Electroparts Mfg., Inc.

Members:
Meg Franco Bacal
Beverly Bajado
Lady Jean Bongcawel
Richie Bruhwiler
Zara Kay Cabalatungan
Hannah Grace Caramonte
Rainbee Grace Moro

Central Problem
How
will
Electroparts
Manufacturing, Inc. be able to
cope up with the new republic
act that will require their
expenses to increase?

Objectives
To

be able to cut cost or gain

more income for the company to
continue its operations.
To be able to budget the money
that it may not have to get a
great impact on the operations
of the company.

Alternative Courses of Action

1. Increase the prices of their products.
Advantage:
This will create
more profit and
the management
will be able to
cope with the
expenses of the
company.

Disadvantage:
There will be
decrease
of
customers
as
they wont be
able to buy
products due to
increase
of
price.

Alternative Courses of Action

2. Decrease the benefits for the supervisory
workers.

Advantages:
This
can
help
in
decreasing the
expenses
of
the company.

Disadvantage:
The morale
of the workers
would
be
lessen as their
benefits
are
decreased.

Alternative Courses of Action

3. Decrease the number of workers for lower cost
of
manpower expense.

Advantage:
It will lessen
the expense of
the company.

Disadvantage:
The
company may
not be able to
cope up with
the
demand
because they
lack manpower
to do so.

Alternative Courses of
Action
Disadvantage:
If
the
4. Engage into sideline business
businesses.
fails,
the company
Advantage:
would
The profits
experience
of
that
more
business may
problems.
It
be able to help
may
also
in maintaining
require capital
the expense of
and
the company.
manpower.

Alternative Courses of Action

5. Loan money in the bank be able to cope up
temporarily.

Advantage:
The
company
would
have
money
to
temporarily cope
with the situation
until they are
able to adjust to
the
new
standards.

Disadvantage:
It will add a
liability to the
company.

Alternative Courses of Action

6. To lower product quality.
Advantage:
This will reduce
the cost required
for the product
thus making the
company
have
lesser
manufacturing
expense.

Disadvantage:
The market
might not want
to buy from
lower
quality
product
decreasing
sales.

Alternative Courses of Action

7. To create a savings account that may be used for
emergencies like insurances and Medicare.

Advantage:
The company will
have
reserved
money
for
emergencies
making it easy for
the company to
cope
up
with
situations
like
this.

Disadvantage:
It may take
up a part of
the
profit
decreasing the
profit for a bit.

Recommendations
It is advantageous that they would
lower the quality of the product a bit.
This might lower the sales somehow
but it will be enough to be able to
cope up with the business needs. It is
also advisable to lessen the benefits
of the supervisory workers that it
wont have a great impact on the
company. It is important that they
must cut cost like removing of
unneeded facilities.

Conclusion
Electroparts
Manufacturing,
Inc.
would be able to go through the
problem by slowly lessening the
workers benefits. They will have an
increase in salary so they should
expect that the company will be
lessening some benefits to cope up
with the situation. The workers should
be able to understand that they will
have these effects due to the
increase of salary.