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In this case, the particular organization given more important to the people. That¶s
what the word ³people express´ came. Here the Donald Burr gave equally rights to
all the level of employees in the organization. And it became a reason for
successful company in short period.
But the company fails to understand the present company situation and they
implemented traditional business strategy to the company.
In this case, we can observe, with the lack of decision and managerial style
of the company, reason for bankruptcy and collapse of the company.
1. Off course, we can say that change from participating management style to
traditional style, one of the main reasons for final collapse of the company.
But possible also to survive in traditional management style with new
managerial planning but Donald fails to do so.
There are some other reasons also:
a. When management style from participate to classical one, all the
strategy, polices, regulation of the company going to change, even
employee of the company no more part or owner of the company, and
employees do not have right to participate in decision making, and
most important is the employees no more job security with example
from Lori Dubose.
b. Donald Burr failed to understand the company present situation in
business and his newly implemented traditional strategy.
c. Donald Burr not considered the any opinion from his employees,
when he adopts the new traditional management style.
d. The company failed to upgrade his facilities like infrastructure and
operational resources.
2. The company was following ³people express´ that means giving more
important to the workers and considering them member of the organizational
family. The result from this strategy, within a five year company reaches
success because employees are working in such a way that, they are the
owner of the company.
But my opinion is that, company can adopt same´ people express´
management style further with adding more policies and regulation to
it. But entirely changing the people express management style to
traditional management style is not good managerial decision by the
company.
There are some other reasons for company failure:
a. Lack of infrastructure
b. Lack of operational resources
c. Poor service to customers
d. Outdated technology
e. Poor managerial skill
f. Lack of human resource management
g. Less experience in field
h. Fail to understand competitors strategy
So the company should observe the entire corner. But whatever decision and
change of management style is the birth of company collapse.