Negotiations - Case Study Essay Example | Topics and Well Written Essays - 500 words

Negotiations - Case Study - Essay Example Lack of management skills makes the firm not to be at par with advances in technology (Hastings, 2009). Technical support makes it possible for the business to be aware of modern technologies. With this can be able to understand the operations of the industry resulting to familiarity with clients. Therefore the industry can provide reliable services and appropriate solutions to the client problems. Lieutenant observed that the company suffered from insufficient training because of one stenographer who was in charge of five semi-skilled workers. This is due to ineffective management of the company. The firm is the only one producing the special machine but has very complex production processes that have made the employees to be resistant to new innovations (Vanden & Consulting, 2008). These employees basically resist new training because top managers have not been fully trained. Ineffective management also results in high expenses as a result of ignorance over security measures. Contingency are the allowances that help the management in addressing risks within the firm. The contingency allowance ensures that managers are able to account for all the errors and omissions made in the firm. Lieutenant Early should ensure that all the company operations and activities are performed perfectly. This calls for changes in the operations of the company (Hastings, 2009). This will reduce the amount of money paid as contingency allowance because there will be an improvement in the efficiency of organizational processes. The changes will also ensure that the organization is able to address risks accordingly. The entire unknown amount should be paid for in order to reduce the contingency allowance. This makes the payment to be in time hence reducing the accumulation amount. The Trustworthy equipment company should be principled enough to pay for all the known and unknown expenses. This eases the future budget of the firm making a similar contingence allowances (Steams,