Tough-Built Corporation Produces Specialized Truck Body Components, Specializing in Hydraulic

question 17

Essay

Tough-Built Corporation produces specialized truck body components, specializing in hydraulic lifts for dump trucks. Founded 35 years ago by George Halloway, the firm now employs 150 workers and has annual sales of over $10 million. George operates the firm in a highly centralized way, and retains control over all changes in operations. He is a regular visitor to the production area, which helps him "keep his finger on the pulse of the firm."

Although George Halloway is now 67 years old, he has no apparent management successor, and has always hand-picked his department heads and staff personnel. He has been generous to those who worked for him, paying substantial bonuses each year to the employees based on his personal evaluation of each worker. Just six weeks ago, a heart attack convinced George to consider retirement, and he decided to sell the firm to his employees. You are assigned the task of recommending a set of strategic performance measures for the firm, assuming that the new worker management wants to operate as a decentralized firm.
Required:
What major management problems do you foresee in the transition from sole owner to employee ownership?

---

Definitions:

Premature Death

The occurrence of death before the average age of natural death in a specific population, often resulting from preventable diseases, accidents, or conditions.

Aboriginal Medicine Wheel

A holistic healing tool embodying the knowledge, traditions, and practices of Indigenous peoples, symbolizing the interconnection of all aspects of life.

Holistic View

An approach that considers the whole person, including their physical, mental, social, and spiritual aspects, rather than focusing on individual parts.

Physical, Emotional, Intellectual

Attributes or dimensions of wellbeing that include bodily health, emotional resilience and regulation, and cognitive abilities and knowledge.