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Wilson Chemicals Ltd.
Amrou Ahmed
Fréderic Faye
Hugo Cottereau
1
Overview
• Wilson (Ghana), a subsidiary of Wilson Chemicals
based in England
• Established in Ghana since 1962
• Producing chemical fertilizers

2
Characters
• Gerald Howard, President of Wilson Chemicals
• George Teele, Vice President of the International Division

• Ian Thomas, Director of the West African Division
• Joseph Okono, President of the Ghanian Subsidiary

3
Documents
• Dialogue between George Teele, Gerald Howard and
Ian Thomas
• Exhibit 1 : cover letter from Firmin and Goodheart
• Exhibit 2 : letter from Okono to Howard
• Exhibit 3 : gross sales of the company on 10 years
• Exhibit 4 : summary of measures taken by the
Rawlings Government against corruption

4
Situation
• Business climate in Ghana is tough, but Wilson
Chemicals has been doing well
• Ghanian economy is mostly based on agriculture
 demand in fertilizers is high

5
6
7
Joseph Okono

Millions of Pounds Sterling

Gross Sales
Wilson Chemicals (Ghana) Ltd
20
18
16
14
12
10
8
6
4
2
0
1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983

• Arrived in 1972 (12 years of
service)
• 10% sale increase per year
• Trippled profits in 10 years
• Ability to work with every
government
• Well-liked from employees
and clients

8
The Crisis
• £50 000 were used as incentives by Mr. Okono

• New measures against corruption

9
Okono’s response
• The Ghanian economy is worse than ever and bribing
is the only solution
• The subsidiary’s goods cleared customs in days,
whereas other companies were waiting for months

• The subsidiary do have real results
10
Rawlings government’s threat
• The new government is not afraid of firing civil
servants
• If Mr.Okono gets caught, consequences would be
severe

11
SWOT Analysis
Internal Origin

Harmful

Strengths
Weaknesses
Okono is appreciated.
Use of bribery.
He works well with every government Okono has too much power.
and is a skillful manager.

External Origin

Helpful

Opportunities
Okono is a native Ghanian manager.

Threats
New government’s policy.

12
Problem presentation
Considering his excellent results, his controversial methods
and the new government’s policy, what should we do?

13
Option 1 : status quo
Advantages

Drawbacks

Keep the sales high and make Tensions with the Rawlings
profit.
government.
Bad reputation for the whole
company.

14
Option 2 : Keep working with Okono without
using bribery
Advantages

Drawbacks

Keep an excellent manager Results probably won’t be as
and possibly good sales.
good as they were in the past.
Take the risk that he leaves
the company by imposing him
another way of working.
15
Option 3 : Fire Okono
Advantages

Drawbacks

Preserve
the
company’s Results probably won’t be as
reputation and the good good as they were in the past.
relation with the new
government.
Lose an extremely skillful
manager.

16
Option 4 : Evil is done, sell the subsidiary
Advantages
Make fast cash.

Drawbacks
Loss of all possible future
profits from the subsidiary.

Company keeps its name
clean.

17
Option 5 : Bribe the new government
Advantages
Sales growth is maintained.

Drawbacks
If they fail, they’ll lose all
credibility.

The company will maybe have
to pay less than 50K£.
They’ll have serious legal
problems.

18
Options
Option 1 : Status quo
Option 2 : Keep working with Okono
without bribery
Option 3 : Fire Okono
Option 4 : Evil is done, sell the subsidiary
Option 5 : Bribe the new government

19
Recommendation

Option 2 : Keep working with Okono without bribery

20

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Presentation wilson chemicals ahmed-cottereau-faye

  • 1. Wilson Chemicals Ltd. Amrou Ahmed Fréderic Faye Hugo Cottereau 1
  • 2. Overview • Wilson (Ghana), a subsidiary of Wilson Chemicals based in England • Established in Ghana since 1962 • Producing chemical fertilizers 2
  • 3. Characters • Gerald Howard, President of Wilson Chemicals • George Teele, Vice President of the International Division • Ian Thomas, Director of the West African Division • Joseph Okono, President of the Ghanian Subsidiary 3
  • 4. Documents • Dialogue between George Teele, Gerald Howard and Ian Thomas • Exhibit 1 : cover letter from Firmin and Goodheart • Exhibit 2 : letter from Okono to Howard • Exhibit 3 : gross sales of the company on 10 years • Exhibit 4 : summary of measures taken by the Rawlings Government against corruption 4
  • 5. Situation • Business climate in Ghana is tough, but Wilson Chemicals has been doing well • Ghanian economy is mostly based on agriculture  demand in fertilizers is high 5
  • 6. 6
  • 7. 7
  • 8. Joseph Okono Millions of Pounds Sterling Gross Sales Wilson Chemicals (Ghana) Ltd 20 18 16 14 12 10 8 6 4 2 0 1973 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 • Arrived in 1972 (12 years of service) • 10% sale increase per year • Trippled profits in 10 years • Ability to work with every government • Well-liked from employees and clients 8
  • 9. The Crisis • £50 000 were used as incentives by Mr. Okono • New measures against corruption 9
  • 10. Okono’s response • The Ghanian economy is worse than ever and bribing is the only solution • The subsidiary’s goods cleared customs in days, whereas other companies were waiting for months • The subsidiary do have real results 10
  • 11. Rawlings government’s threat • The new government is not afraid of firing civil servants • If Mr.Okono gets caught, consequences would be severe 11
  • 12. SWOT Analysis Internal Origin Harmful Strengths Weaknesses Okono is appreciated. Use of bribery. He works well with every government Okono has too much power. and is a skillful manager. External Origin Helpful Opportunities Okono is a native Ghanian manager. Threats New government’s policy. 12
  • 13. Problem presentation Considering his excellent results, his controversial methods and the new government’s policy, what should we do? 13
  • 14. Option 1 : status quo Advantages Drawbacks Keep the sales high and make Tensions with the Rawlings profit. government. Bad reputation for the whole company. 14
  • 15. Option 2 : Keep working with Okono without using bribery Advantages Drawbacks Keep an excellent manager Results probably won’t be as and possibly good sales. good as they were in the past. Take the risk that he leaves the company by imposing him another way of working. 15
  • 16. Option 3 : Fire Okono Advantages Drawbacks Preserve the company’s Results probably won’t be as reputation and the good good as they were in the past. relation with the new government. Lose an extremely skillful manager. 16
  • 17. Option 4 : Evil is done, sell the subsidiary Advantages Make fast cash. Drawbacks Loss of all possible future profits from the subsidiary. Company keeps its name clean. 17
  • 18. Option 5 : Bribe the new government Advantages Sales growth is maintained. Drawbacks If they fail, they’ll lose all credibility. The company will maybe have to pay less than 50K£. They’ll have serious legal problems. 18
  • 19. Options Option 1 : Status quo Option 2 : Keep working with Okono without bribery Option 3 : Fire Okono Option 4 : Evil is done, sell the subsidiary Option 5 : Bribe the new government 19
  • 20. Recommendation Option 2 : Keep working with Okono without bribery 20