Amed Lopez Construction Case Analysis

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Business Problem Proposal

Abstract

Amed Lopez Construction started on June 15, 2005. This construction company has grown from a residential small job company to a business small job construction company. Amed Lopez Construction has grown incredibly in the last few months that it cannot continue with the same structure and administration. The company is at a stage where it needs to restructure to continue its growth successfully and expand its horizons.

Profits in any company are the base of growth and everything involved in increasing its market. Currently, Amed Lopez Construction has twenty-four laborers with Amed, the owner, supervising five different projects. Amed needs to start using sub-contractors for the large projects coming in so that he won't get absorbed and stop growing so that each project can be supervised more efficiently. The company requires growing intelligently and organized so that the results are effective.

Problem Statement

Amed Lopez Construction will transition from a small projects-based company to a large projects-based company due to its high demand of work and opportunity to grow. With the proper hiring and structure Amed Lopez Construction will have the opportunity to achieve market dominance in the construction industry and achieve future profitability.

Value Statement

The research is worth doing because it will give a small business an opportunity to grow successfully and effectively. At the same rate it will give the current key employees an opportunity for growth.

Background

The current state that Amed Lopez Construction is in will not allow for other projects and current projects will require Amed to stay at the job sites more time leaving some projects unattended. Every company's priority is to make the customer happy in order to make money. This opportunity relates to an organizational management concern because compliance will be an issue if the projects are not supervised and delegated properly.

Unfortunately, some ethical issues may be associated with growth and restructure. Of the current 24 employees that exist, there will have to be some promotions and some lay offs. There will need to be key employees that will always be on the payroll whether the company expands or reduces in size being it is seasonal type of work. Sub-contractors will be in charge of a specific job and therefore will replace some of the current personnel. There is need for a transition in the way its current company structure runs and the way it should run to accommodate a profitable and successful growth.

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