wholly owned subsidiary of Duplox Copiers

wholly owned subsidiary of Duplox Copiers

wholly owned subsidiary of Duplox Copiers

Duplox Copiers Canada Limited Your Client

Your client is Duplox Copiers Canada Limited, a wholly owned subsidiary of Duplox Copiers Incorporated, which is a large multinational firm based in the United States. Duplox Copiers Canada Limited (DCCL) is responsible for the sales, installation, and servicing of Duplox-brand copiers, but not their manufacturing, which is carried out in other countries. DCCL has about 1,200 employees, most of them located in branch offices across Canada.The head office for Duplox Canada is located in Toronto. Chart 1 shows the organizational structure at head office. The executive committee consists of the CEO and the two vice presidents. The company has six departments: Marketing; Finance and Administration; Human Resources; Inventory Management; Technical Services; and Technical Training and Support.

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Chart 1Duplox Copiers Canada Limited Organization Chart Toronto Head OfficeChief Executive Officer Shane FriggstadVice President Vice President Marketing & Field Services Administration Jessie Schlamp Kevin Dougan Director of Director of Director of Director of Director of Director of Marketing Finance & Human Inventory Technical Technical Adminis-tration Resources Management Services Training & Support Kim Ryan Sandra Nathania Kerry I leather Slimmon Folkersen Laird Nguyen Edeen KellerShana Friggstad, the President and Chief Executive Officer of Duplox Copiers Canada Limited, has requested your consulting services, and she is delighted that your team was assigned to her firm. DCCL is experiencing serious performance problems: employee turnover is up and morale is down; customer satisfaction is down and complaints are up; and, most importantly, revenue and profits are both down. President Friggstad knows that the compensation system used by a firm can contribute to all these problems, and since compensation is a major cost item (currently accounting for about 44 percent of the firm’s costs) she suspects that the firm’s compensation system may be implicated in these problems. But she can’t be sure without your help.

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