A Case for Analysis: Catastrophe or Opportunity?

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A Plan for Planning –
Current Scenario

Based on the nature of the
fire, the factory is deemed a total loss. 
All personnel have been accounted for, so there are no casualties.  A “rebuild and recovery” team needs to be put
into place, to formulate plans going forward. 
This team should involve the key stakeholders such as Jake, the city of
Farnsworth, the immediate team assigned to assist with the strategy as well as
bankers and client. 

The company holds a patent
for this new product “ArticCloth” which will ward off competitors to some
extent.  All aspects of the business need
to be analyzed to plan and negotiate with current clientele where orders might
still be outstanding.  It is very
important to save the relationships established which will aid in further
growth and development of this landmark company.

The company has been
planning an expansion as part of their future strategy.  A review of that strategy is necessary to see
what has been implemented or what was on task. 
The primary focus here is to not disrupt operations, so as to keep current
orders and skilled staffing.  There are
several textile companies that fell on hard times in neighboring towns, where
the towns are struggling to fill the vacant factories.  We will explore the option of temporarily
relocating operations to one of these up and running factories, preferably
closest in proximity in consideration of the commute to our current staff.

SWOT Analysis



Motivated Leader

The success of Family Fabrics sustains the town

Family and management is well respected in the town.

Success of the new product is at an all-time high as
demand  is high

Jake is a great Financier

Excellent relationship with Bankers & Lenders

Product is patented

The loss of this business can affect commerce in the

Fierce Competitors

Stress of the catastrophe on his workforce

Risk losing staff due to the disaster



Rebuild with the latest technology and upgrade factory

Utilize neighboring town vacant factory

Ensure your staff is on the same page to retain talent

Outsource some production temporarily

Foreign Competition

Technological Advancement

Competitors will try to develop similar product

Key Stakeholders

The main key stakeholders in
this case are:

Jacob Farnsworth the head of  “Family Fabrics Corporation”

City of Farnsworth, Massachusetts

Customers that drives the demand of the product

Jake is the owner of the
company for close to three decades and he knows business very well. The company
has seen some bad times but Jake has proved himself to be one of the most
competent people for running this company and keeping it alive during the tough
times of the textile industry.  He is the
mastermind behind this recent product that gave the company a big advantage
over its competitors.

Second main key stakeholder
is the city of Farnsworth, where the company is based. There is a huge demand
for the products sold by the company and the company has been the life line for
the city, especially since the resurgence of the business is driven by this new
product.  Any disruption to the business
could mean significant loss of revenue for the city, which would be indirect effect.  The stakeholder has a vested interest in the
livelihood of this company and will play a pivotal part in its comeback.  This could be in the form of tax breaks or
other incentives, benefiting the company while the rebuild and operate from a
temporary location.

The other is the customers
that the client served.  The loss of the
factory due to the disaster could not have occurred at a worst time.  They are entering into the winter months and
a low supply will trigger a high demand of this product.  That is why it is extremely important to find
temporary space so that continuation of production can be started. 

Strategic Plan – The Future

A meeting with all the stakeholders
is necessary.  This company being a “one
of a kind” business in the town as well as the lifeline itself sets him apart
and major players would want to be involved to bring this company back on its
feet.  Once the team is in place, they
can now decide on where they are today in the wake of the disaster as well as
where they want to be with the company for the future:

Continue with the existing product “ArticCloth”

Continue operations in neighboring town and which one is most

Upgrade of technology and equipment with the rebuild

Outsourced temporarily

Discontinue some lines and forge ahead with the product
driving the resurgence.

Once it is decided how the company will move forward,
then the strategy should be formulated and implantation of its goals and future
goals be set in place.  Even though this
company is face with such a disaster, it should resemble a company taking this
as an opportunity to change goals if necessary or to implement new strategies
towards the future:

Investigate every possibility of continuing market presence
through licensing of the patent or outsourcing

Take every advantage of the knowledge based displaced workers

Focus on responses to treat so as to maintain stance in the
market place

Advance technologically

For a successful process, they will need to combine
elements of the disaster leading to an emergency operation with answering and
stepping up to long term strategic prospects.


C., Jones, G., & Schilling, M. (2015), Strategic Management Theory: An
Integrated Approach
. Stamford, CT: Cengage Learning.

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