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CASE STUDY Growth development is a private development company located in Kitwe that has existed for seven years. It is owned by five of its

CASE STUDY Growth development is a private development company located in Kitwe that has existed for seven years. It is owned by five of its directors together with a major shareholding by a bank in South Africa. It had started operations in constructing light industries, then transferred into office development and latterly became interested in residential developments. You have recently been employed as the General Manager of the firm. In your first few weeks of your employment you realise that firm has been operating without a mission statement and a well-defined organisation structure. You are required draw the vision, mission, goals and objectives of this firm. You should also include an explanation of what a mission statement encompasses (what a mission statement is; the core components and the additional component of the mission statement). Explain the reasons why an organisation such as Growth Development should create a structure for their organisation. Design the organisation structure including the functions, roles and skills to the General Manager. One of your new clients, Mr. Smith has purchased a piece of land and decides to build 100 units houses on it. They consult an architect and have blueprints created. You are a general contractor and agree to build the houses for them. You estimate it will take 12 weeks to complete one house. However, you need contingency time to accommodate the uncertain weather conditions, so you tell the Smiths you need 14 weeks. The Smiths are really anxious to move one of their clients into their new house. So, although they agree for 14 weeks, they want to put in a late

completion penalty in the agreement. You agree, provided they also put in a bonus for early completion. You all sign the contract. You estimate the project duration and effort as follows:

Task

Duration (days)

Effort (staff days)

Comments

Get a building permit.

5

1

Clear the site.

5

20

Dig the foundation and footings.

3

9

Install forms.

3

9

Pour concrete.

1

5

Wait for the concrete to harden.

5

0

This is referred to as lag time.

Remove forms.

1

3

Build the floor.

1

5

Frame the first floor.

2

10

Build the second floor.

2

10

Frame the second floor.

3

15

Sheath the house.

3

12

Install windows and doors.

4

8

Install siding.

2

6

Put up roof framing.

2

8

Can start as soon as the second floor is framed

Shingle the roof.

1

4

Install plumbing.

4

8

Can start as soon as the roof is shingled

Inspect the plumbing.

1

0

Install wiring.

6

12

Can start as soon as the roof is shingled

Inspect the wiring.

1

0

Hang and finish sheetrock.

4

12

Can start only after the plumbing and electrical work are inspected

Paint the interior.

3

9

Lay the carpet.

2

6

Install the hardwood flooring.

3

6

Install trim.

3

6

Procure the certificate of occupancy.

5

0

Total

75

184

he rates for the various trades (in $/hour) are as follows:

Code

Description

Rate

Comments

GC

General contractor

40.00

HE

Heavy-equipment operator

50.00

Includes equipment

CW

General worker

30.00

F

Framer

20.00

F

Siding installer

20.00

W

Window/door installer

30.00

R

Roofer

20.00

P

Painter

20.00

E

Electrician

35.00

FL

Flooring installer

20.00

T

Trim carpenter

35.00

PL

Plumber

35.00

This project needs planning. But then you discover that this company has been poorly managed in the past mainly as a result of very poor planning done by your predecessor. Explain how you will go about ensuring that proper plans are in place for this company in future. In your explanation, include the essence of planning and discuss the importance of strategic, tactical and operational plans by highlighting any similarities and differences between them. Under which type of planning will this contract fall? Using a Gantt chart as your planning tool, draw the Gantt chart indicating the early and late completion dates as well the duration of completing one house. Additionally, based on the case study above, discuss the following as may be perceived in your organization: (i) To build the new houses for the Smiths, many jobs were provides to unskilled workers to create an income for them. Critically asses the relevance of at least five approaches to management when managing a work force comprising mostly workers with little or no experience in the building industry (general worker), working with highly skilled specialist (such as engineers and project managers). (ii) Based on the information in (ii) above, what leadership styles will be appropriate in managing unskilled worker and specialists (such as engineers and project managers)? (iii) Describe Porters model of generic competitive strategies. Which strategy would you adopt for your firm and why? (iv) In the course of your operations, your organisation is likely to face problems. How can your management team systematically go about identifying and solving problems? (v) Explain the sustainability issues (in terms of employee, society and the environment) issues that your company needs to take into consideration considerations. Give examples of corporate social responsibility practices you intend to engage in and why.

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