QUESTIONS
1. On the eve of leaving her alma mater, Stacy Engineer remembers the encouraging
words of the commencement speaker: “Graduation is the happy beginning of an
exciting life ahead.” She is, of course, excited about her new master of engineering
degree that she received with honor. But she is also a bit concerned about what to
do now to make her new life exciting and flled with happiness. Apparently, what
she needs is a road map into the future. How can you help her?
2. The company has always been focused on the high-quality and high-price end of
the market. Now, market intelligence indicates that some competitors are planning
to enter the low-price and low-quality end of the market. What should the
company do?
3. Mission and value statements are indicative of the direction in which a company
is headed. What are typically included in the statements of mission and values of
well-known companies in the United States? Please comment.
4. What are included in the typical operational guidelines some industrial companies
have developed? Please comment.
5. There are always risks (risks of failure) associated with the experimentation of a
new manufacturing process or with entry into a new global market. How should
one decide to proceed or not to proceed with a risky venture? What is the proper
level of risk for a company to take?
6. The marketing director needs to submit a strategic plan for entering a new market.
She knows she needs long periods of uninterrupted time. She considers two
options: (1) staying at home to do the plan or (2) delegating some parts of the plan
to her subordinates. What are the factors the director needs to consider when she
chooses the best way to come up with this plan?
7. XYZ Company has been a one-product company focused on developing and
marketing a package of innovative enterprise resource planning (ERP) software
specialized for law frms and operated in computers running on a proprietary
operating system software developed by the company. Customers must purchase
both the hardware and software as a bundled package from XYZ Company.
48 Engineering Management
The company also provides around-the-clock services to ensure that the combined
hardware and software system performs reliably, as lawyers are known to be typically
disinterested in troubleshooting computer systems. This product-bundling
strategy works out well for the company, and the sales revenue of XYZ increases
dramatically during its frst three years in business.
However, market intelligence shows that new ERP software products are now
being introduced by competitors. These new ERP software products are quite
capable of performing all of the data processing functions typically required by
law frms. Furthermore, these new ERP software products can run on any computer
using its existing operating system, thus eliminating the need for customers
to purchase dedicated computers.
The president of XYZ Company recognizes the potential threat imposed by
these new ERP software products. He wants to know the best counterstrategy he
should plan and implement. Design and explain this counterstrategy.
8. Sandy Smith is about to graduate from the University at Buffalo with a master’s
degree in engineering and a GPA of about 3.8. She wants to fnd a good job that
allows her to best utilize her strengths and capabilities. Her short-term goal is
to become an operations manager in a manufacturing enterprise in 10 years.
Modeled after Example 2.4, how should she plan to achieve this specifc goal?