SITUATIONAL ANALYSIS

Situational Analysis for Case Study of PanEuro Foods Plc

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Introduction

PanEuro Foods Plc is incorporated in UK in Camberley, Surrey. It is one the largest European food and canning company. Its canning and food production operations are located in about 6 countries, in Europe. Its gourmet foods include poultry, meat, fish, vegetables, vitamins, and cat and dog foods. It also opened another plant in Hungary very recently. In the past 8 years, it has witnessed an annual growth rate of about 12.5%. Its share price is also at an all-time high in 5 years (Mullen, 2012).

However, as the company has been expanding to become a £995 million a year company, it has been continuously adding its production plants. In the past 5 years, 2 new plants the company has added 2 new plants on average every year. Its project cost for each new plant range between £0.5 and £18 million. Further, it also conducts capital expenditure on modifications in each of its plants every year. It is utilizing a project management approach to expansion and growth (Mullen, 2012).

Situational analysis

Issues in the company

PanEuro Foods is facing several issues in the organization. These issues are all related to the project management endeavours, currently. The project management at the company aims to achieve better delivery of timely projects that meet the requirements of the business. However, the project management approach with a matrix structure has not been effective at the company as it has been continually experiencing delays in projects, coupled with wild cost overruns.

The issues afflicting PanEuro Foods can be broadly classified as those of organization, vague responsibilities, project feasibility, and improper project management practices.

The organization issue is clear at PanEuro Foods. Despite the fact that they have already implemented so numerous projects, still they have not been able to include the project ...