First Case Analysis: Massengill’s Department Store

632 words - 3 pages

First Case Analysis: Massengill’s Department Store
1. I believe that Marv Heimler’s approach to the way he turned the company around was through the individualism approach. He came into the company and turned it back into what it used to be but he didn’t care for what happened to his employees. He wanted to fire up to 1000 workers that had been loyal to his company and had worked hard for the position they were. He had done a good job and had gotten financial compensation of one million dollars and a two-year contract extension. In the book, it said that this approach leads to honesty and integrity because that is what works out best in the long run, and that’s exactly what Mr. Heimler did. He sent notices prior to firing the employees. This led to disgrace upon him and even articles were ...view middle of the document...

Basically, he enjoyed all the external benefit he received and he did everything he was supposed to do.
3. In my point of view, Heimer did what any other manager should have done in the situation he was in. He knew he had to cut employees, but he could have handled the situation with a little more care. He could have mentioned what kind of employees the company needed and whoever didn’t meet the requirements might have been laid off. He just sent letters out that he was going to cut employees which sparked outrage because the number he wanted to cut was about a fifth of his labor force. He could also look for other parts of his business that he could have cut. He could have used part of his financial compensation to help rebuild stores so he could have gotten more money in the long term and showed how much loyalty he had in the business, even though most CEO’s would not do this. But there have been cases where CEO’s have accepted getting paid a penny for the whole year of work when their company was rebuilding. If I was in the shoes of Marv Heimler, I would have cut employees just like him but not as harshly. I would have gave a time period for the employees to get their act together and help them understand what kind of company that Massengill was turning into. I would visit stores to actually talk to employees and check how progress was going. The one million dollar compensation I would have received, I would have kept a portion of basic needs and stuff like college fund for my kids, but would have spent some of it to help get the company back on it’s feet and to show employees how loyal I was to them. But in the end, I know that I would have to cut my labor force for the best interest of the company so I would have had to go through with the plan of cutting my labor force, but hopefully by this time, I wouldn’t have had to cut too much.

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