Deborah enters your office, and you notice that she looks apprehensive. “Hi, Deborah. What’s up?” you ask, hoping that nothing is wrong.

“Well, your team is doing an excellent job researching, and you’ve been keeping me up-to-date on your findings. My concern is that we are approaching this from a narrow-minded approach.”

“How so?” You ask. You are puzzled. “Our team has been looking at every aspect of the company and considering both internal and external pros and cons.”

“Have you considered partnerships or an acquisition or other options for expanding our brand?” Deborah asks. “I didn’t see that as an option in any of your reports. I think you really need to cover our bases here. Please report back to me next week with more options.”

You decide that Deborah has brought up another good point that should have been discussed in the beginning of the project. You make a note to add this to a list of project management ideas to help make future projects go smoother.

Complete the following:

• What other strategies would be a good fit for your company profile?
• Provide a brief overview of these strategies.
• Why is it important to have more than one strategy in mind when pursuing global expansion?

The success of an organization depends heavily on its structure, strategies, and culture. In this assignment, you will develop an understanding of the importance of these elements in the success/failure of an enterprise.

This assignment is the first of the two LASA assignments you will complete in this course.

Using the University online library resources and the Internet, research methods of conducting internal and external environment analyses. Select at least three (3) scholarly sources to support the information in your report.

Description of LASA:

In this assignment, you will assess an organization’s current position in the internal and external environment.

Scenario:

You have been hired as a consultant to evaluate the performance of a manufacturing or service organization. As part of your function, you need to assess the organization’s current position with regard to their business operations, strategy, and organizational structure, as well as identify potential ethical issues management may face. The executive management team has asked you to submit a report of your findings.

Instructions:

Choose a publicly traded manufacturing or service organization to be the subject of your work for LASA 1 and LASA 2. (You should choose a different organization than you have used for previous assignments.) Select an organization about which there is an abundance of information made readily available to the public (via the corporate website, industry publications, business journals, etc.).

In preparation for your report, conduct your review of the organization using the following approach:

• Evaluate the company’s business strategy and global competitiveness plan.
• Conduct an internal assessment using SWOT analysis.
• Assess the external environment via an external scenario evaluation.
• Sketch the company’s organizational structure.
• Using the tools of business process design, define the organization’s business process.
• Identify any potential ethical issues that may impact the traditional management functions of the company and recommend preventative measures.

Utilize at least three sources in your research. Your document should be written in a clear, concise, and organized manner; demonstrate ethical scholarship in accurate representation and attribution of sources; and display accurate spelling, grammar, and punctuation.

Write an 8–10-page report in Word format. Apply APA standards to citation of sources. Use the following file naming convention: LastnameFirstInitial_M3_A2.doc.

Assignment Components	Proficient	Max Points
Evaluate the company’s business strategy and global competitiveness plan.	Evaluation of the business strategy and global competitiveness plan is logical and reflects research of the company.	32
Conduct an internal assessment using SWOT analysis.	SWOT analysis provides an accurate account of the organization’s strengths, weaknesses, opportunities, and threats. All elements of the SWOT analysis are complete.	32
Assess the external environment via an external scenario evaluation.	External scenario evaluation is complete. Response reflects understanding of the organization and its place within the external environment.	28
Diagram the company’s organizational structure.	Organizational structure diagram is complete and accurate.	28
Using the tools of business process design, define the organization’s business process.	The organization’s business process is accurately defined. Response reflects an accurate understanding of business processes.	36
Academic Writing
Write in a clear, concise, and organized manner; demonstrate ethical scholarship in appropriate and accurate representation and attribution of sources (i.e., APA); and display accurate spelling, grammar, and punctuation. Use of scholarly sources aligns with specified assignment requirements.	Wrote in a clear, concise, and organized manner; demonstrated ethical scholarship in appropriate and accurate representation and attribution of sources; and displayed accurate spelling, grammar, and punctuation. Use of scholarly sources aligns with specified assignment requirements.	44
Total		200

