28 Jun Discusses product quality changes – CEO of Lazboy, Neosho
uestion
This posting discusses product quality changes.
You are the CEO of Lazboy, Neosho, Missouri. You manufacture both wood and upholstery products and have yearly sales in excess of $100 million. When you apply conventional finish to the wood, you use traditional lacquers. The California Division of Lazboy has changed from conventional lacquers to a waterborne finish “called magnalox” due to pending EPA legislation and the go “green movement.” You decide to change your finish to a “waterborne” to be proactive. Within 3 months of this change you notice your customer complaints are up 12% (directly related to the finish). You are concerned. Lazboy’s reputation is on the line. Provide 4 immediate corrective actions you will take to maintain the credibility of Lazboy’s reputation? Briefly discuss.
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