The company White Cap which was the division of Continental Group Inc. was having a strong competition by its competitor. The competitor introduced the plastic packaging at lower price by which the customers of the White Cap started moving to its competitor. White was also having research and development department incorporated. Therefore, cutting the cost to the level f their competitor was not an easy task for them. In that situation, they needed a manager who could make signicant changes in the production process without disturbing other things. The company was known for its paternalistic style of management. It had always make loyal employees by giving them liberal benefits and rewards.
They always thought about their employees as family member. Therefore, for the change to be implemented there would be a lot of resistance expected from other managers and employees. There was a manager, Peter Browning, who managed other division, named as Bondware, of the Continental Group effectively and had made the company successful. The Continental Group wanted him for the White Cap project since they believed he was the only person he could bring the change successfully.
Peter Browning had a superior call for success at White Cap, as divergent to his accomplishment at Bondware. Now, by having a strong competition, the Continental Griou was was sensing the necessity of changing the systems and processes of White Cap, as well.
Technology at White Cap's was falling behind of its competitors. Its competitors started cutting prices to gain market share making it difficult for it to compete profitably. The FDA had recently approved the use of plastic containers requiring plastic closures and many customers were beginning to adopt the use of this plastic. White Cap was reluctant to focus ...