Forecasting/Scheduling
Successfully introducing a new business product or service requires significant planning. Forecasting allows the company to estimate the extent of the changes in operations by looking at levels, trends, and seasonality of the demand for the product or service.
A scheduling tool such as a Gantt chart, program (or project) evaluation and review technique (PERT) chart, or work breakdown structure (WBS) provides a way to identify and organize required activities into a logical order.
In this assignment, you will select a project-scheduling tool and use it to develop the business flow for the rollout of a new product or service. For example, a call center is considered a service operation. The new service rollout could be the expansion of the call center to a second location or establishing the call center overseas. In a manufacturing environment, such as a mattress manufacturer, the rollout of a new product could be the expansion of the product line to include futons. In the automotive industry, the rollout could be the expansion of the product line to include hybrid vehicles.
Using the module readings, the Argosy University online library resources, and the Internet, identify and select a company you will use for this assignment. This company must be different from the one chosen for M2: Assignment 2. Then, complete the following:
• Describe the business operation you are considering for the forecast and scheduling of your expansion.
• What type of forecasting method would be appropriate for the company and the product or service selected? Why?
• Choose one of the following project scheduling tools: Gantt chart, PERT chart, or work breakdown structure (WBS).
• Use the chosen scheduling tool to document the scheduling process for the rollout of a new product or service.
• Provide a rationale for the selection of the scheduling tool.
Submit a 2–3-page paper in Word format and attach a Gantt chart, a PERT chart, or a WBS developed in MS Project. For the development of the Gantt or PERT chart, you can also download a trial version of visual or graphic design software such as SmartDraw. Include a minimum of three scholarly articles to complete your research. Your writing should be clear, concise, and organized. Demonstrate ethical scholarship in accurate representation and attribution of resources. Display accurate spelling, grammar, punctuation, and APA formatting for citing of sources.
Use the following file naming convention: LastnameFirstInitial_M3_A2.doc.
By Wednesday, January 27, 2016, deliver your assignment to the M3: Assignment 2 Dropbox.

ASSIGNMENT INFORMATION

Due Date

Monday, January 25, 2016

9:00 AM

Points Possible

100



Students, please view the “Submit a Clickable Rubric Assignment” in the Student Center.

Instructors, training on how to grade is within the Instructor Center.

 

Assignment 1: “What Makes ______ the Best Place to Work and Why?”

Due Week 3 and worth 100 points

 

Choose one (1) company that you believe would be an ideal company to work for based on working conditions, salary, opportunity for advancement and work involved. Use the Internet to research.

 

Write a four to six (4-6) page paper in which you:

 

Evaluate the fundamental driving forces that shape the organizational environment of the selected company. Be sure to address the following: competing in a global marketplace, workforce diversity, ethics and morality, and technological innovation.

Examine the selected company’s specific practices or policies. Speculate on the major influences that these practices or policies have on individual and organizational outcomes.

Determine which practices related to work attitudes in U.S. organizations are most strongly affected by diversity and suggest a strategy to address the effects.

Use at least three (3) quality references. Note: Wikipedia and other Websites do not quality as academic resources.

Your assignment must follow these formatting requirements:

 

Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA. Check with your professor for any additional instructions.

Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

The specific course learning outcomes associated with this assignment are:

 

Evaluate human behavior in organizations and the forces shaping the behavior.

Analyze individual differences within organizations and their impact on organizational behavior.

Use technology to research issues affecting organizational behavior in order to deliver assignments which are clear, concise and have proper writing mechanics.

Write clearly and concisely about operations management using proper writing mechanics.

Click here to view the grading rubric for this assignment. I would like for it to be about the Department of Defense.

Use Times New Roman (Font 12) and two paragraphs for each of the 5 questions (two pages of content). Additionally, I want you to state each topic question followed by your response.

 

responses are to be in your own words with no copying except for minimal quotes that must be properly cited.

