unpaid debt case 2 final

7/30/2019 Unpaid Debt Case 2 Final

1/15


2/15

Wilson beeson President of Americana

Marco Owner of Manufacturing plant

Wilson and Marco close friendship/work

relations since 15 years.Marco model customer and prompt payer

Marco affected by Spanish economicfaltered.

Unpaid debt accounted to $4mn. in eightmonths


3/15

Stimulus Event

Problem Definition

Information Search

Generating alternatives

Evaluation of alternatives

Choosing alternative

Implementing Decision

Gap performance

Board has instructedWilson to solve the debt


4/15

Stimulus Event

Problem Definition

Information Search





Gap performance

Opportunity:- unpaid debt moneycould be used for company.

Performance:- Top customer notbeing able to pay the bill.


5/15

Stimulus Event

Problem Definition

Information Search





Gap performance

How will Wilson acquire paymentfrom his close friend and topcustomer.


6/15

Stimulus Event

Problem Definition

Information Search





Gap performance

Primary information: Realistic situation about the market

scenario. Financial ability of Quintana through

companys representative.

Secondary information:News/Business Magzine/


7/15

Stimulus Event

Problem Definition

Information Search





Gap performance

Debt Settlement Part instalment payment Collateral Security (land

mortgage, personal assetmortgage)


8/15

Debt settlement

Debt settlement

Marco can be asked to pay amount lower then the total

amount of debt as settlement according to his capacity.

The time required and the resources required for settlement

of this unpaid debt would be saved


9/15

Part payment

Part payment/Installment method in

order to reduce the burden of lumpsum

payment.


10/15

Collateral Security (land mortgage,personal asset mortgage)

Ask for a collateral security as asecurity against the recovery of the

payment and a certain tenure should be

given rendering the payment.


11/15


12/15

Wilson should have a one on one conversation with

Marco

Offer a low debt settlement option as a goodwill

gesture by the company for being a model customer

Marco should be given a credit period time to arrange

for the funds.


13/15

Wilson has taken the Decision under Uncertainity

The type of decision made could be understood from

Strategy used:

Rational

Type of problem

Non-structured

Type of manager

Sensing-thinking manager


14/15Developed by MET CETProf. Vikas Naik, 201014

Broad, Non-structured,Infrequent, MuchUncertainty

Both structuredand unstructured

Frequent,Structured,

Repetitive,Much certain

Programmed Decisions

Non-Programmed Decisions

ManagementLevel

TypeofProb

lem


15/15

unpaid debt case 2 final

Documents