When Carol Teinchek and Bruce Marshall first started Sundown Bakery, the business was
fairly simple. Carol ran the shop front, while Bruce ran the bakery and ordered supplies.
When the business began to grow, Carol hired two part-time clerks to help out in the shop.
Marina had moved to the country 2 years ago from El Salvador, and Kim was a newly
arrived Korean who was working his way through college. Bruce hired Maurice, a French-
Canadian, as an assistant.
The ovens were soon running 24 hours a day, supervised by Maurice, who was now master
baker, and two assistants on each of the three shifts. Marina and Kim supervised the shop,
since Carol was usually too busy managing general sales distribution to spend much time
with customers. Bruce still spent 3 or 4 hours a day in the bakery whenever he could get out
of his office, but spent most of that time coordinating production and solving problems with
Maurice.
Within the next year, Sundown expanded from its original location, adding two new shops
as well as kiosks in local malls. Carol and Bruce hired a new operations manager, Hans
Mikelson, who had formerly been regional manager of a national chain of coffee shops.
Mikelson had plenty of new ideas about how to operate expanding business: He had a
website created, added an extensive range of drinks and meal items to the menu, and
instituted two dress codes – one for all the counter people and another for kitchen
employees. He also put together an employee manual to save time orienting new
employees. All of these changes were announced by memos from Mikelson, which were
distributed to employees by the store managers.
The expanding size of Sundown led to change in the company. The family feeling that was
strong when Sundown was a small operation was less noticeable. The new employees
barely knew Bruce and Carol, and, as a result, there was less give-and-take ideas between
owners and workers.
Mikelson’s memos on the dress code and the employee manual created a crisis. Old-time
employees were furious about receiving orders from “the bureaucrats,” as management
came to be called. Bruce and Carol recognized the problem and wanted to keep the lines of
communication open, but weren’t sure how to do so. “I’m just a baker,” Bruce confessed in
exasperation. “I don’t know how to run a big company.”
Another set of challenges grew out of the changing character of the employees. In the
original location alone, Sundown now employed workers from seven different countries.
Jose, who was born in Brazil, confessed to Bruce that he felt uncomfortable being managed
by Carol. “It’s nothing personal,” he said, “but where I come from, a man doesn’t take
orders from a woman.” The Sundown employee profile was different in other ways. Two
assistant bakers were openly gay; one of the sales clerks got around by wheelchair.
Carol, Bruce and Hans know that good products alone aren’t enough to guarantee the
continuing success of Sundown Bakers. They need to improve the quality of
communication among the growing team who make and sell their products.