Professional Documents
Culture Documents
CONTACT REPORT
SUBJECT: AAA AAA
This contact Report covers the visits made to the following companies:
1. XYZ , Inc. (XYZ) DATE
2. ABC, Inc. (ABC) DATE
A. XYZ Shipyard, Inc.
XYZ Shipyard, Inc. (XYZ) is a member-company of the Shingdao Group of Companies whose
flagship company is the Top Corporation. It is located in _________, ______________. It currently
provides various services related to shipping industry, namely: ship repair, ship conversion (increase
in size and capacity, and modification of current use and configuration), ship design and building,
turbo-shaft repair, repainting, and other repair services that may or may not require dry docking.
It started its operations in 1998 by providing services to the fishing vessels of Top Corporation, Inc.,
an affiliated company. It then expanded by providing its services to other fishing and shipping
companies.
The daily operations of XYZ are managed by its General Manager, Engr. __________________.
XYZ has a current manpower complement of ________________ (xx) regular employees and
___________ casual workers.
During the visit, my observations are as follows:
Observations
Recommendations/
Comments
Observations
The
Companys
top
management must change its
outlook in its relationship
with its environment to
ensure the sustainability of
its operations
The
Company
should
consider compliance to laws
and regulations in its
corporate
governance
activities.
3. Organizational Structure
a. No clear management structure. Organizations
function better if authority and responsibility are
distributed to different levels of responsible officers.
For XYZ, the power is centralized with the General
Manager (GM) who acts as the head of all operating
units in the company, namely, Operations, Human
Resource Management, Marketing and Accounting.
The GM micro-manages the operations of the
Company.
The
Company
should
consider setting up the Table
of Organization (TO) to
ensure the smooth flow of
communication
and
authority
within
the
company. The TO would aid
in
maximizing
the
effectiveness of management
controls and enhance the
efficiency of operations.
Recommendations/
Observations
Comments
f.
Recommendations/
Observations
Comments
4. Financial Management
The Company has no formalized Capital Expenditure
(CAPEX) Budgeting procedures that serve as guidelines in
undertaking capacity expansion. This is evidenced by the
absence of a proper Financial Feasibility Study for their
ongoing US$____ million dry dock expansion project. The
Company Accountant said that their projected Return on
Investment (ROI) for this expansion is only Y%, which is
precariously low.
This expansion was being undertaken because the
Company was able to pay-off its first US$___ million loan.
5. Marketing Strategy
The Company relied mainly on word of mouth (referrals)
of its existing clients to reach new customers.
It cannot market abroad yet since it has no local or
international certifications as shipbuilder or as an
accredited ship repair facility. The Company is still
planning to get an ISO certification.
The detailed observations during the visit are enumerated in the table below.
Observations
Recommendations/
Comments
Observations
Recommendations/
Comments
Observations
Recommendations/
Comments
C. Sustainability of Operations
2. ABC ensures the long-term sustainability of its
operations by minimizing or controlling pollution in its
area of activities. This is done with the adoption and
implementation of waste and pollution management
system.
3. ABC ensures that the soil in its plantations can sustain
the operation the requirements of the planted bananas
by rehabilitating its plantations. This is done with the
application of certain organic and in-organic fertilizers
and materials.
D. Human Resource Management
ABC
recognized
the
importance of resources to
its continued existence. As
such, it has undertaken
various activities to maintain
and
rehabilitate
such
resources (land).