LABU Written Assessment 2 - To Henry CHAN Chief Executive...

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To: Henry CHAN, Chief Executive of Kitchen Best Appliance Company Ltd From: KC LAM, Senior Consultant at Deloitte Consulting Subject: Recommendations to tackle management issues in Kitchen Best Date: 29 September, 2010 This report serves to identify the root causes of the problems that Kitchen Best Appliance Company Ltd (Kitchen Best) is facing, and will suggest solutions to improve its competitiveness. Introduction Kitchen Best was operating and expanding successfully in the past few years under Chan Dong-hua’s management. However, since he has passed on to you, Henry Chan, Kitchen Best faced 3 incidents as follows: 1. Faulty microwaveable tableware associated with Shago 2. Testing and certification issues associated with Haus de Metro (HdM) 3. Potential risk of losing Honghua as business partner You have sought for a professional opinion on the matter and requested me, KC Lam, to investigate on the situation. I undertook this report in September 2010. Over a two-week period, I read through the documents involved and interviewed you, the managers and Chan Dong-hua for different perspectives. Due to the short investigation period and confidentiality, I am not able to gain opinions from the firms involved for a more holistic view. This report will firstly provide an overall conclusion, followed by recommendations, and lastly, an analysis on the problems. Conclusion Based on the analysis below, I have concluded that there are 3 most effective policies to improve the current situations: 1. To re-evaluate the current expansion goals 2. To establish a department in order to set up a code of conduct 3. To hire managers with past experience of expanding to the western markets

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