My decisions were not conservative nor aggressive but

This preview shows page 7 - 9 out of 16 pages.

with suppliers), I did not think that I would have the highest final ranking. My decisions were not conservative nor aggressive, but somewhere in-between the two extremes. With this outlook, I expected to rank in the middle. I was hoping that with my long-term outlook, the final rankings would be different and reflect this extended plan, but that is not very realistic. I felt that Redex's aggressive plan would create the most value because it was the first company to implement Project 3. I thought that the first company to implement this project would have an advantage over its competitors. While this is true, Redex did not seem to plan for the implementation appropriately. Redex lost the sales of 2,000 units in Q3 (when it implemented Project 3) due to not having enough product to meet demand. I think this is what ultimately hurt Redex and cost it the value it could have gained by being the first to implement this project. Where will organic growth come from over the next 2 to 3 years? What are potential new market/product/service opportunities? I believe that organic growth is essential for Hisco's future. "Organic growth is growth from
Page 8 of 16 Student: Tracie Bowley within a company that represents an opportunity to leverage core competencies in order to expand both revenue and profits" (Ivasciuc & Epuran, 2015, p. 186). Organic growth can occur by enhancing competencies with Hisco in order to improve revenue and profits. For example, Hisco can increase its funding for engineering quality in order to increase its technical and perceived quality. In doing so, Hisco would eventually be able to gain a competitive advantage with its engineering quality and be able to increase its product pricing to reflect its superior quality. Another example would be to increase its Lean Sigma Six. This would continue to decrease processing time. A decreased processing time would mean that employees can complete a unit of product quicker and more efficiently than before. With the growth of the market, this would be beneficial to HIsco because it would lower overall labor costs because fewer employees would be needed to manufacture its product. Hisco could also experience organic growth by reducing its costs. If the company can reduce its costs, the result will be increased profits as long as sales remain consistent. Another way that Hisco can grow in the future is with potential opportunities. Hisco already found success by implementing Project 3, which expands the current market for its product. In addition, Hisco expanded its market to include the EC. This type of growth can continue by Hisco adapting its reader to work in other countries (like China, Japan, the Middle East, and Africa). In addition, Hisco could begin to offer customers the option to purchase updated software for older readers. For example, Hisco's speedy reader was essentially an updated version of its original product. Customer who purchased the original product could sign up to receive updates for their product for an additional fee. Updates would cost Hisco a fee to install, but this fee would be less than the fee customers would pay for the update.

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture