Custom Chip Industry Essay

1538 Words 7 Pages
Custom Chip, Inc.
Frank Questin is a product manager in custom chip, Inc – a semi conductor manufacturer in custom chips. He is doing his role as Product Manager from last 14 months and it is his first managerial position. The sales of the company exceeded $ 25 millions in 1986 but due to higher competition the growth had come to standstill.
Problem / Issue:
Following are the problems, which I am enlisting on priority level, while others are the symptoms due these causes.
a) Frank Questin Product Manager is ineffective in some areas.
b) Lack of Top Management Commitment.
c) There is a problem with the organizational structure.

A) Frank Questin, Production Manager is not effective in some areas, why?
He is not
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This also shows his negligence in resource allocating in proper way.

b) Lack of Top Management Commitment?
Second problem is the lack of top management commitment e.g. Mr. Frank when ever took the issue of conflict with manufacturing department to his boss, the voice president in charge of engineering, do not like to be aggressive or doing confrontation or taking these interdepartmental issues in the notice of other vice president or the president. Also frank was not exactly told what targets he has to accomplish. And the application engineers are being appreciated / acknowledged by the top management primarily for satisfying customers through designing new / modified products, which results in giving less priority to the manufacturing problems by application engineers, which shows imbalanced reward / acknowledgement procedure adopted by top management.

c) Problem with the organizational structure
Another problem is that there is some hidden conflict in objectives of manufacturing division and product division, which is because of the problem in organization structure. As product engineers plays a role of liaison between the application engineer and

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