Ppac Resources Case Study

PAC Resources was founded in 1994 by the current CEO, David Dukakis. PAC Resources is a small company that manufactures high quality components that are specialized for the computer industry. Cliff McNamara was brought on very early by David Dukakis to be the chief financial officer. McNamara had a strong background in accounting and was well trusted by Dukakis. They had made a great team, McNamara had managed the business while Dukakis had come up with the ideas and design of the specialty components. When PAC had first started up they were located in a small rented building in a strip mall and now the company has its own contemporary facility, that employs 835 full-time staff. PAC had survived the latest downfall in the market because there they were able to corner the market with their high-quality, specialized products. PAC produces and sells its own products to a small customer base within the United States and Asia. This customer base is only a small percentage of PAC’s revenue, the majority of their profits, about eighty three percent, comes from one manufacturer, who PAC builds original specialty components for. Having a huge source of your revenue coming from a single source is very worrisome

Patricia Harris was the HR director at PAC for many years and had recently decided to take an early retirement. When she was the director her management style was troublesome, she had her favorites and employees in the HR department had found Harris to be unfair and harsh. Kathy Davis is PAC’s benefits coordinator and also one of Harris’s favored. When it came to Davis, no perk was too much. Harris had teamed up with John Culbertson, the compensation manager, to establish a merit bonus plan in her early years at PAC. The plan had been successful in accomplishing objectives and maintaining costs but it was still an issue within the company and most of all in the HR