Robert L. Frank Construction Company It was Friday afternoon, a late November day in 2003, and Ron Katz, a purchasing agent for Robert L. Frank Construction, poured over the latest earned value measurement reports. The results kept pointing out the same fact; the Lewis project was seriously over budget. Man-hours expended to date were running 30 percent over the projection and, despite this fact, the project was not progressing sufficiently to satisfy the customer. Material deliveries had experienced several slippages, and the unofficial indication from the project scheduler was that, due to delivery delays on several of the project's key items, the completion date of the coal liquefaction pilot plant was no longer possible. Katz was completely baffled. Each day for the past few months as he reviewed the daily printout of project time charges, he would note that the purchasing and expediting departments were working on the Lewis project, even though it was not an unusually large project, dollarwise, for Frank. Two years earlier, Frank was working on a $300 million contract, a $100 million contract and a $50 million contract concurrently with the Frank Chicago purchasing department responsible for all the purchasing, inspection, and expediting on all three contracts. The Lewis project was the largest project in house and was valued at only $90 million. What made this project so different from previous contracts and caused such problems? There was little Katz felt that he could do to correct the situation. All that could be done was to understand what had occurred in.an effort to prevent a recurrence. He began to write his man-hour report for requested by the project manager the next day

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
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Explain in atleast 500 words by stating  the Problem and providing a Solution in this situation. asap

 

Robert L. Frank Construction Company
It was Friday afternoon, a late November day in 2003, and Ron Katz, a purchasing
agent for Robert L. Frank Construction, poured over the latest earned value
measurement reports. The results kept pointing out the same fact; the Lewis
project was seriously over budget. Man-hours expended to date were running 30
percent over the projection and, despite this fact, the project was not progressing
sufficiently to satisfy the customer. Material deliveries had experienced several
slippages, and the unofficial indication from the project scheduler was that, due to
delivery delays on several of the project's key items, the completion date of the
coal liquefaction pilot plant was no longer possible. Katz was completely baffled.
Each day for the past few months as he reviewed the daily printout of project time
charges, he would note that the purchasing and expediting departments were
working on the Lewis project, even though it was not an unusually large project,
dollarwise, for Frank. Two years earlier, Frank was working on a $300 million
contract, a $100 million contract and a $50 million contract concurrently with the
Frank Chicago purchasing department responsible for all the purchasing,
inspection, and expediting on all three contracts. The Lewis project was the largest
project in house and was valued at only $90 million. What made this project so
different from previous contracts and caused such problems? There was little Katz
felt that he could do to correct the situation. All that could be done was to
understand what had occurred in.an effort to prevent a recurrence. He began to
write his man-hour report for requested by the project manager the next day
Transcribed Image Text:Robert L. Frank Construction Company It was Friday afternoon, a late November day in 2003, and Ron Katz, a purchasing agent for Robert L. Frank Construction, poured over the latest earned value measurement reports. The results kept pointing out the same fact; the Lewis project was seriously over budget. Man-hours expended to date were running 30 percent over the projection and, despite this fact, the project was not progressing sufficiently to satisfy the customer. Material deliveries had experienced several slippages, and the unofficial indication from the project scheduler was that, due to delivery delays on several of the project's key items, the completion date of the coal liquefaction pilot plant was no longer possible. Katz was completely baffled. Each day for the past few months as he reviewed the daily printout of project time charges, he would note that the purchasing and expediting departments were working on the Lewis project, even though it was not an unusually large project, dollarwise, for Frank. Two years earlier, Frank was working on a $300 million contract, a $100 million contract and a $50 million contract concurrently with the Frank Chicago purchasing department responsible for all the purchasing, inspection, and expediting on all three contracts. The Lewis project was the largest project in house and was valued at only $90 million. What made this project so different from previous contracts and caused such problems? There was little Katz felt that he could do to correct the situation. All that could be done was to understand what had occurred in.an effort to prevent a recurrence. He began to write his man-hour report for requested by the project manager the next day
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