 

want you to share your own thoughts in your own words in completing this assignment – a bibliography is not required

 

1) Describe the challenges faced by US Customs and Border Protection agents attempting to secure the border. Be sure to include:

 

What is the functional equivalent of the border?

What is the Fourth amendment exception as it pertains to border searches?

How are seizure statistics used to justify the mission of border security?

 

 

2) Explain “open markets and closed borders” as it pertains to smuggling, free trade, and border enforcement.

 

 

 

3) What are the challenges of facilitating legal border crossings while maintaining secure borders?

 

 

4) What has been the economic impact of terrorism on U.S. and Global Markets since 9/11?

 

 

 

5) Describe the impact of the General Agreement on Tariffs and Trade (GATT) and North American Free Trade Agreement (NAFTA) agreements on cross border trade in North America.

Assignment : Demand Estimation
Worth 200 points

Imagine that you work for the maker of a leading brand of low-calorie, frozen microwavable food that estimates the following demand equation for its product using data from 26 supermarkets around the country for the month of April.

IF YOU NEED: For a refresher on independent and dependent variables, please go to Sophia’s Website and review the Independent and Dependent Variables tutorial, located at http://www.sophia.org/tutorials/independent-and-dependent-variables–3.

Option 1
Note: The following is a regression equation. Standard errors are in parentheses for the demand for widgets.
QD = – 5200 – 42P + 20PX + 5.2I + 0.20A + 0.25M
(2.002) (17.5) (6.2) (2.5) (0.09) (0.21)
R2 = 0.55 n = 26 F = 4.88

Your supervisor has asked you to compute the elasticities for each independent variable. Assume the following values for the independent variables:

Q = Quantity demanded of 3-pack units
P (in cents) = Price of the product = 500 cents per 3-pack unit
PX (in cents) = Price of leading competitor’s product = 600 cents per 3-pack unit
I (in dollars) = Per capita income of the standard metropolitan statistical area
(SMSA) in which the supermarkets are located = $5,500
A (in dollars) = Monthly advertising expenditures = $10,000
M = Number of microwave ovens sold in the SMSA in which the
supermarkets are located = 5,000

Option 2
Note: The following is a regression equation. Standard errors are in parentheses for the demand for widgets.

QD = -2,000 – 100P + 15A + 25PX + 10I
(5,234) (2.29) (525) (1.75) (1.5)
R2 = 0.85 n = 120 F = 35.25

Your supervisor has asked you to compute the elasticities for each independent variable. Assume the following values for the independent variables:

Q = Quantity demanded of 3-pack units
P (in cents) = Price of the product = 200 cents per 3-pack unit
PX (in cents) = Price of leading competitor’s product = 300 cents per 3-pack unit
I (in dollars) = Per capita income of the standard metropolitan statistical area
(SMSA) in which the supermarkets are located = $5,000
A (in dollars) = Monthly advertising expenditures = $640
Write a four to six (4-6) page paper in which you:
1. Compute the elasticities for each independent variable. Note: Write down all of your calculations.
2. Determine the implications for each of the computed elasticities for the business in terms of short-term and long-term pricing strategies. Provide a rationale in which you cite your results.
3. Recommend whether you believe that this firm should or should not cut its price to increase its market share. Provide support for your recommendation.
4. Assume that all the factors affecting demand in this model remain the same, but that the price has changed. Further assume that the price changes are 100, 200, 300, 400, 500, 600 cents.
a. Plot the demand curve for the firm.
b. Plot the corresponding supply curve on the same graph using the following MC / supply function Q = -7909.89 + 79.1P with the same prices.
c. Determine the equilibrium price and quantity.
d. Outline the significant factors that could cause changes in supply and demand for the low-calorie, frozen microwavable food. Determine the primary manner in which both the short-term and the long-term changes in market conditions could impact the demand for, and the supply, of the product.
5. Indicate the crucial factors that could cause rightward shifts and leftward shifts of the demand and supply curves for the low-calorie, frozen microwavable food.
6. Use at least three (3) quality academic resources in this assignment. Note: Wikipedia does not qualify as an academic resource.
Your assignment must follow these formatting requirements:
• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
• Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
No Plagiarizing, I submit thru turntin,, SOO it says Everything!!! Please Original WORK!!!!! No Pass Assignments that was given already,,, ORIGINAL WORK!!!!!! IT SHOWS IF IT’S BEEN USED!!!!
If you know you can’t do the assignment, please don’t ask!!!

