Discussion Question

Need for Discusion question to answer the presenter attached below: plesese including for the answer  citation and references thank you:

Problem - What

“General Electric: Major Appliance Business Group” is faced with the problem of whether to incorporate modification changes into Project C, and if yes which modification changes should be accepted.  (Ellet, W. 2007, p. 214)  Implementing these changes will require increased founding for Project C.  Founding increase of over 10% of the original budget has to, once again be approved by the board.

Diagnosis - Why

To improve consumer perception about the quality of GE products a new material “PermaTuf” was developed and patented by the company.  Unfortunately, the first model consisting of this technology had to be pulled from the market. (Ellet, W. 2007, p. 201)  Project C is the third model build using the “PermaTuf”, and it is essential for the launch of this model to be a success.

Diagnosis – How

The first product with the “PermaTuf” technology was a Project A model GSD 1050.  In order to put it on the market within the projected time frame, few regularly conducted tests were omitted.  The result was that the GSD 1050 model had to be removed.  Although the warranty claims were unrelated to “PermaTuf”, the quality of the GE product was under question again.   (Ellet, W. 2007, p. 201)

Proof of Causes

1980 Recession Year.  Sale volumes and actual profits were much less than projected.  A need to cut costs but improve quality while accommodating Project C initiated the idea to “…redo major selections of the Louisville dishwasher plant.”  (Ellet, W. 2007, p. 202)      

Strong Union Presence prompted MABG to limit its investment in the Louisville plants in the past.  To make Project C a success the company has to make extensive investment in the dishwasher plant, and improve working relationship within its workforce.  (Ellet, W. 2007, p. 205)

Reference:

Ellet, W. (2007). The case study handbook; How to read, discuss, and write persuasively about cases. Brighton, Massachusetts: Harvard Business Review Press.