Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department. The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment. The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level. To discuss: Actions taken by person X when he was in a position of person K and reasons.

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Answer 1

Question

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

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Answer 2

Question

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

Expert Solution & Answer

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Answer 3

Question

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

Expert Solution & Answer

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Answer 4

Question

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

Expert Solution & Answer

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Answer 5

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

Answer 6

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

Answer 7

Chapter 3, Problem 1.3CFA

Summary Introduction

Case summary:

Person K is the production manager for Company A, that manufactures office equipment. He read an article in the newspaper “stressed the benefit of participative management” and believed that those benefits would be recognised in his department.

The first decision is about vacation schedules. On this decision, the group changed into deadlocked and he would have to solve the disputes by himself. The second decision is about production standards. New machineries and equipment’s helps the workers to yield more production without working harder. Thus the savings can be used to pay new machineries and equipment.

The workers recommended the management to keep the same production standards. The spokesperson explained that their basic salary pay had not saved up with the inflation rates and the management add incentives to their basic pay to its previous level.

To discuss: Actions taken by person X when he was in a position of person K and reasons.

Answer 8

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Answer 9

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Answer 10

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Answer 11

Ch. 3 - Prob. 1DQ Ch. 3 - Prob. 2DQ Ch. 3 - Prob. 3DQ Ch. 3 - Prob. 4DQ Ch. 3 - Prob. 5DQ Ch. 3 - Prob. 6DQ Ch. 3 - Prob. 7DQ Ch. 3 - Prob. 8DQ Ch. 3 - Prob. 1.1CFA Ch. 3 - Prob. 1.2CFA

Solution Summary: The author analyzes how person K, the production manager for Company A, stressed the benefit of participative management, and decided to keep the same production standards.

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Chapter 3 Solutions