Patricia Lontoc, Edwin Portugal, Ramon Ramos
Journal of Critical Incidents
January 01, 2015
Production and profit objectives were not being met by the two-week old Leonidas Mining Philippines Joint Venture with Gab International, USA. CEO Lito made an iPhone call to Ron, Director of Operations (Lito’s son) for a situationer. Ron reported that Peter, the Chief Operating Officer (COO), had angrily sent home the operations staff (the locals) without pay. The plant didn’t have enough raw materials for processing. Trucks were redeployed to a mine site covered with volcanic ash and breccia where a truck broke down, aggravating the situation. Lito asked Ron to join his meeting with the locals. Ron pondered what he could say or do before the meeting. He knew COO Peter’s strict command-and-control style of management signaled there is no time for kindness as Leonidas Mining teetered on the edge. The locals need t find the positives and not lose morale.