Statistics Final Paper

Business Problem Proposal

Abstract

Amed Lopez Construction started on June 15, 2005. This construction company has grown from a residential small job company to a business small job construction company. Amed Lopez Construction has grown incredibly in the last few months that it cannot continue with the same structure and administration. The company is at a stage where it needs to restructure to continue its growth successfully and expand its horizons.

Profits in any company are the base of growth and everything involved in increasing its market. Currently, Amed Lopez Construction has twenty-four laborers with Amed, the owner, supervising five different projects. Amed needs to start using sub-contractors for the large projects coming in so that he won't get absorbed and stop growing so that each project can be supervised more efficiently. The company requires growing intelligently and organized so that the results are effective.

Problem Statement

Amed Lopez Construction will transition from a small projects-based company to a large projects-based company due to its high demand of work and opportunity to grow. With the proper hiring and structure Amed Lopez Construction will have the opportunity to achieve market dominance in the construction industry and achieve future profitability.

Value Statement

The research is worth doing because it will give a small business an opportunity to grow successfully and effectively. At the same rate it will give the current key employees an opportunity for growth.

Business Problem Proposal 3

Background

The current state that Amed Lopez Construction is in will not allow for other projects and current projects will require Amed to stay at the job sites more time leaving some projects unattended. Every company's priority is to make the customer happy in order to make money. This opportunity relates to an organizational management concern because compliance will be an issue if the projects are not supervised and delegated properly.

Unfortunately, some ethical issues may be associated with growth and restructure. Of the current 24 employees that exist, there will have to be some promotions and some lay offs. There will need to be key employees that will always be on the payroll whether the company expands or reduces in size being it is seasonal type of work. Sub-contractors will be in charge of a specific job and therefore will replace some of the current personnel. There is need for a transition in the way its current company structure runs and the way it should run to accommodate a profitable and successful growth.

Research Purpose

The primary purpose for this research is to reorganize the company for growth and better profits. Profits will allow for many more things in the company starting with more company vehicles, tools, machines and supplies. Along with those investments, profits will benefit employees with initiatives to create a long-term employee which is another very important investment for a company.

Business Problem Proposal 4

Research Objectives

Growth for a company is vital to its existence and its survival. Companies cannot stay at the same rate without a competitive edge. Companies need to take a risk into new and better opportunities and make sure that it is planned and organized well for a continuous success. The benchmarking process is used as helpful alternatives that companies with similar issues have put into place and have either succeeded or failed. These alternatives are then evaluated individually or combined for the best solution. The following are the objectives that will be researched in order to meet our initial proposal: Restructure the company's direction which includes Human Resources and Finance.

Research Questions and Hypothesis

The following are questions that will be asked and answered in order to achieve the research objectives:

1. When will the company start this transition?

2. When and how will the company communicate this new change to the employees during the transition without losing key employees?

3. Who will stay and who will go?

4. How will we hire qualified people and qualified sub-contractors to keep our good reputation?

5. How will the company accommodate for rainy days when work is slower?

6. How will the company promote itself for the larger projects?

7. Should the self-proprietor company become incorporated?

8. Where will the company get an office since it is currently a home-based business?

Business Problem Proposal 5

9. How much do we have to invest and risk?

10. How much can the company grow?

11. Will there be a policy and procedure guide?

The suggestion given to answer these questions is to look at other companies in the same field in order to take the positives and negatives of another company's transition and apply those to Amed Lopez Construction. This process would eliminate any experienced errors and the company would take advantage of other positive strategies used.

Scope

Any transition in a company takes planning and requires commitment to the end result. Studying the transition for Amed Lopez Construction will require time and preparation for the result to be a positive one for the company. The course of action entails dedication through good times and bad. There will always be new issues to face in any transition that will have to be solved during the course. This is why follow up is very important to any transition or change so that the issues are detected as soon as possible, solved and the company can move on with the original proposal.

Limitations or obstacles will always be a part of any change in a company. For Amed Lopez Construction limitations would include financial budget, hiring the right people for the job, delegation of people, increase production, reduce expenses, and utilizing Human Resources to its fullest. The barriers that exist in a company are matters that when worked out can be a very beneficial learning