 

The paper MUST be typed in Microsoft word using Times New Roman font (12), double spaced, with the preset margins.

Isle Royale, an island in Lake Superior, has provided an important study site of wolves and their prey. Of…

1. Isle Royale, an island in Lake Superior, has provided an important study site of wolves and their prey. Of special interest is the study of the number of moose killed by wolves. In the period from 1958 to 1974, there were 296 moose deaths identified as wolf kills. The age distribution of the kills is as follows.

Age of Moose in Years	Number Killed by Wolves
Calf (0.5 yr) 1-5 6-10 11-15 16-20	106 50 70 67 3

(a) For each age group, compute the probability that a moose in that age group is killed by a wolf. (Use 3 decimal places.)

0.5
1-5
6-10
11-15
16-20

(b) Consider all ages in a class equal to the class midpoint. Find the expected age of a moose killed by a wolf and the standard deviation of the ages. (Use 2 decimal places.)

μ
σ

 

2. According to Harper’s Index, 50%of all federal inmates are serving time for drug dealing. A random sample of 15federal inmates is selected.

(a) What is the probability that 12 or more are serving time for drug dealing? (Use 3 decimal places.)

(b) What is the probability that 3 or fewer are serving time for drug dealing? (Use 3 decimal places.)

(c) What is the expected number of inmates serving time for drug dealing? (Use 1 decimal place.)

3. The Orchard Cafe has found that about 4%of the diners who make reservations don’t show up. If 82reservations have been made, how many diners can be expected to show up? Find the standard deviation of this distribution. (Use 2 decimal places.)

μ
σ

 

4. Look at the normal curve below, and find μ, μ+ σ, and σ.

μ	=
μ + σ	=
σ	=

 

5. What percentage of the area under the normal curve lies as given below?

(a) to the right of μ

%

(b) between μ – 2σ and μ + 2σ

%

(c) to the right of μ + 3σ (Use 2 decimal places.)

%

 

 

6. The incubation time for Rhode Island Red chicks is normally distributed with a mean of 26days and standard deviation of approximately 3days. Look at the figure below and answer the following questions. If 1000 eggs are being incubated, how many chicks do we expect will hatch in the following time periods? (Note: In this problem, let us agree to think of a single day or a succession of days as a continuous interval of time. Assume all eggs eventually hatch.)

(a) in 20 to 32 days

chicks

(b) in 23 to 29 days

chicks

(c) in 26 days or fewer

chicks

(d) in 17 to 35 days

chicks

 

7. Fawns between 1 and 5 months old have a body weight that is approximately normally distributed with mean μ= 25.1kilograms and standard deviation σ = 3.3 kilograms. Let x be the weight of a fawn in kilograms.

Convert the following x intervals to z intervals. (Round your answers to two decimal places.)

(a)    x < 30

z <

(b)    19 < x

< z

(c)    32 < x < 35

< z <

Convert the following z intervals to x intervals. (Round your answers to one decimal place.)

(d)    −2.17 < z

< x

(e)    z < 1.28

x <

(f)    −1.99 < z < 1.44

< x <

(g) If a fawn weighs 14 kilograms, would you say it is an unusually small animal? Explain using z values and the figure above.

Yes. This weight is 3.36 standard deviations below the mean; 14 kg is an unusually low weight for a fawn.Yes. This weight is 1.68 standard deviations below the mean; 14 kg is an unusually low weight for a fawn.    No. This weight is 3.36 standard deviations below the mean; 14 kg is a normal weight for a fawn.No. This weight is 3.36 standard deviations above the mean; 14 kg is an unusually high weight for a fawn.No. This weight is 1.68 standard deviations above the mean; 14 kg is an unusually high weight for a fawn.

