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This week has been somewhat of a mixed bag for our team. We have seen an almost 20 per cent increase in our sales revenue which is certainly promising. However, we have also experienced a concededly negligible increase in our SHV and almost no increase in our profit – despite spite the growing sales levels. I will try focus on the issue of our profit margin without giving too much of my companies strategy away. Before I start that, I must admit how relevant I found this week’s reading to this issue I have encountered this week.


Okay to start off with, what could be the causes of this problem? Well clearly, without getting too specific her, our costs were not proportionate to our increase in sales revenue (largely contributed to excessive idle time), and consequently our profit hasn't raised- perhaps the strongest reason for our underwhelming increase in SHV. This is almost certainly the superficial, but does the reason for this run deeper? 

Well this could come down to my conceptual skills as well as the skills possessed by my team (Katz, 1955). I for one am not used to any problem solving exercise such as MikesBikes so everything about this am a learning experience for me. Particularly after this week, I can see that every decision is absolutely inter-related and decisions to increase sales have to be supported by the decisions made for the rest of the company. In this instance, the production side was not matched to the sales, and we eroded our profit. My lack of vision and perhaps a lack of vision from the team have eroded our profit.

 Therefore I will try making contribute my decisions while keeping the perspective of the wider company in mind. I will take these experiences on board and try using them to develop myself. If these experiences are not taken on board, then the same problems may occur. The ability to learn, rather than what you specifically learn, is ultimately more important. Perhaps this is what makes the best manager or executive: not just someone who applies a generic leadership or management strategy, but people who can develop themselves, giving them the capacity to use their experiences to enhance their ability to learn and making them as competent as possible. I am still at a loss as to how I can consciously enhance these experiences and turn them into development, but I suppose through reflections such as these, the lessons of these experiences will become clearer.


However it must be said, our team is certainly not down and out and the coming weeks should be exciting (and stressful)



Davies, J., & Easterby-Smith, M. (1984). Learning and developing from managerial work experiences. Journal of Management Studies, 21(2), 169--182. doi:10.1111/j.1467-6486.1984.tb00230.x

Katz, R. L. (1955). Skills of an effective administrator. Harvard Business Review


  1. Hi Henry,

    I can definitely relate as I have problem solving of this difficulty before and I too am just taking in new knowledge every week.  You have used Daudelin's framework well which flows through your journal well and you have also linked the readings to your Mikes Bikes experience.  However, next time you could try talk about more theory.  Hopefully next week's readings will resonate more with you.  Other than that, hopefully you guys are more successful in your decision making. =)

  2. Sorry for the late comment.

    A well written journal, I can clearly see the problems you and your group is going through and I can relate to my own and group situation. Also I can see the you applied Daudelin's framework and the solutions to your problems. The readings relate to your companies performance, highlighting that it may be your skills or team members skills which let your sales down. One aspect you can concentrate will be the future strategies. For example, how would you increase sales, what decisions are you going to make, what tradeoff will you have by decreasing your idle time? 

    Overall great reflection and keep it up (smile)