Read case 15 and answer following question: What lessons for developing organizational cultures can this case provide for other firms that aren’t family run?
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CASE 15
Never on a Sunday
Developed by Anne C. Cowden, California State University, Sacramento
McCoy’s Building Supply Centers of San Marcos, Texas, have been in continuous successful operation for over seventy years in an increasingly competitive retail business. McCoy’s is one of the nation’s largest family-owned and family-managed building-supply companies, serving 10 million customers a year in a regional area currently covering New Mexico, Texas, Oklahoma, Arkansas, Mississippi, and Louisiana. McCoy’s strategy has been to occupy a niche in the market of small and medium-size cities.
McCoy’s grounding principle is acquiring and selling the finest-quality products that can be found and providing quality service to customers. As an operations-oriented company. McCoy’s has always managed without many layers of management. Managers are asked to concentrate on service-related issues in their stores: get the merchandise on the floor, price it, sell it, and help the customer carry it out. The majority of the administrative workload is handled through headquarters so that store employees can concentrate on customer service. The top management team (Emmett McCoy and his two sons, Brian and Mike, who serve as co-presidents) has established eleven teams of managers drawn from the different regions that McCoy’s stores cover. The teams meet regularly to discuss new products, better ways for product delivery, and a host of items integral to maintaining customer satisfaction. Team leadership is rotated among the managers.
McCoy’s has a workforce of 70 percent full-time and 30 percent part-time employees. The firm has a longstanding reputation of fair dealing that is a source of pride for all employees. McCoy’s philosophy values loyal, adaptable, skilled employees as the most essential element of its overall success.
In order to implement this philosophy, the company offers extensive on-the-job training. The path to management involves starting at the store level and learning all facets of operations before advancing into a management program. All management trainees are required to relocate to a number of stores. Most promotions come from within. Managers are rarely recruited from the outside. This may begin to change as the business implements more technology requiring greater reliance on college-educated personnel.
A strong religious belief and a strong commitment to community permeate all that McCoy’s does. Many McCoy family members are Evangelical Christians who believe in their faith through letting their “feet do it”—that is, showing their commitment to God through action, not just talk. Although their beliefs and values permeate the company’s culture in countless ways, one very concrete way is reflected in the title of this case: “Never on a Sunday.” Even though it’s a busy business day for retailers, all 103 McCoy’s stores are closed on Sunday.
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