(h) If a fawn is unusually large, would you say that the z value for the weight of the fawn will be close to 0, −2, or 3? Explain.

It would have a large positive z, such as 3.It would have a negative z, such as −2.    It would have a z of 0.

 

 

8. Sketch the area under the standard normal curve over the indicated interval and find the specified area. (Round your answer to four decimal places.)

The area to the left of

z = −1.33

is  .

 

 

9. Sketch the area under the standard normal curve over the indicated interval and find the specified area. (Round your answer to four decimal places.)

The area to the right of z = 1.55 is  .

 

10. Sketch the area under the standard normal curve over the indicated interval and find the specified area. (Round your answer to four decimal places.)

The area between z = 0 and z = 2.73 is  .

 

11. Sketch the area under the standard normal curve over the indicated interval and find the specified area. (Round your answer to four decimal places.)

The area between

z = −2.25

and z = 1.42 is  .

 

12. Let zbe a random variable with a standard normal distribution. Find the indicated probability. (Round your answer to four decimal places.)

P(−1.21 ≤ z ≤ 2.42)

=

Shade the corresponding area under the standard normal curve.

 

 

13. Consider a normal distribution with mean 31and standard deviation 5. What is the probability a value selected at random from this distribution is greater than 31? (Round your answer to two decimal places.)

 

14. Consider the following data. The summary statistics, histogram, and normal quantile plot were generated by Minitab.

27	27	27	28	28	28	28	28	28	29
29	29	29	29	29	29	29	29	29	30
30	30	30	30	30	30	30	30	30	30
30	31	31	31	31	31	31	31	31	32
32	32	32	33	33	33	33	33	34	34

 

Variable Data	N 50	N* 0	Mean 30.160	SE Mean 0.256	StDev 1.811
Variable Data	Minimum 27.000	Q1 29.000	Median 30.000	Q3 31.000	Maximum 34.000

(a) Does the histogram indicate normality for the data distribution? Explain.

No, we observe a bell-shaped, skewed distribution.No, we observe a uniform, skewed distribution.    Yes, we observe a uniform, symmetric distribution.Yes, we observe a bell-shaped, symmetric distribution.

(b) Does the normal quantile plot indicate normality for the data distribution? Explain.

Yes, the points do not fall on a straight line.No, the points fall approximately on a straight line.    Yes, the points fall approximately on a straight line.No, the points do not fall on a straight line.

(c) Compute the interquartile range.

Check for outliers.

There are two outliers.There are no outliers.    There are no outliers, but two data points fall exactly on the boundary.There is one outlier.

(d) Compute Pearson’s index. (Round your answer to three decimal places.)

Does the index value indicate skewness?

YesNo

(e) Using parts (a) through (d), would you say the data are from a normal distribution?

No, the graphs do not support normality, there are no apparent outliers, but there is skewness.Yes, the graphs support normality, there are no apparent outliers, and there is no skewness.    No, the graphs do not support normality, there is no skewness, but there are apparent outliers.Yes, the graphs support normality, there are no apparent outliers, but there is skewness.

 

 

15. Assume that xhas a normal distribution with the specified mean and standard deviation. Find the indicated probability. (Round your answer to four decimal places.)

μ = 4.1; σ = 2.5

P(3 ≤ x ≤ 6) =

 

16. Assume that xhas a normal distribution with the specified mean and standard deviation. Find the indicated probability. (Round your answer to four decimal places.)

μ = 5.7; σ = 0.8

P(7 ≤ x ≤ 9) =

 

17. Assume that xhas a normal distribution with the specified mean and standard deviation. Find the indicated probability. (Round your answer to four decimal places.)

μ = 25; σ = 3.5

P(x ≥ 30) =

 

 

18. Find zsuch that 6.8%of the standard normal curve lies to the left of z. (Round your answer to two decimal places.)

    z =

    Sketch the area described.

