Accg 301 Hw

Case Study 4.2

1)

Strength

Experience in the field

Running fiscally responsible businesses based on performance metrics and tight cost control

Has used cost cutting procedures to over take competitors by increasing profits and annual sales.

Strong history

Cost advantage

Weakness

Majority of his focus is all internal focused and rather than external and seeing the market environment.

Too focused on cost cutting and internal processes, therefore not focusing on the external factors including growth and market leading products and technology.

Opportunities

Hurd should start taking more advantage of the new technology around him to help him make his processes more efficient.

To focus more on research and development so their products can come out faster in comparison to the competitors therefore giving them an opportunity to get a market advantage.

Threats

As he has outsourced he could potentially loose control of the quality and timing of the manufacturing.

HP may be left behind in the market place as they aren’t taking advantage of the technology.

Hurd has reduced the projects from 150 to 30 therefore HP become less innovative and less projects running simultaneously therefore less contingency options.

2)

No it is not a good idea to make research and development metric division because all it does is limit and constraint the possibility of new findings if no significant proof has been discovered. Research and development should be funded more freely because that is the future of the company. In order for HP to get more information about new technology and develop it they will need to allocate funding towards that. That will allow the company to increase their long term growth and help the company offer their customers a service and a product that would be either more superior or differentiated from their competitor. As more customers would want something that has more features, hence it will increase their annual sales and therefore provide...