DASHMAN COMPANY

CASE STUDY ANALYSIS

PRESENTED BY: TEAM 3
EDDIANA
GOPIKA
DEEPAK
ROHIT
TIJU
AMIT
CONTENT

OVERVIEW OF THE CASE

PROBLEMS
SOLUTIONS
FACTS
ALTERNATIVE
CONCLUSION
OVERVIEW OF THE CASE
Dashman is a U.S. based company.

Major suppliers of equipments to

U.S. Armed Forces.

Around 20 plant all over central

part of the country.

To prevent lack of raw materials, a

new vice president was appointed.

New vice president made a

decision of centralizing purchasing
process.

Other plant managers show

support but did not deliver.
PROBLEMS

Organizational
Implementation of structure
Scarcity of
centralization disrupted because Irrelevant
essential raw
before peak of centralization in response
material.
buying season. purchasing
process.
SOLUTIONS

Essential for plant

managers to be informed
on all decisions.

Practical communication
channel on urgent
decisions to be considered.

Clarity on requirement of
new purchasing policy.
FACTS
Meetings between
different plant
managers could help in
solving problems.

Mode of
communications
should have been better
in case of urgency
CONCLUSION

Predicted the extreme Involved the 20 plant

consequences of heads more in the
sudden decisions of
centralization, the existing system.
CONTENT
OVERVIEW OF THE CASE
PROBLEMS
SOLUTIONS
FACTS
ALTERNATIVE
CONCLUSION
OVERVIEW OF
Dashman is a U.S. based THE CASE
company.
Major suppliers of equipments to U.S. Armed Forces.
Around 20 plant all over central part of the country.
To prevent lack of raw materials, a new vice president
was appointed.
New vice president made a decision of centralizing
purchasing process.
Other plant managers show support but did not deliver.
PROBLEMS
Scarcity of raw material.
Organizational structure disrupted because of
centralization in purchasing process.
Recent policy of clearance from head office on
purchases over $10,ooo.
Implementation of centralization before peak buying
season.
SOLUTIONS
Essential for plant managers to be informed on all
decisions.
Practical communication channel on urgent decisions
to be considered.
Clarity on requirement of new purchasing policy.
Vice president expected to do a follow up.
FACTS
Vice president made high level decisions which was first
move.
Centralized purchase procedure implemented 3 weeks
before buying season.
VP dismissed the visits to plant managers.
The plant managers did not take the letter seriously.
Reactions would be different had decisions been shared.
ALTERNATIVE
Meetings between different plant managers could help in
solving problems.
Mode of communications should have been better in
case of urgency
VP could have use assistances connections and
experiences to his advantage.
CONCLUSION
Centralization or Decentralization?
Evident that the existing set up is failing,
Predicted the extreme consequences of sudden
centralization,
Involved the 20 plant heads more in the decisions of
the existing system.