 

19. Quick Start Company makes 12-volt car batteries. After many years of product testing, the company knows that the average life of a Quick Start battery is normally distributed, with a mean of 45.4months and a standard deviation of 9.3months.

(a) If Quick Start guarantees a full refund on any battery that fails within the 36-month period after purchase, what percentage of its batteries will the company expect to replace? (Round your answer to two decimal places.)

%

(b) If Quick Start does not want to make refunds for more than 10% of its batteries under the full-refund guarantee policy, for how long should the company guarantee the batteries (to the nearest month)?

months

 

 

20. Suppose xhas a distribution with μ= 42 and σ = 7.

(a) If random samples of size n = 16 are selected, can we say anything about the x distribution of sample means?

No, the sample size is too small.Yes, the x distribution is normal with mean μ _x = 42 and σ _x = 1.75.    Yes, the x distribution is normal with mean μ _x = 42 and σ _x = 0.4.Yes, the x distribution is normal with mean μ _x = 42 and σ _x = 7.

(b) If the original x distribution is normal, can we say anything about the x distribution of random samples of size 16?

Yes, the x distribution is normal with mean μ _x = 42 and σ _x = 7.Yes, the x distribution is normal with mean μ _x = 42 and σ _x = 1.75.    No, the sample size is too small.Yes, the x distribution is normal with mean μ _x = 42 and σ _x = 0.4.

Find P(38 ≤ x ≤ 43). (Round your answer to four decimal places.)

 

 

21. Suppose xhas a distribution with μ= 15 and σ = 14.

(a) If a random sample of size n = 35 is drawn, find μ_x, σ _x and P(15 ≤ x ≤ 17). (Round σ_x to two decimal places and the probability to four decimal places.)

μx =

σ x =

P(15 ≤ x ≤ 17) =

(b) If a random sample of size n = 74 is drawn, find μ_x, σ _x and P(15 ≤ x ≤ 17). (Round σ _x to two decimal places and the probability to four decimal places.)

μx =

σ x =

P(15 ≤ x ≤ 17) =

(c) Why should you expect the probability of part (b) to be higher than that of part (a)? (Hint: Consider the standard deviations in parts (a) and (b).)

The standard deviation of part (b) is

part (a) because of the     sample size. Therefore, the distribution about μ_x is

.

 

 

22. Let xbe a random variable that represents the weights in kilograms (kg) of healthy adult female deer (does) in December in a national park. Then xhas a distribution that is approximately normal with mean μ = 67.0 kg and standard deviationσ = 7.5 kg. Suppose a doe that weighs less than 58 kg is considered undernourished.

(a) What is the probability that a single doe captured (weighed and released) at random in December is undernourished? (Round your answer to four decimal places.)

(b) If the park has about 2750 does, what number do you expect to be undernourished in December? (Round your answer to the nearest whole number.)

does

(c) To estimate the health of the December doe population, park rangers use the rule that the average weight of n = 45 does should be more than 64 kg. If the average weight is less than 64 kg, it is thought that the entire population of does might be undernourished. What is the probability that the average weight

x

for a random sample of 45 does is less than 64 kg (assuming a healthy population)? (Round your answer to four decimal places.)

(d) Compute the probability that

x

< 69 kg for 45 does (assume a healthy population). (Round your answer to four decimal places.)

Suppose park rangers captured, weighed, and released 45 does in December, and the average weight was

x

= 69 kg. Do you think the doe population is undernourished or not? Explain.

Since the sample average is above the mean, it is quite likely that the doe population is undernourished.Since the sample average is below the mean, it is quite unlikely that the doe population is undernourished.    Since the sample average is below the mean, it is quite likely that the doe population is undernourished.Since the sample average is above the mean, it is quite unlikely that the doe population is undernourished.

Frank is the lead broker at a real estate firm that is located in one large city. The company has a nationally known real estate training program that costs $2,000 to attend. The program motivates real estate agents to sell more, gives tips on how to get leads, and recruits more agents to Frank’s brokerage firm.

