Managerial Communications Presentation

Solution Preview

Please see the attached documents for solutions. The attached documents are not intended as an assignment completion.

MEMORANDUM
From: Mary Miller, CFO
To: Jeff Smith, CEO, Board of Directors
Date: June 23, 2013
Subject: Performance Analysis Comparison, 2011 & 2012
After completing a performance analysis for the years 2011 and 2012, I would like to share the results of key financial and customer data. I will begin by stating that overall, the organization appears to be in good shape financially. I believe we can keep moving in the desired direction by focusing on a few areas of the market, refining our target market segments, and improving overall customer satisfaction. Another area that requires immediate attention is the high rate of employee turnover. If we can turn this trend around, I feel strongly we will improve customer service and increase customer loyalty. As you know, our products are made with the finest materials and are of the highest quality of any hardware manufacturer in the region, if not in the industry.
The graph below indicates the level of employee turnover, in relation to the average number of employees for both comparison years.

As you can see, though we reduced the workforce slightly in 2012, due to the investment of new manufacturing equipment, the problem of employee retention remains. The number is as high for 2012 as in 2011, with fewer employees. This means the turnover is increasing slightly. We need to develop a plan to turn this around, either through job training, incentive and bonus programs, or some combination of the above. Perhaps we should consult with Pamela Jones, or Human Resource Manager, to see what recommendations she would make.
Moving on to sales, we are seeing some increase, but we must continue to focus on reaching the target customers. Our marketing department might benefit from market research, in order to refine our target segments and understand who are best potential customers are. As indicated by the sales figures, which are divided into standard and decorative categories, and by commercial or residential, our strongest product area is in commercial sales of traditional hardware. We should continue to differentiate our products ...