Question: hello i need you to read the situation then write...
Hello, I need you to read the situation then write one page of information to cover two questions.These will be in the bottom. Please make sure its 1 full page! Thanks!
As area public relations manager for Ramsey Steel, you are
concerned about the increasing volume of local publicity about air
pollution (mostly slanted and inaccurate) in the daily press and
over the broadcast media. Prior to now Ramsey has not been
specifically mentioned in the publicity. Today’s papers, however,
reveal that your company has been selected “Polluter of the Month”
by the county’s Pollution Control Officer, Dr. Mary Smith. No
Ramsey personnel received any communication whatsoever from Dr.
Smith prior to the public announcement. IN the news statement that
appeared, Dr. smith declared that her office had received more
complaints about the Ramsey plant than any other company during the
Ramsey has a massive steel mill on the bayou with fourteen open-hearth and four electric furnaces. Each costs millions of dollars. Ramsey has long been aware of the potential pollution problem. The company’s first Pollution Control Director was named 36 years ago. The open-hearth furnaces present major technical difficulties in collecting and controlling air emissions. Even though the effectiveness of pollution control efforts on open-hearth furnaces will never match the levels of the electric furnace systems, the company is actively testing new technologies and is committed to investigating in systems that are effective on the open-hearth models. In the areas where these furnaces are located, Ramsey installed new overhead systems, including a $500,000 High Velocity Centrifugal Separator; however, the separator was found to be insufficient. Subsequently, additional equipment including a Baghouse and spray chamber costing $1 million were used.
Locally, the company has adopted a policy of building only electric furnaces to replace the open-hearth furnaces. Recently, two additional electric furnaces were built at the local works following two years of expensive research and another two years of construction time. At a cost of $2.5 million, new smoke control devices know as High Energy Scrubbers were installed and are doing an excellent job. Scrubbers also will be installed in the two older electric furnaces at an additional expenditure of $2 million.
The economics of the steel industry establish certain parameters relative to the cost of furnace installation. With an investment of $50 million in open-hearth furnaces, requiring $40 million - $50 million of immediate cost, to install new electric furnaces would be prohibitive. Costs of production would raise product prices so that the company could not be competitive and could not make a profit.
Ramsey has, despite the economics of the situation, made a policy decision to replace all the open-hearth furnaces with electric furnaces of equal or greater capacity. Two open- hearth furnaces were permanently removed from production with the installation of the two new electric furnaces. The company has set a timetable for replacing the remaining 12 open-hearth furnaces within 20 years and has committed to reducing emissions from its furnaces if a news technology becomes available during that period.
After the initial furor of being declared “Polluter of the Month” has subsided, Ramsey’s plan manager expresses concern about any adverse effects the publicity may have had upon the company’s future. The plan manager want to preserve the company’s reputation as a reliable company, properly concerned about the public’s well-being, and believes that the charges were unfair in light of the company’s massive efforts to control air pollution.
Q1: Write the problem statement.
Q2: What goal and objectives would you suggest to your management to address this issue?