Jerry, the president of a company that manufactured precision machine parts, noticed that the business environment had changed dramatically during the past four years. Although his company had done reasonably well in the aerospace industry, customers were taking longer to make buying decisions. When customers did commit to making purchases, they placed smaller orders and pushed for rock bottom prices.

Competitive pressures were felt throughout the company. Jerry was busier than ever meeting with customers, old and new, and trying to showcase products and services to domestic and international prospects. At the same time he was also trying to reduce costs, improve processes, provide innovative solutions, and motivate employees. As president, Jerry’s challenge through this changing customer behavior and the associated employee frustration was to ensure that his actions were consistent with his intended strategic direction and corporate mission.

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