Problema Statement Paper

Problem Statement Paper

Karl Rauscher

Management / MGT 521

Diane Hunt-Wagner

March 2, 2009

Problem Statement Paper

The problem I will study for Kudler Foods is the following: Kathy Kudler owns three gourmet grocery stores called Kudler Fine Foods. The stores specialize in fine meats, produce cheese and wine. Kathy takes too much responsibility in the overall operations of the three stores and does not delegate enough authority to her hired managers. There is one manager hired for each store and they need to be given more authority to make more decisions which will help lighten Kathy’s workload. As long as Kathy sets clear expectations, these managers should easily be able to get the job done.

I know this is a problem because Kathy works seven days a week and spends most of her time handling the purchasing for all the stores. She visits the three stores on a daily basis, which is good. However, even though purchasing produce is a very important part of operations, there are many other details areas that need her attention like accounting, marketing and finance. Spending time with her customers is no longer a high priority which has to change. One of the reason’s Kudler Foods has been so successful is due to the fact that in the past, customers have had access to Kathy’s expertise when it comes to quality foods. Being able to talk directly to the owner means a lot to most customers. It shows the customer that the owner really cares and that she is willing to take the time to teach them more about fine gourmet foods. Also, it is something that Kathy really enjoys doing. She has developed relationships with many of Kudler’s customers which promote a solid trust between the owner and customer.

This problem will be addressed by training each manager in the three stores on how to purchase quality produce in bulk. They need to understand how this process works, what to look for, where and how often to buy the produce. This training is...