Legal and Ethical Responsibilities Essay

This memo is in response to the company’s decrease in sales and earnings because of the current state from the economy. The company will be carrying out more cost-effective actions because of this present situation. These kinds of new types of procedures will begin instantly with acceptance from the organization owners. The first change will be a decrease in the budgetary incentives for the revenue department.

To hit your objectives in implementing this alter a complete knowledge of the revenue process can be mandatory. Customer and sales agents feedback will be instrumental in gathering the information necessary to make a concise and informed decision for the best way to lessen the offers for every get together involved. The critical first step to the decision-making process is definitely determining the important points of the situation at hand (Hartman & DesJardins, 2011, l. 47).

The facts are which the company can be losing profits because of the overall economy. Additionally regarded is the company profits are on the finished product that meets the necessity of the consumer. A written survey will uncover what the certain needs and wants of the consumer toward a particular product are. As soon as the feedback is analyzed, the items most popular by the client will continue with development, whereas these products in much less demand will start interruption until the sales or the demand through the consumer are in need.

This step will aid in cutting costs for goods with unneeded production. For instance, there was a tremendous increase in revenue the first few years, opposed to last year’s revenue that lowered substantially for the products not really in demand. Simply by investigating and discovering products in demand will certainly aid in portrait a clearer picture, thus assisting in cutting creation cost that will get the organization back in range with raising sales and profits. Additionally , investigating and discovering can keep the plan of reducing economic incentives pertaining to the sales force until profits are on the rise again.

However , the plan is usually to once again commence issuing budgetary incentives towards the sales force after the company starts again checking in with your increase in profits. For this intend to be successful it can be necessary to inspire the salesforce with tools to set possible goals relating to increasing organization sales and profits. This kind of also has an immediate impact on the sales force pertaining to the company’s organization and management.

Upper management plus the owners with the company has to be on the same agreement concerning aiding the sales department in reaching their very own goals by giving motivation and support to the sales section. A strong support system is imperative if the sales team along with the firm is to reach their main objectives. This course of action will also incorporate evaluations around the progress of the sales office pertaining to getting their goals. The second and final change will be applying a month-long layoff for some of the production employees. Laying-off production employees for a month will slice production costs of producing products unnecessary to get the economy.

While keeping in mind this layoff will likely have an unfavorable result upon producing products in demand. Rather than laying away production employees, the more budget-friendly way will be to keep them at the job to help satisfy the current demand for products. The employees still working with the organization should receive more overtime, and this is usually not cost-effective because the result is raising payroll for employees. Although getting rid of monetary incentives for the sales office and laying-off a portion of the production division is legal, it does absolutely nothing for comfort. Ethically you will have some repercussions to implementing these changes.

Some of the consequences may include employees leaving the business and a decline in sales means possible individual bankruptcy. Implementing a far more amicable plan will have a much more positive effect that will promote a higher morale and happiness. With a larger morale, this will more likely promote a boost in productivity.