Wallace Group, Inc. Case

2699 Words Mar 14th, 2011 11 Pages
STRATEGIC MANAGEMENT
(Case Study-The Wallace Group, Inc.)

ronald s. leabres

JANICE FAYE S. ANG
Professor

Masters in Business Administration
College of Business Administration and Accountancy
Central Luzon State University
Science City of Muñoz

February 23, 2011
CASE ABSTRACT

The Wallace Group is devised of three operational groups which include Electronics, Plastics and Chemicals. Harold Wallace was the original owner of the electronics company, but now has 45% of the group after acquiring the plastics company and then the chemical company. He also serves as the Chairman and President of the Wallace Group, but each group is run by a Vice President. Recently, Hal Wallace hired Rampar Associates to put together an effective sales
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As per the issues stated above I would recommend that Mr. Wallace begin to use strategic management. "Strategic management is that set of managerial decisions and actions that determines the long-run performance of a corporation." The main problem of The Wallace Group is that there is no focus. Hal was a successful entrepreneur, but lost his focus and handle on the company when it expanded. Some benefits of strategic management are developing a "strategic vision", focusing on what is "strategically important" and gaining a better understanding "...of a rapidly changing environment."

Developing a strategic vision would enable Mr. Wallace to express "...the purpose or reason..." the company was built. A mission statement outlines what the company offers, what their purpose is and how it differs from others in its market. He could further develop a vision statement to define what the company hopes to achieve both as a whole and in its individual groups. Creating a mission statement will not only bring focus to Hal's position, but it will guide the groups towards a unified existence.

Next, Hal must focus on what is strategically important. In this instance, finding qualified EE's and teaching the technical people about managing. In order to find quality EE's, he must perform an environmental scan. An environmental scan monitors internal and external factors so that key people can be updated with current