Utilizing APA 6th Edition format, prepare a written summary
of the Leadership Development: Cases for Analysis 15-6d
“From This Point On…”. The assignment MUST be
completed in a word document. The summary MUST be a
minimum of 3 typed pages utilizing Times Roman 12 font.
15-6d Leadership Development: Cases for Analysis
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Check out CengageNOW for additional cases with interactive activities.
“From This Point On …”
Bernini Foods is one of several companies offering healthy, frozen-packaged meals in the once-laughable and
nutritionally challenged frozen dinner industry. Meeting the changing needs of modern, on-the-go, budgetconscious consumers, the new meals offered by Bernini face unprecedented competition from long-time industry
leaders including Bertolli, Marie Callendar, Healthy Choice, Lean Cuisine, and others.
Cutthroat competition within the industry means every corporation must hustle for quality ingredients, improved
packaging, efficiency in delivery systems, and decreased cooking times. Like its competitors, Bernini looks to
increased market share through a combination of price cuts and the introduction of new products.
To meet these challenges, CEO Roberto Bernini created a new management position to monitor pricing and
purchasing. VP for Finance Ted McCann hired Lucian Wilkes, a retired army colonel, for the new position, giving him
wide latitude for setting up new rules and procedures. With an announcement from CEO Bernini, Wilkes was
introduced to the company. Following an intense period of in-house research and information gathering, Wilkes
zeroed in on what he saw as the major problems—the fragmentation of pricing and purchasing decisions, with
managers in various regions devising their own standards and making their own contracts.
The process sent up red flags for Wilkes. He made an across-the-board e-mail announcement for new sustainability
procedures, basically informing each regional office that “from this point on …” regional managers must inform his
office of any price change above . In addition, all local purchase contracts above must also be approved by Wilkes’s
office prior to implementation.
Directives for these new standardization procedures were issued to regional managers for their policy manuals.
These managers, according to their immediate feedback, were all in agreement with the changes. But as one month
followed another, Wilkes’s concern and level of frustration grew and a culture of business as usual appeared to
continue. Managers did not resist. Frequent correspondence across the various regions including e-mails, faxes, and
conference calls brought repeated assurances that change was coming.
“We just need time to make the changes,” one manager said.
But weeks dragged on and the situation remained unaltered. Complicating the situation, Wilkes appeared to have
no vocal support from company executives, who were busy with their own concerns. While both Bernini and
McCann offered lukewarm comments about the need for new initiatives to spur efficiency, neither demonstrated
wholehearted support for the changes. The new plan was going nowhere, and Wilkes was aware that the failure of
the company to increase profits could result in the loss of his own position.
“If nothing changes,” Wilkes complained to his wife, “the regional managers will remain on the job. My job will be
cut.”
Wilkes wondered what his next move should be. In how many ways could he inform the managers to implement the
new procedures? What pressures could he apply? How could he impress upon Bernini and McCann the importance
of their support for the changes? He felt at a loss for what he should do. Did Bernini Foods want these new
standards implemented or not?
Questions
1.
Why do you think the regions are not responding to Wilkes’s initiative for change? What did Wilkes do
wrong with respect to implementing the change?
2.
Should Wilkes solicit more active support from Bernini and McCann for the change he is attempting to
implement? How might he do that?
3.
Develop a plan that Wilkes can use to successfully restart the implementation of this change.
Riverside Pediatric Associates
Five years ago, doctors Alvero Sanchez and Josh Hudson opened a small pediatrics office in Riverside, California.
These longtime friends, who had graduated from medical school together, had finally achieved the dream of starting
a pediatrics practice with the vision of providing excellent care to children in their local community. The five
doctors, six nurses, and accountant who staffed the office quickly developed a reputation for being caring and
conscientious. The staff also partnered with local organizations to serve the underprivileged in the community,
providing free flu shots and health clinics at the local YMCA. Sanchez and Hudson were energized and ecstatic that
they were living out their dream, managing their small practice in the midst of a community that respected them.
Their dream started to unravel, however, as the practice began growing at an unwieldy pace. The population of
nearby Hispanic communities was burgeoning, and so was the number of patients coming to Riverside. Although
Sanchez and Hudson had always dreamed of a large, profitable practice, they realized they were not prepared for
such unprecedented growth. The number of new patients was skyrocketing, and the staff at Riverside was
unprepared to handle the influx. Waiting rooms were packed, the staff was becoming short tempered, and
communication among staff was breaking down. Internal systems—like the electronic medical records systems—
were overloaded, and patient health records were getting lost. Patient scheduling was chaotic, causing long waits
for many people. The systems and procedures that once provided a firm underpinning for the small practice could
no longer sustain the rapid patient growth.
Frustration mounted as the founding doctors spent more of their time managing the growing business and less time
on patient care. They realized their original vision of providing excellent pediatric care in a comforting environment
was fading fast. Most importantly, they were growing dissatisfied with their work. Instead of diagnosing illnesses
and building relationships with patients, they were spending more time overseeing expansion and growth of their
practice: interviewing and hiring additional doctors and nurses; supervising construction of the office expansion;
and training new staff on office procedures. Their primary reason for opening a practice seemed like a longforgotten memory.
Under the growing pressure, staff morale began to buckle. Heated arguments and short tempers among the staff
were becoming commonplace. One stellar nurse had resigned, feeling powerless and disenfranchised by the
conditions in the office. Another had been fired after arguing with a frazzled parent. Even Sanchez and Hudson were
growing frustrated and unhappy in their work. Secluded for a quick lunch in the break room, Hudson confided in
Sanchez. “There was a time,” he said, “when we found meaning in our work. I felt most alive and fulfilled when we
were just starting out. Now, we’re just scrambling to keep pace with the change, but we’re falling behind and
drifting away from what’s important—excellent care for our patients.”
Their lunch was interrupted by a knock at the door and some unexpected news from their accountant. The
quarterly financial reports painted a grim picture, she told them. The recent pattern of decreasing revenue and
escalating costs was continuing in this quarter. A financial crisis was beginning to brew, impacting both cash flow
and profitability. The accountant explained that quick action would need to be taken to improve the practice’s
financial health. “We have three problems,” she explained, “and those are declining reimbursement from insurance
companies, delinquent payments from patients, and rising costs of medical supplies and lab work.” She paused and
then added, “It doesn’t help that our billing software is archaic. It simply can’t manage the size of this practice.”
Sanchez tore a page from his prescription pad, flipped it over, and scratched out the following: To survive, Riverside
Pediatric Associates must
1.
improve service to patients and family;
2.
improve respect and collaborative communication among the staff;
3.
save money;
4.
collect fees from patients in a timely manner; and
5.
encourage innovation and creativity from our staff to solve routine problems.
He slid this list across the table to Hudson, asking, “How do we make this happen?”
Questions
1.
Assume you are Sanchez or Hudson and plan to implement immediate organizational change within the
practice. Where would you start? What steps would you take?
2.
The accountant recommended that Sanchez and Hudson consider using AI to facilitate positive change
within the practice. How would you implement the four steps of AI? Be specific. What kinds of things
would you expect to arise during the Discover and Dream steps of AI?
3. Sanchez and Hudson are caught between being physicians and being leaders of their practice. How do you
suggest they resolve this dilemma? What leadership qualities will Sanchez and Hudson need to display in
order to lead positive change in their practice?
