• It increases customer satisfaction so in future; if a new product is launched customers accept it and this is out motto. 7.3. Rationale of Contingency Plan. A contingency is an unexpected event or situation that affects the financial health, professional image, or market share of a company. It is usually a negative event, but can also be an unexpected windfall such as a huge order. Anything that unexpectedly disrupts a company's expected operation can harm the company even if the disruption is because of a windfall. That is why companies create contingency plans for many possible situations, so company management has a pre-researched plan of action to immediately follow. Some threats usually covered in contingency plans are crisis management, business continuity, asset security, mismanagement and reorganization. ( ) Contingency plan involve preparing for predictable and quantifiable crises. Preparing for unexpected and unwelcome events.( ) The need for setting up contingency plans is derived from a thorough analysis of the risks your organization faces. It is also useful in thinking about new and ongoing projects: what happens when Plan A is going as expected? …show more content…
(Plan B) • During training, such environment should create so they take active participation and trainer should explain and give ideas about training before they start. • Old staff think that even they are working for a long-time even then they need training, why so. As in this, circumstances they should be motivated and encouraged for training and explain them it is beneficial for them to go ahead and for good position in organisation. Morale staff Create jealous among employees due to promotions and different wage rate. High target to increase their morale can lead to stress and staff Turnover. Here to avoid the problem company either follows equal wage rate and gives promotion to those who are working for long-time. Target should be set according to the capacity and ability of employees so they can achieve that feel motivated. Sales Promotions Cost of advertisement: due to high cost per unit cost increase and instead of attracting customers it reduces no. of customers. New items may not work and organisation has to suffer from big loss. Find out any other way except media because it costing very high. For advertisement on own food packets and in premises.