future”
of lighting source which could greatly reduce energy
requirement.
micro-miniaturization: production and application of very small semiconductor
components and the circuits and equipment in which they are used

MACRO
 The division failed to realize its operating targets,
and profit margins dropped by 15%.

MICRO
 Dr. Robert Spinks, director of R&D would resign,
which would shatter the R&D department he had
worked so hard to assemble.

MACRO
 The DIM Lighting Company failed to move into
new technologies, the firm would be
competitively obsolete.

MICRO
 The company not accept new creativity and
innovation in Research and Development

Structure
Group Vice
President
General Manager
JIM WEST
Director R&D
Dr. SPINKS
Director Marketing
P. NEWELL
Director Mtg
B. BOSWELL
Director Accounting
C. PRESTON
1
Conduct the research on microminiaturization
2
Purchase new machine
3
Both 1 and 2
1

ADVANTAGES:
 Low cost (250,000/year for two years)
 New technology found that greatly reduce energy
requirements
 Competitive advantages
 Long-term benefits
 Avoid global redundancy

DISADVANTAGES:




Low productivities
Uncertain results
High risk
Length of time
2

ADVANTAGES:
 Quick productivity
 Easy to manage
 Very direct payback

DISADVANTAGES:





High cost (1,000,000 USD)
Reduce workforce and making global redundancy
Maintaining cost
Social and global environment affected (pollution)
failed to move into new technologies, the firm would
be competitively obsolete.
3

ADVANTAGES:





Quick productivities / high productions
Future expansion of market
Address to the need of clients
Both short and longer term perspective
DISADVANTAGES:




Very high cost XXX XXX
Difficult to manage
Maintaining cost
Social and global environment affected
1
1
Optionthe research on microConduct
miniaturization
2
Conduct the research on microPurchase new machine
miniaturization
3
Both 1beand
2
Would
strongly
recommended!
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