Task: Writing of MEMO Scenario: The CEO of company ABC is planning to restructure the whole organization over the next few months (to be implemented effective 20 July 2022), due to a continuous drop in profitability. ABC is a technology company and manufacture and sell all kinds of electronic equipment. The CEO did some research and the data revealed that the competitors are growing their profits by 10% on a monthly basis - Company ABC are experiencing a drop in profits of 5% on a organization over the next few months (to be implemented effective 20 July 2022), due to a continuous drop in profitability. ABC is a technology company and manufacture and sell all kinds of electronic equipment. The CEO did some research and the data revealed that the competitors are growing their profits by 10% on a monthly basis - Company ABC are experiencing a drop in profits of 5% on a monthly basis. Company ABC wanted to launch 3 new products for Ramadan but now the company cannot afford this expense and is in fear to lose more customers. If the company continue at the rate, then company ABC will be bankrupt in 3 months. It is important for ABC company not to lose any customers to the competitors as future growth will depend on growing customer loyalty. Through the restructuring the CEO wants to generate monthly cost savings of 20%, which can compensate for the drop-in profits in the short term. The planned restructuring includes to merge the sales and marketing departments. In addition, the changes will include to merge the procurement and finance departments. The restructuring will unfortunately cause certain position to be redundant and also cause a possible drop in salaries. As the cost savings are seen as a temporary solution the company may consider allowing some managers to take leave without pay. Once the profitability is picking up again then ABC will reinstate these affected managers. Managers or staff who wants to resign due to the restructuring will be paid their fill severance pay. Staff can submit any queries regarding the planned change to the HR department for attention Mrs. Joyce. The GM, Mr. Andrew, will be in charge of the planned restructuring and the changes will start by 20 April 2022 - In preparation for the changes the staff will participate in 3 workshops dated 18 March,29 March, and 5 April in the training room. The objective is to get feedback from the staff and suggestions how the change can be implemented with the least disruption to the daily operations. All staff is expected to participate in the workshops to promote positive staff engagement. The CEO wants to ensure that the staff will be positive during this change and maintain their productivity. The new changes can help the company to generate savings to offset the losses in profits and the additional funds can be applied to launch the 3 new products, which will generate additional sales and profits. The new products will attract current and new customers as the proposed 3 new products are not yet available at the competitors. Required: Write a memo on behalf of the GM of Company ABC, to all the staff considering above scenario.
Task: Writing of MEMO
Scenario:
The CEO of company ABC is planning to restructure the whole organization over the next few months (to be implemented effective 20 July 2022), due to a continuous drop in profitability. ABC is a technology company and manufacture and sell all kinds of electronic equipment.
The CEO did some research and the data revealed that the competitors are growing their profits by 10% on a monthly basis - Company ABC are experiencing a drop in profits of 5% on a organization over the next few months (to be implemented effective 20 July 2022), due to a continuous drop in profitability. ABC is a technology company and manufacture and sell all kinds of electronic equipment.
The CEO did some research and the data revealed that the competitors are growing their profits by 10% on a monthly basis - Company ABC are experiencing a drop in profits of 5% on a monthly basis. Company ABC wanted to launch 3 new products for Ramadan but now the company cannot afford this expense and is in fear to lose more customers. If the company continue at the rate, then company ABC will be bankrupt in 3 months.
It is important for ABC company not to lose any customers to the competitors as future growth will depend on growing customer loyalty. Through the restructuring the CEO wants to generate monthly cost savings of 20%, which can compensate for the drop-in profits in the short term.
The planned restructuring includes to merge the sales and marketing departments. In addition, the changes will include to merge the procurement and finance departments. The restructuring will unfortunately cause certain position to be redundant and also cause a possible drop in salaries. As the cost savings are seen as a temporary solution the company may consider allowing some managers to take leave without pay. Once the profitability is picking up again then ABC will reinstate these affected managers. Managers or staff who wants to resign due to the restructuring will be paid their fill severance pay. Staff can submit any queries regarding the planned change to the HR department for attention Mrs. Joyce.
The GM, Mr. Andrew, will be in charge of the planned restructuring and the changes will start by 20 April 2022 - In preparation for the changes the staff will participate in 3 workshops dated 18 March,29 March, and 5 April in the training room. The objective is to get feedback from the staff and suggestions how the change can be implemented with the least disruption to the daily operations. All staff is expected to participate in the workshops to promote positive staff engagement. The CEO wants to ensure that the staff will be positive during this change and maintain their productivity.
The new changes can help the company to generate savings to offset the losses in profits and the additional funds can be applied to launch the 3 new products, which will generate additional sales and profits. The new products will attract current and new customers as the proposed 3 new products are not yet available at the competitors.
Required:
Write a memo on behalf of the GM of Company ABC, to all the staff considering above scenario.
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