Hazel had worked for the same Fortune 500 company for almost 15 years. Although the company had gone through some tough times, things were starting to turn around. Customer orders were up, and quality and productivity had improved dramatically from what they had been only a few years earlier due to a company-wide improvement program. So, it came as a real shock to Hazel and 400 of her coworkers when they were suddenly terminated following the new CEOs decision to downsize the company.

After recovering from the initial shock, Hazel tried to find employment elsewhere. Despite her efforts, after 8 months of searching she was no closer to finding a job than the day she started. Her funds were being depleted and she was getting more discouraged. There was one bright spot, though: She was able to bring in a little money by mowing lawns for her neighbors. She got involved quite by chance when she heard one neighbor remark that now that his children were on their own, nobody was around to cut the grass. Almost jokingly, Hazel asked him how much hed be willing to pay. Soon Hazel was mowing the lawns of 5 neighbors. Other neighbors wanted her to work on their lawns, but she didnt feel that she could spare anymore time from her job search.

However, as the rejection letters began to pile up, Hazel knew she had to make a decision. On a sunny Tuesday morning, she decided, like many others in a similar situation, to go into business for herself taking care of neighborhood lawns. She was relieved to give up the stress of job hunting, and she was excited about the prospect of being her own boss. But she was also fearful of being on her own. Nevertheless, Hazel was determined to make a go of it.

At first, business was a little slow, but once people realized Hazel was available, many asked her to take care of their lawns. Some people were simply glad to turn their work over to her; other switched from professional lawn care services. By the end of her first year in business, Hazel knew she could earn a living this way. She also performed other services as fertilizing the lawns, weeding the gardens, trimming shrubbery. Business became so good that Hazel hired two part-time workers to assist her and, even then, she believed that she could expand further if she wanted to. In what ways are likely Hazels customers most likely to judge the quality of her lawn care services?

1. What are some of the trade-offs that Hazel considered relative to:
2. Working for a company instead of for herself?
3. Expanding the business?
4. Launching a website?
5. The town is considering an ordinance that would prohibit putting grass clippings on the curb for pickup because local landfill cannot handle the volume. What options might Hazel consider if the ordinance is passed? Name two advantages and two drawbacks of each option.
6. Hazel decided to offer the students who worked for her a bonus of $25 for ideas on how to improve the business, and they provided several good ideas. One idea that she initially rejected now appears to hold great promise. The student who proposed the idea has left and is currently working for a competitor. Should Hazel send that student a check for the idea? What are the possible trade-offs?
7. All managers have to cope with variation.
8. What are the major sources of variation that Hazel has to contend with?
9. How might these sources of variation impact Hazels ability to match supply and demand?
10. What are some ways she can cope with variation?
11. Hazel is thinking of making some of her operations sustainable. What are some ideas she might consider?What competitive advantage does Hazel have over a professional lawn service?
12. Hazel would like to increase her profits, but shedoesnt believe that it would be wise to raise her prices considering the current state of the local economy. Instead, she has given some thought toincrease productivity.
13. Explain how increased productivitycould be an alternative to increased prices.
14. What are some ways that hazel could increase productivity?
15. Hazel is thinking about the purchase of new equipment. One would be power sidewalk edgers. She believes edgers will lead to an increase in productivity. Another would be a chain saw, which would be used for tree pruning. What trade-offs should she consider in her analysis?
16. Hazel has beenfairly successful in her neighborhoods, and now wants to expand to other neighborhoods, including some that are 5 miles away. What would be the advantages and disadvantages of doing this?
17. Hazel does not have a mission statement or a set ofobjectives. Take one of the following positions and defend it:
18. Hazel does not need a formal mission statement andobjectives. Many small businessesdont have them.
19. Shedefinitely needs a mission statement and a set ofobjectives. They would be extremely beneficial.
20. Theremaybe some benefit to Hazels business, and she should consider developing one.