(1) Insofar as Richeson’s business remains profitable, it appears that his main problem is not a lack of general manager ability, but rather either a time management problem or simply that he is overworked and taking on too many responsibilities. To the extent that this is the problem, then hiring a management consultant, if even on a short-term basis, could pay enormous dividends for the business itself, providing Richeson with needed outside input so as to ameliorate the situation. Although some firms, espeically smaller businesses, hesitate to use management consultants, either because of trust issues or cost concerns (Longenecker et al., 2011, p. 575), Richeson could directly express his problem to the consultant (Longenecker et al., 2011, p. 575) so as to find an optimal solution to the problem in a quick and efficient manner. (2) A management consultant would be my recommendation, since this is a smaller business and there are very direct problems related to his managing of the company specifically that need to be addressed. (3) According to my assessment, considering the success of the company and Richeson’s dedication to the business, my conclusion is that the problem lies with the basic fact of Richeson handling too many responsibilities and being overworked. A more delegative approach to duties would be optimal to resolve the situation.
Chapter 20 Situation 2
(1) The ethical issue primarily raised in Tandy’s case is that of legal ethics, since with his particualr business practice he is not following stipulated legal measures. (2) If the supplier is satisfied with this relationship, even though it is essentially illegal, then there should be no problems on this level. However, if the supplier finds out about Tandy’s activity not from Tandy himself, they may consider him untrustworthy and break off the relationship. Since Tandy is dependent upon his suppliers, he should be honest with them as regards to his business practice and let the supplier decide if they wish to work in this manner.
- Longenecker, J.G.et al. (2011). Small Business Management: Launching and Growing Entrepeneurial Ventures. Boston, MA: CENGAGE.
