Tennant Case Analysis

Executive Summary In the face of consumer changes and current economic conditions, Clorox must make several key decisions regarding resource allocation and strategic focus across its product divisions. Specifically, there has been a strong focus since 2006 on product sustainability and green initiatives. As such, Clorox needs to determine if this is the right strategy to pursue for the long-term and if it needs to be green organization-wide, not just toward

A more tell tale sign is the quick ratio, or acid test, which has increased year after year. Debt to total assets has decreased over 5% since 2001, indicating less financing of current and long term debt and more company assets. Their cash debt coverage far surpasses the ideal 20%, indicating a high level of solvency with sufficient funds and assets to satisfy all debtors. Asset turnover has more or less maintained at right around 1.6, signifying a turnover rate of just less than 180 times per year.

We are going to assess profitability ratios for 2014 year, including gross profit margins, return on sales, return on total assets, return on stockholder’s equity, and earnings per share. Next we are going to discuss liquidity ratios – current ration, quick ratio. Our analysis will include leverage ratios such as debt-to-equity ratio, interest coverage. Also, we will cover activity ratios including inventory turnover, fixed asset turnover, total assets turnover and accounts receivable turnover. Lastly, we will assess the price/earning ratio, the book value per share ratio, and the cash flow per share ratio.

Growth through innovation: The Company understands that change is inevitable. In this regard, Nirvana Pro-Cleaning Services shall innovate with technology as time goes by, may it be a change in cleaning trends, facilities, and

The financial condition of an organization represents the strategy and structure. However, the use of ratios an individual can assess a company’s abilities to function and grow in an highly competitive market. The ratios and financial statement can be complex, however, financial performance of the organization can be acquired with the execution of performing these ratios from the balance sheets and statements. Most common groups to perform these anglicizes are profit ratios, liquidity ratios, activity ratios, leverage ratios, and shareholder-return ratios. With evaluating the organizations performance, these ratios are compared to the industry average over the history of the firm. When these calculation and ration reveal a deviation

Executive Summary In the face of consumer changes and current economic conditions, Clorox must make several key decisions regarding resource allocation and strategic focus across its product divisions. Specifically, there has been a strong focus since 2006 on product sustainability and green initiatives. As such, Clorox needs to determine if this is the right strategy to pursue for the long-term and if it needs to be green organization-wide, not just toward

In calculating the solvency of a business, a clear indication of its financial position can be determined. Solvency describes the ability of a business’s assets to cover its liabilities if they fall due. From certain figures in the balance sheet, the current ratio can be calculated. This ratio divides total current assets by total current liabilities. If a company is solvent, this ratio will be greater than 1; in this case it is 3.3, which indicates that the current assets can cover the current liabilities three times over and is therefore indicative of a financially stable company.

Also “in terms of interpretation, the long-term solvency ratio should be at least 1.0 but as a general rule, the higher the ratio the better the organization is doing” (Martin, 2001). The ratio for

In 1973, Ray Anderson founded Interface Inc., with the help of Carpets International Plc. (CI), when his former carpet employer decided to pass on the strategic opportunity involving flexible floorcoverings for modern offices and companies. In 1994, Mr. Anderson shifted the company’s strategy with the hope to redirect industrial practices to focus on sustainability while continuing to be a profitable business. This initiative was started with “Mission Zero.”

Both Companies have been successful in maintaining more assets than liabilities thus, Both has been successful in sustaining quick ratio above 1.0 ,Thus ensuring that Cash, Cash Equivalents and account receivables are more than liabilities at the end of financial year. John’s assets turnover is more than Smith Corp, which shows the management capabilities of effectively utilizing their assets to generate revenues.

The cleaning supplies industry has had a long and infamous reputation of producing either a toxic product that got the job done or a green product that didn’t do much. Method Products was the first in its industry to break the norm and create a product that works for us, and our planet at the same time. Their innovative cleaning products combine aesthetic designs, aromatic fragrances, and non-toxic ingredients in order to attract the consumers at large [Eng, Dinah]. Method Products has most definitely positively impacted the earth by leading by example in the cleaning supplies industry.

Each organization is uniquely different. For an OD professional this is both exciting and challenging when starting a new assignment at an organization that is seeking OD assistance and interventions. An organizations industry, size, location, culture, management structure, and decision making practices are all important aspects when collecting data, gaining insight into problems, and most importantly delivering resolutions. For the purposes of this paper, I will be describing the organization that I belong to, Tennant Company. I will also identify an existing problem being experienced, and assess the issue from an OD perspective.

In the following analysis, we choose profit margin ratio for to analyze profitability and debt to equity ratio to analyze financial structure.

Ratio analysis is one of the simplest and most frequently used techniques to determine the financial health of a company (McNeil et al. 2015). McNeil continues by noting two types of comparisons; Firstly a current ratio can be considered and compared to the ratio for the previous year, defining improvement or deterioration of financial situation and success of a company over that particular period of time. The second type of evaluation involves the comparison of ratios between similar companies or with the industry average. This report will endeavor to cover both forms of ratio analysis and discuss the liquidity, profitability, working capital, leverage and market value of ANZ Bank.

The debt and Equity ratios are valuable tools used to indicate asset protection and therefore the long-term stability of the company. Over the Hill Pty Ltd had a strong long-term position in 2000 due to the smaller amount of liabilities it had. As these liabilities have grown, the assets have fluctuated slightly but have not increased much in the three-year