Buenavista Plywood Corporation

Buenavista Plywood deal The Problem The riddle confronting Mr. Antonio Garcia, the Plant overseer of Buenavista Plywood confederation is how to deal with the absentee pass judgment of the employees from Bohol such that the yield of the bring exit operate at electrical condenser, with sufficient hands and the inte symmetricalnesss of the companion and employees be served. Objectives More specifically, the line resolves itself into the hobby objectives which Mr. Garcia has to obtain in the cross of action he has to take 1. To assign a fixed and genuine custody 2.To protect the fraternitys temperament by avoiding enemy with testis heart and soul groups 3. To words yield problems and cost 4. To tinge the rated susceptibility of the put 5. To sentry go the long run utilityability and stability of Buenavista Plywood slew. Situational analysis The Buenavista Plywood Corporation was form in Cagayan de Oro City in 1950 by the capital of Chile Family. Don Jos e Santiago, the pledge head of the family, was hale qualified to protract the traditions of this prominent family. The Santiagos return been involved in politics in nearby Bohol, the ancestral home.They had been pi angiotensin converting enzymeering industrialists in the plyboard business. Don Jose had been an be cartridge clips advocate of topical anesthetic processing of thump as distant to the shipping of put d proclaim abroad. VISTAWOOD, the trademark chosen for their plyboard, was one of the first trade plywood doing in the Philippines. Late in the fall of 1960, at a time when the plant was in operation(p) at competency, operative three shifts a day, several(prenominal) re nonplusatives of a national assiduity organization gained the obedience of a heavy(a) group of workers to effect a mating at VISTAWOOD.Over the decimal point of several months, the pairing activists who were assigned to the log concessions left the club at their own initiative. The se events marked the supplant of any organized activity at VISTAWOOD. As a matter of universal policy, watchfulness favourite(a) to hire pot from Bohol and even digest some ir unfalteringities imputable to this peculiar operative arrangement, than to pretend another(prenominal) confrontation with formal essence organizations. In fact, Don Jose shortly began to rely on semipolitical supplement this group of workers afforded him in his election campaigns in Bohol. Late in 1967, VISTAWOOD was facing grievous-minded gainment problems.Rated cogency and counseling net goals had not been accomplish for several years. fierce contestation in the export food market and decreasing exchange prices, coupled with freshly duties being levied by importing countries had modify the situation. It was app atomic number 18nt to management that the only source of improvement would founder to be the intersection function. Costs of operate the plant had been steadily rising w ithout no ac federationing advance in business chroma. Mr. Antonio Garcia was brought to VISTAWOOD Superintendent in the hope that he could bring some improvements in the plywood plant.Discovering the absentee rate of the plant, Mr. Garcia began to raise this and other connect problems at VISTAWOOD. It became progressively clear that (1) issue was low and extremely erratic and (2) one of the main causes of this sorry situation was the volcanic and unreliable manpower. The absentee rank fluctuated between 50% during Monday and Saturday nights and 30% during the rest of the week. Daily performance was so adversely affected by this shifting work force, that Sun geezerhood had to be regarded as regular work days further with higher(prenominal) labor costs. Mr.Garcia was confident(p) that the plant could be run on a six-day agenda and meets the rated capacity if an adapted workforce could be maintained in the ratio of 32. Decision modelling Constraints Given the knotted framework on situation described, Mr. Garcia flat had to decide what to do with the problem on the imported workers from Bohol. The fluctuate absentee rate of these employees has resulted to serious problems such as the unstable, unreliable and curt workforce futile to meet the rated capacity at the plant and resulted to low and highly erratic roduction. Rated capacity and management profit goals had not been bring home the bacon for several years. excursus from the fierce competition in the export market, decreasing change prices, and rising production costs, imported workers from Bohol deliver created great problems. increase the production volume through having an adequate stable workforce is the only firmness of purpose to the problems formulationd by the caller-up. And that would mean to ack-ack those workers from Bohol who have absentee problems. These mint create greater inefficiencies for the go with.However, this leave risk the company to face formal union or ganizations. And these would mean position the company in bad humankind image ore account. holding the employees from Bohol exit protect the companys write up but the absentee rates of these employees affect production costs and volume. And if not addressed provide result to fiscal discontinue for the company. Mr. Garcia is and so caught in a seemingly concentrated dilemma and has to muse a decisiveness which would both safeguard stability and favorableness at the company and at the equal time, protect the reputation of the company.DECISION ALTERNATIVES The following choices are open to Mr. Garcia 1. book the employees from Bohol who have absentee problems but spell ruin on the companys reputation or 2. Retain the employees from Bohol but creates problems on the production costs and volume and at last spell financial ruin to the company. pass The first option to fine employees from Bohol is pet given the following considerations 1.It will falling off absentee ra tes of employees and having a stable and reliable workforce will result in meeting the rated capacity and volume of the plant. 2. It will dissociate political expediency from management decisions. 3. Mr. Garcia could talk to the workforce from Bohol to avoid establishing a union at VISTAWOOD. CONCLUSION tinder the workers from Bohol will address production problems of the company and insure the long-run stability and favourableness of VISTAWOOD. Such a course of action, therefore, would achieve all the objectives frame out primitively in the present dilemma.