Compagnie Du Froid

This research paper is based on the development and implementation of completely integrated performance management system. The organizations are enjoying many benefits by implementing the performance management system. It has helped in improving the productivity of employees in most of the organizations. It is to be understood that apart from advantages, the system also carries some disadvantages. It is time consuming and there are chances of biases entering into the system.

The organization of power within a corporation is a rigid dichotomy between centralization and decentralization. Substitute strategies can exist anywhere along the spectrum whether they are completely centralized, completely decentralized or somewhere in between. Though Cervus’ methods are substitutable, centralized policies have not proven to be nearly as successful in maintaining

Firstly, the president and other management team members may get a higher overall salary by putting next year’s revenue to this year and transferring current year expenses to next year. The division’s management team’s salary and bonus may be based on the earnings of the division. By increasing revenue and decreasing expenses, they will be able to fake a higher operating income and thus receive higher compensation.

In addition, it is essential to generate detailed divisions for merchandise progress and industrial can have an effect on the company’s administrative structure known as product evolution. Centralized management retains all major decisions with one detailed decision-making group, whereas decentralized management lets company managers to have more ‘say’ in the executive process. Next, corporations that participate in the mass production of products may not exert as

A well-articulated compensation philosophy drives organizational success by aligning pay and other rewards with business strategy. It provides the foundation for plan design and administration and anchors current and future plans to the company's culture and values (Kaplan, 2006, p.32). Recognizing and rewarding achievement is the cornerstone of the company A’s compensation philosophy. The mission of the company is to attract, select, place and promote all individuals based on their qualifications. The company believes that performance-based compensation helps attract, develop and retain talented professionals. In addition to base pay which based upon local market conditions and targeted to be above market, the company provides the following types of potential compensation to reward performance:

CompuCo is attempting to move from a domestic producer to that of an international producer. In order to achieve this feat, the company must have an international focus in regards to its overall business operations. It is quite apparent from the case, that CompuCo does not have the will or desire to be proactive with its international subsidiaries. In order to achieve greater international success, Dr. Durand must first alter the company culture. First, all international subsidiaries should be treated as a primary business irrespective of their individual performance. It seems, through reading the case, that much more emphasis is placed on French product development and applications that is given to its international counterparts. This is a detriment to business as many of CompuCo's international customers have differing tastes and sentiments in regards to product offerings. The case cites numerous examples of this between both French and American consumers. French consumers, for example, like to read product manuals and prefer complexity over simplicity. Their American counterparts however prefer ease of use, and a simple design. The company was slow to discern these changes in consumer demands and elected instead to emphasize its French product design. This created consumer ill-will and

Each division is operating independently with its own division manager. Also, each division’s performance had been judged on its profit and return on investment (ROI). The company policy of decentralizing responsibility and authority for all

Kaplan, S. L. (2007). Business Strategy, People Strategy and Total Rewards. Benefits & Compensation Digest, 44(9), 1-19.

This paper is a book report on the novel entitled The Goal written by Eliyahu Goldratt and Jeff Cox. The 40-chapter book is actually a business book written in the form of a novel that makes it interesting to read unlike other business textbook. As a novel, the book is entertaining but at the same time, very informative for management or accounting students as well as for the real-life company managers and CEOs who wanted to apply different managerial practices. The paper summarizes the novel and makes analyses in relation to Operations Management.

Pivotal in that philosophy development is how and to what extent pay will be tied to specific types of performance.  This issue will not be treated the same in every organization.  However, every business should be able to identify certain performance objectives it wants its workforce to fulfill and the financial outcome that will be achieved if that result is attained.  Such a projection can be translated into an increased shareholder value figure.  (The VisionLink Advisory Group)

Their biggest competitors in the overall chocolate industry are regional companies because Roger’s is relatively focused in a small area, but not all of these companies offer the high end chocolates like Roger’s. There are also only a handful of big chocolate companies, like Nestle and Ghirardelli, that they compete with outside of their local regions. This presents a very good opportunity for Roger’s to increase market exposure and increase their sales and profit potentials.

The case in hand, Compagnie Du Froid, S.A., analyzes the company’s three regions (France, Italy and Span) and their regional manager’s business performance against the set profit plan for FY 2009. Additionally, the case also raises the question of whether the traditional approach of paying 2% of corporate profit as bonus will work or not. The situation is that the thee different regions have three different actual return figures and there are several first time situations that Jaques Trumen, CEO and major shareholder of Compagnie du Froid, S.A., is facing. The points in FY 2009 that grabbed our attention are:

Before the nineties the Coca-Cola company was having a centralize system of control, but after sometime they realized that if they had to meet the demands of the customers they should adopt a decentralized system in which the authority of decision making is distributed between different managers so that every sector can be managed effectively. This system was implemented in the nineties by the company’s board of directors. Now the organization is having two groups who are responsible for operating:

This case explores the roles of CEO Rudi Gassner and the 9-person executive committee in leading BMG International. BMG International is the international music subsidiary of Bertelsmann, a German company that is the second-largest media conglomerate in the world. In particular, the case describes a 1993 decision that Gassner and the executive committee must make about whether or not to change managers' business plans and bonus targets as a result of a newly negotiate reduced manufacturing cost. Some of the major and important issues discussed include: the complexities of managing and growing a large global business; the tensions between centralized corporate control and decentralized local management in a global organization; the impact

The case of Euroland Foods S.A. is about a multinational company that produces high-quality ice cream, yogurt, bottled water, and fruit juices. Euroland Foods was founded in 1924 by Theo Verdin. The performance of the company was steady over the years, but since 1998 to 2000 the company had no growth. The management team thought that was because of the low population growth in northern Europe and market saturation in some areas. The management team hoped that increase in market share and sales would help company growth.