Budgeting at MHL Company : more heat than light shed at performance review meetings / Harshini P. Siriwardane, Sridhar Ramamoorti, Mary I. Grilliot.
MHL Co. is a small, privately owned business that was founded and is majority owned by Rick Trueblood, a pragmatic "nuts-and-bolts" businessman who held the CEO position until last year. MHL manufactures a specialized part, SPX-MHL, for semiconductor etching tools. SPX-MHL is machine-made...
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| Main Authors: | , , |
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| Format: | Ebook |
| Language: | English |
| Published: |
London :
Institute of Management Accountants,
2021.
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| Series: | SAGE Business cases
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| Subjects: | |
| Online Access: | SAGE |
| Summary: | MHL Co. is a small, privately owned business that was founded and is majority owned by Rick Trueblood, a pragmatic "nuts-and-bolts" businessman who held the CEO position until last year. MHL manufactures a specialized part, SPX-MHL, for semiconductor etching tools. SPX-MHL is machine-made from single-crystal silicon, and its quality largely depends on the machinists' craftsmanship. The only serious rival is a South Korean import, SPX-SK, that is cheaper but less durable. Moreover, there is little to no after-sales service available to SPX-SK's U.S. customers.MHL has been very successful in growing its revenue and profits, in part due to the steady growth in global demand for its high-quality product. MHL's success has also been aided by the company's culture, which emphasizes close and supportive relationships with long-standing, loyal customers. Trueblood treasured his customers, and he was quick to respond to their needs. For example, a few years ago, Trueblood was disheartened when the company was unable to fulfill an unexpected last-minute order from a loyal customer. He promptly introduced a policy to end each month with inventory equal to 25% of the projected sales for the upcoming month. This helped MHL avoid a recurrence of similar inventory stockout problems. |
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| Item Description: | Originally Published InSiriwardane, H.P., Ramamoorti, S., & Grilliot, M.I. (2021). Budgeting at MHL Company: More Heat than Light Shed at Performance Review Meetings. IMA Education Case Journal, 14(1), Article 2. |
| Physical Description: | 1 online resource. |
| ISBN: | 9781529796896 152979689X |