William Baird PLC Report - Change Strategy & Management

Essay by totallyanonUniversity, Bachelor's April 2004

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To : William Baird PLC

From : John Doe

Date : 9th January 2002

Subject : Strategy that will enable William Baird to survive turn-around the prospectus for the business.

Section 1.0 Terms of reference

William Baird is already suffering from the high cost, low margin nature of the UK clothing industry and in 1999 lost its contract with M&S whom made up 40% of William Baird's sales. The company must take immediate action in wake of this abrupt change, in order to survive, and decide upon a long term strategy that will ensure success in the future. Unless drastic measures are taken, William Baird faces the consequence of high running costs from redundant machinery and labour and certainly raise uncertainty from investors and other customers and thus quickly face a bleak future.

The report will analyze the current business position and more crucially, evaluate and later recommend possible 'change' within the organizational structure and marketing mix that will allow the company to survive and create stable growth.

Section 1.1 Primary objective

Devise a strategy (together with immediate short term measures) with the objective of survival in wake of loss of M&S's contract and for long term success.

Section 1.2 Secondary objectives

- Asses impact of loss of contract and future prospects

- Short term measures

- Evaluation of possible internal changes

- How William Baird should implement change (and overcome resistance)

Section 2.0 Assess impact of loss of contract

The most obvious consequence of the lost of contract will be the sharp drop in future incoming sales and profits. This will effect the level of future capital investment and lower the share value. The company will now have redundant capacity that requires continuous running costs and so the company must quickly downsize by selling machinery and property (or...