Management Failures

3530 Words15 Pages
Table of Contents

1. Introduction p. 2

2. Part A: The internal and external environment p. 2

2.1. The external environment p. 2

2.2. The internal environment p. 3

3. Part B: Managerial ethics p. 4

4. Part C: Corporate social responsibility p. 6

5. Conclusion p. 7

Reference List p.9

1. Introduction

The purpose of this assignment is to portray and evaluate the main management failures that led to the collapse of ABC Learning Centres Ltd (ABC) under the management of Eddy Groves. Therefore it is to be looked at the following areas: internal and external environment, managerial ethics and corporate social responsibility. Further more it
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The external environmental conditions Eddy Groves had to deal with can be described as comparatively comfortable as a simple and stable environment is the least uncertain one, where managers` influences on organisational outcomes is greatest (Robbins et al. 2008, p. 91).

2.2. The internal environment

An organisation`s major internal environmental factor is the organisation`s culture (Davey 2010, p. 34). An organisation`s culture is made up of the shared values, principles, traditions and ways of doing things that influence the way the members in an organisation act (Robbins et al. 2008, p. 94). Researchers found seven dimensions (Innovation and risk taking, attention to detail, outcome orientation, people orientation, team orientation, aggressiveness and stability) that together constitute the organisations culture and in many companies one of those dimensions are more prevalent than others and shape the organisations culture (Robbins et al. 2008, p. 94).The original source of an organisation´s culture usually reflects the vision of its founders and shows their focus (Robbins et al. 2008, p. 97).

In view of ABC there can be found a strong focus on outcome and profit orientation and a high level of aggressiveness on the one hand and a poor people orientation and attention to detail on the other hand.

The main focus Groves had was on growth and profit at all costs. To
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