EXECUTIVE SUMMARYTo: Cliff O'Conner - CEOFrom: Vice President of Organizational DevelopmentDate: December 21, 2008Re: Alternatives for Future of AcuScanA case study was conducted on AcuScan to determine the underlying issue in the company and propose an effective course of action to successfully, effectively and efficiently solve the problem. AcuScan is the manufacturer of iScanner, a revolutionary retinal scanner. AcuScan has asked the marketing and product development departments to create a product that will target new customers.
Since my arrival I have read various memos and emails. During my orientation to the company I read the Scanner Weekly and the memo regarding the budget costs. The management staff is eager and ready to improve sales and be on the cutting edge again. Kelly Thomas is the only member on the management staff who believes that the product could be developed by the due date.
Based on the observations, three possible solutions are available.
The first solution is to spend the $925,000, which will add manpower by contract a programming team. "Since sourcing has a significant effect on the bottom line of a company, it has become a major strategic option" (Park, Reddy & Young, 2001).The end result of having the programming team deliver a completed product by the August deadline. This will put AcuScan ahead of the competition.
The second solution would be to stay within the original budget of $575,000, conduct a meeting with the department heads and come up with a plan. Meetings are important. This time is used for solving any problems and communicating company goals (Korfin, 2008). The plan could be to use the assign 25% of the current programmers to work on the new product. The rest of the programmers will work on the existing customers. An incentive program may be instituted. The programmers may be...