Wallace Group Case Study Essay

Decent Essays


Unit 1 IP- The Wallace Group
George DelMoral
AIU Online
MKT46 MGT485 Global Strategic Management
Matt Fok
March 25, 2006

A. What is the most important problem facing the Wallace Group?

There are numerous problems associated with the Wallace Group, but the most important seems to be inefficiency from the lack of utilizing strategic management.

a. The Wallace Group suffers from moving back and forth from an entrepreneurial mode to adaptive mode in its decision making. This can be clearly seen from the early days of Harold Wallace running all three businesses, reacting to existing problems as they arise, to the more recent events of settling unresolved disputes between Corporate …show more content…

The board will help set strategies, direction, vision, hire/fire top management, monitor and supervise top management, oversee the use of resources, and care for shareholders' interests (Wheelen & Hunger, 2006, pp. 36-37).

b. The second recommendation would be the implementation of a formal strategic management plan that consists of SWOT analysis, strategy formulation, implantation, and evaluation and control in conjunction with progressing to a planning mode. The planning consists of systematic information gathering, strategy generation and alternatives and has been proven to be more analytical, less political, and more suited for addressing complex, changing environments such as theirs (Wheelen & Hunger, 2006, p. 21).

c. I would also recommend to Mr. Wallace is the adoption of a more horizontally managed, interactive organization instead of the traditional vertical or top-down organization. This is more conducive to the organizational learning theory that can make the Wallace Group become a learning organization (Wheeen & Hunger, 2006, p. 9).

d. Lastly, I would recommend that Mr. Wallace consider the Chemicals group's position and how they fit into the corporation's overall future goals. Can Chemicals be made to be profitable outside the Wallace Group influence (sales)? The Wallace Group needs to ask, would it be more beneficial to keep Chemicals or not?

C. How do you educate a manager to manage an organization as it evolves over time from an

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