Santos Timber Company Case Study
DEPARTMENT OF AGRIBUSINESS MANAGEMENT
COLLEGE OF ECONOMICS AND MANAGEMENT
UNIVERSITY OF THE PHILIPPINES LOS BANOS
Case 7: SANTOS TIMBER COMPANY
MGT 201: ORGANIZATIONS AND MANAGEMENT
LAI PHUONG THAO
SANTOS TIMBER COMPANY
POINT OF VIEW
Carlos Vinces’ point of view was taken for the case analyst. As the general manager and a partner, he has the authority and responsibility for most management decisions in the logging operation. In addition, he is exposed to any issues in all aspect of the operation from the logging operation to trucking operation of the Santos Timber Company (STC).
What should Mr. Carlos Vinces do regarding the insisted dismissal of Felix Cruz by his partner Mr. Alfredo Santos?
- Hands on management of Mr. Carlos Vinces which for a short period time the company were able to expand operations.
- Multi skilled employee in the name of Mr. Felix Cruz who knows how to do mechanic job, has skill in driving dangerous mountain terrain and he is smart and was able to propose some loading arrangement that was adopted and resulted to fewer delays and squabbles.
- Good working condition of the management and employees especially the truckers. Mr. Vince regard Mr. Cruz as spokesman for the trucking group and that role of Mr. Cruz is accepted by the group.
- Santos Timber Company has efficient employee especially the truckers.
- Mr. Vince has married the niece of Mr. Alfredo Santos making the partnership more reinforced
- Long existing assembler-exporter which is located 23 kilometers away from the logging site.
- Mr. Santos is already old and was busy attending to the management of properties owned by his fiancee in Manila.
- Mr. Santos takes things personally, his personal conflict with Mr. Cruz is being drag into the business, and has the tendency to retaliate.
- The current disagreement between Mr. Santos and Mr. Vinces
- A presence of dangerous mountain roads that delays the transportation of logs to the coast.
- Some recruited truckers resulted to some damages to the truck.
- Felix Cruz has past conflict with Mr. Santos and has the tendency to walk out, the absence of background checking for new employees.
- Less difficulty in finding experienced people to fill newly created or vacated position since there were a number of logging outfits in the area.
- Labor rights issues
ALTERNATIVE COURSES OF ACTION
To retain Felix Cruz and let Mr. Santos see for himself the production record and driving skills of Cruz.
To dismiss Felix Cruz
To set up a mediation meeting with Mr. Santos and Felix Cruz and solve the issue between the two.
Based on the analysis of the market and company situation, advantages and disadvantages of the alternatives and consideration of the comments and concerns of Santos Timber Company, the following alternative has been chosen: To retain Felix Cruz and let Mr. Santos see for himself the production record and driving skills of Cruz.