Question
Christopher Awnings was founded by Christopher Aminim in the early days of the retirement boom in the Okanagan to build and install custom retractable awnings
Christopher Awnings was founded by Christopher Aminim in the early days of the retirement boom in the Okanagan to build and install custom retractable awnings for retirees to keep the sun out of the windows of their new houses and keep the house cooler during the hot summer months. In the winter the awnings could be retracted to let the sun in to provide radiant solar heat. He quickly grew the business to selling custom awnings for vineyards, fruit farms and cafes with outdoor summer patios. He hired his cousin, Mahmed, to manage sales and the final installation step at the customer's site, while he continued to oversee the design and manufacturing and general operations of the business. Five years ago he entered the rental business designing, building and renting free standing awnings for outdoor events. He hired his eldest daughter, Zara, to setup and manage the rental function. Christopher has 5 standard designs that can be customized for customers. This is 80% of the awning sales business. The customization includes size and fabric. There are three different retraction systems used depending on the size and weight of the awning. The design and manufacturing team are one function and consist of 8 people. 3 of the 8 people are skilled to do the design customizations and they also manufacture the awnings along with 2 other people. 3 of the 7 people assemble the awning with the retraction system. These three people can also oversee an installation when it is more complex. Mahmed oversees 3 installation technicians and manages the simple installations. Mahmed does all the sales himself. He also manages a financial clerk, Sara, who helps him create and manage the paper estimates. Sara also processes the paper invoices and credit card payments and does general office administration. The rest of the bookkeeping, payroll and financial reporting is outsourced to a local accounting firm who use a cloud-based software package. Zara manages the rental function. She interacts with the clients to choose the best awning configurations based on what they have available. She maintains inventory and rental requirements on a spreadsheet. She outsources the marketing to a local company and works with a virtual assistant to manage the social media. Christopher creates the designs for the 20% of the non-standard awning sales and then passes the design to the manufacturing team to build. He regularly meets with the manufacturing and installation teams to discuss if there should be any design modifications to improve the manufacturing process, durability of the awnings and ease of installation. Every three months Christopher and Zara meet to go over rental requirements, asset conditions, asset availability and decide what new awnings should be constructed. Christopher and Mahmed meet each morning to decide what gets worked on that day and assign the design customization, manufacturing, and installation tasks to the appropriate people. All the manufacturing staff can help out with an installation if it is complex or installations are backlogged. As the summers get hotter more people are renting free standing awnings for backyard parties. The event rental business is also growing and Zara is getting worn out keeping up with this growth. Mahmed is ready to retire any time and has mentioned this to Christopher. Mahmed is no longer putting in quite the same level of energy in sales. A couple of competitors in Ontario have been ramping up their online advertising and shipping do-it-yourself awning kits. These awnings from Ontario are not as durable and installing them is not easy. However, some customers get tired of waiting for Mahmed to get back to them and order online and hire a local handyman to do the installation. Christopher would like to retire in five years and hand the business over to Zara. He would like to just be involved in custom design work part time. Christopher's accountant has told him that although there is strong potential for growth, his company operations are very dependent on him and his cousin and this is a risk for handover to Zara. Obviously Zara cannot take over both their roles. Zara is very tech-savvy. She would like to automate more of the transactional functions and install a customer relations management and marketing system that embodies all Mahmed's sales process wisdom and also automates the social media and rental customer relations How should Christopher and Zara restructure the company this summer and over the next 2 years to Decrease the daily operations dependency on Christopher and Mahmed Train up Zara in the overall management of the company Increase the sales and rental capability Improve the efficiency of business operations and remove reliance on paper Provide more value to customers Continue to provide job satisfaction to long time staff and also attract new employees Maintain financial viability and stability
How should the organization structure look like after reading the case above. Explain
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Based on the case provided here is a proposed restructuring plan for Christopher Awnings to address the identified goals and challenges Organizational Restructuring Plan 1 Leadership and Management Tr...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started