Each real estate agent in his firm grosses a 3% commission with each transaction involved with buying or selling a house. After the broker’s cut, most agents net a commission of 2.1% with each transaction.

Frank’s motivation is to build his training program and the size of his brokerage firm by adding real estate agents. To do so, he decided to provide his real estate agents some incentives.

At noon on the first Monday of each month, agents sign up for four hours of floor time for the month via computer. Floor time at the downtown office allows each agent to be the sole person to accept phone calls, answer e-mails, or visit with walk-ins to get possible listings and generate more business. Floor time occurs from 6 a.m. to 10 p.m. each day. Agents love floor time so much that by noon each Monday sign-up day, all floor times for the month are taken.

There are other ways to get real estate leads such as contacting people who have de-listed their houses or are showing “For Sale by Owner” signs in front of their houses. But floor time in this firm accounts for a third of all leads.

Here is the new incentive policy:

Realtors can receive up to four hours of floor time per month if they have had a transaction in the last three months.

Realtors receive one additional hour of floor time per month for exceeding three transactions in a three-month period. If there are four transactions in a three-month period, Realtors receive one additional hour. If there are five transactions, Realtors receive two additional hours. Six transactions lead to three hours and so on.

Realtors receive one additional hour of floor time per month for referring one person to Frank’s training program. They receive two hours for two people, three hours for three people, and so on.

The system worked well for two months after initiation of the program. On the third month, floor time ran out. Agents who had rights to floor time but could not get it were promised extra floor time the next month. The real estate firm added 16 real estate agents (while losing only two) and brought in 18 agents to the training program due to referrals from other agents. The superstar real estate agent Trina was involved with nine real estate transactions during the three-month period.

Frank decided to change the standard one week before Realtors could sign up for the next floor time. Realtors can now receive up to four hours of floor time per month if they have had a transaction in the last two months (effective next sign-up). All other aspects of the incentive program will continue.

Stacey has been a Realtor with Frank’s brokerage firm for the last 15 years. She had been on vacation in February and was gone in late March, so she did not get the e-mail on the new incentive policy. She thought she could sign up for floor time because she had a transaction in the last three months. She went on the computer to sign up for floor time as usual on Monday, April 3, at noon. She was locked out. The computer said she had insufficient transactions over the last two months.

Stacey immediately called Frank at 12:05 complaining that she couldn’t sign up for floor time. Frank said that she should have been keeping up with all e-mail correspondence from the firm. She said it wouldn’t have made a difference. “I went on vacation knowing I was safe for floor time. Now you surprised me. The firm is going to get bigger and bigger, and it is only going to get tougher to get floor time.”

She was disgusted by the fact that her friend Trina received 20 hours of floor time in April. The incentive plan was also unfair to newcomers who get no floor time. Stacey said, “Trina is a machine. She has a staff that helps her get sales. She even hired a person to find Realtors to go to your training seminars. How can I compete against Trina who will capture all the floor time in the firm?”

Stacey also wondered about the training seminars. She got into the business of real estate to sell houses, not seminars.

Frank stated that he wants to give the spoils to those in the firm who produce the most. Trina happens to be one of the most productive Realtors in the city and state. Trina also nets 2.5% with each transaction because she passes the magical $3 million threshold each year. Besides, said Frank, floor time is only a small piece of the pie.

Reference
Gundars Kaupins, Boise State University

Questions:

• What were Frank’s strategic purposes for the incentive plan? Did the incentive plan accomplish his purposes? Why or why not?

• Which incentive option is Frank choosing?

• Do you think that high-level performers should get the bulk of the rewards in an organization, or should the rewards be meted out in a more egalitarian fashion?

• Let’s say Stacey represents most of the Realtors of the firm. How could Frank have improved the cooperative development of incentives with Stacey prior to incentive initiation?

• Given Frank’s strategic purposes, what alternative incentive plans would be appropriate for this real estate firm? Consider incentive plans mentioned in the chapter