Jon Hirschtick’s New Venture
1) Key Decisions or Issues faced by the Decision Maker
The resignation of Jon Hirschtick from Computervision in August 23, 1993 led to the development of his vision of venturing into new horizons. This decision entitled him to encounter or face a number of issues, crucial to his decision of developing a new business that would more importantly, cater to the needs of the market. Primarily, Solidworks, the new business venture of Jon Hirschtick, was concerned of producing and developing a solid modeling software that worked well enough without having similar research designs with Computervision, thus, in this regard, the business needs to attract talented developers to help with the research and development process. This helped recognize one of the basic needs of the business, which is to have a strong team with good people, who are CAD masters. However, this seemed to be a big problem because the start-up business entails the lack of pay, while the business focuses on the right output, which can become a dilemma for any individual who would be joining the venture.
Secondly, the business faces issues in developing their business plan, as it entails a number of revisions, which covered issues on positioning, competitive strategy, and functionality. This involved making good impression from venture capitalists, which will help fund the new business, thus, entails major revisions and financial support. Third, the business was faced with issues in having a good proof of concept, which forced the team to show demonstrations of their product. This involves the dilemma of choosing right individuals who would be shown the new prototype of the solid modeling software, thus, becoming a big risk for the team. Fourth, one of the major issues being faced by the business is the team adjustment that must be done when joined the company. His addition to the team began a team characterized with having more different styles, however, united in terms of philosophy and vision. Lastly, the major issue the business was faced with involves the financial support they would be asking from venture capitalists. However, the company must be able to obtain enough money to fund their research and product development, without risking the financial resources for other plan projections.
2) Key Tradeoffs of the Alternative Approaches
An alternative approach in pursuing the new business venture is Solidworks’ ability to use recent advances in software architecture and new hardware platforms, which was not tied to antique technology. A key tradeoff of this alternative approach is attracting talented developers, from different CAD industries, enabling the new company to function and grow. Another alternative approach of Jon was his recruitment style, which may seem risky. However, a key tradeoff with such a recruitment approach is the mere fact that he was able to talk through needed individuals for the company, and focus on developing his proof of concept and business plan. An alternative approach of Jon was to continuously revise his business plan I order to suit the standards and make a good impression on the part of the venture capitalists. Although this may seem risky and expensive on the part of a growing or starting company, Solidworks was able to be contacted by an established CAD software company, willing to acquire the team and the company’s prototype, thus, showing respect to the vision and talent of the company. Lastly, another alternative approach the business exhibited involved the addition of on the team, thus, featuring a team having stylistic differences due to imbalance. However, such presence of differences presented alternatives or options for decisions in solving problems.
3) Recommendations
One recommendation for the company is to find other alternatives from which financial resources can be obtained for its sustenance. Aside from direct funding and support for venture capitalists, the company can opt to seek help and assistance from the government, which can provide financial assistance to the company. In payment of this, the company can develop a particular software that would suit the functions of the government, thus, applying the company’s expertise in the process. Since the company is continually growing, the company should also develop its human resource management, which would be responsible for the recruitment, maintenance, and empowerment of its employees in the company. This would involve focusing on physical and human resources that would help the company sustain its operations. Aside from direct demonstrations with venture capitalists, the company can also opt to feature demonstrations in public through media and television, to provide awareness from its target market. This also involves holding conferences and symposia to be able to expose their product and to introduce their company, with their vision and mission to the industry.
Credit:ivythesis.typepad.com
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