Brightware Corporation Arnold Frost President

¶ … Brightware Corporation

Arnold Frost

President

Brightware Corporation

1111 Systems Lane

Bainbridge, WA

Dear Mr. Frost:

Brightware can be proud of its reputation as a leading provider of top quality stainless steel kitchenware. To preserve our reputation we will need to make some key changes in our corporate culture and operations. Sales have declined remarkably over the past year. So has employee morale. Overall productivity has dropped a shocking 20% and if we do not take action soon Brightware will face the biggest crisis of its ten-year existence. This report proposes solutions to the key problems Brightware faces.

As you know, our Tulsa plant closed five years ago, resulting in over 2000 layoffs. Since then, employee turnover rates at all our plants and distribution facilities have skyrocketed. I believe this is largely due to job insecurity and the low morale that derives from feeling under-appreciated at Brightware. A lack of strong benefits and incentives programs may be contributing to not only low morale but also to absenteeism and decreased productivity. Based on marketing research I have performed over the last six months, I have found that the main reason for declining sales is our poor reputation for human resources management. Building our reputation as a firm that cares about its employees will undoubtedly bolster our image as a corporation.

Proposal

Based on my eight-year tenure as Vice President of sales and marketing, I recommend the following:

1. PROFIT SHARING: Brightware should incorporate direct incentives into their employee compensation plans. Employees who have a direct stake in the well-being of the firm will take pride in their work, raising their own morale and the morale of their coworkers. I believe that a profit sharing plan will also have the added

2. EMPOWERMENT: Brightware must empower employees through regular opportunities for promotion and skills upgrades and by increasing the responsibilities of plant workers.

3. PUBLIC RELATIONS: Once Brightware revises its human resources goals, the firm should make a point to publicize its new corporate culture.

Schedule

Suggested changes can be implemented according to the following schedule:

1. PROFIT SHARING: Consult with CFO and prepare feasibility report within two months.

2. EMPOWERMENT: Immediate restructuring of the corporate culture should take place, with an initial managerial meeting held next week.

3. PUBLIC RELATIONS: I predict that within four months we shall be prepared to release a press report boasting of the changes being made. Within the next year the results of the changes should be evident in an increase in sales.