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Running head: PROBLEM SOLUTION: HARRISON-KEYES INC.
Problem Solution: Harrison-Keyes Inc.
Ayodeji Ajayi
University of Phoenix
September 16, 2008
Problem Solution: Harrison-Keyes Inc.
Harrison-Keyes is a global publisher of print products. The company was founded in 1899 and currently is regarded as a “leading publisher of business, scientific and technical information” (University of Phoenix, 2008). In recent years, Harrison-Keyes has suffered the woes plaguing the entire industry due to competition from low-cost retailers that has eaten into the profits of Harrison-Keyes.
As revenues of Harrison-Keyes are shrinking and are challenged, other companies that have advanced into the 21st century by publishing books online are generating more revenue. In an effort to revitalize the company, the board of directors of Harrison-Keyes recently hired a new CEO that has a vision to transform the company into to 21st century-global publisher.
As a part of the strategic management process, the company’s management has decided to implement a strategic plan that entails expanding into the e-book market. The new market has an earning potential estimated at $32 million by year 3 (University of Phoenix, 2008). The e-book project has experienced a sales declined to $40 million. The only outsourcing partner, Asia Digital, has halted operations due to massive flooding six months into the project; acceptance of the strategy by consumers and authors is uncertain, and financial projections are off by as much as 80%. The implementation plan lacks a control process, lack of contingency planning, missed deadlines and unhappy clients, and employee morale i ...