The internal weaknesses present at Zoto’s Family Restaurant include the absence of honesty and integrity amongst the managers and some workers, lack of accountability with finances, and lack of check and measures for the top leadership. The worker’s lack of integrity is seen in the manner in which the organization is run. The manager James Poll is an efficient and disorganized manager who has limited experience and no desire for the success of the business. Amanda Davis, the assistant manager is selfish and only concerned with her personal progress and not the success of the restaurant. Zoto’s case is an example of lack of qualification, ineffectiveness of the managers, and lack of a clear policy line on the part of the organization. In addition, Zoto’s family restaurant does not have financial statements prepared in accordance with the accounting principles. It is clear that the workers lack the generally accepted accounting principles on regarding to financial integrity.
The managerial recommendations that can help the firm improve its performance include calling a general meeting of all employees so that the issues affecting the firm are discussed and solution developed. In this meeting, the firm’s values will be reiterated. Workers will then be asked to pledge their support to the firms’ values. After the reiteration of the values, it would be a crime for anyone to go against the rules. After the meeting, measures such as installing cameras, having reconciliations of the account every morning before the beginning of the shift, and impromptu supervision from the general managers would be set in place to check on all the employees working for the company.
Work Cited
AICPA Code of Professional Conduct. (1988). Jersey City, NJ: American Institute of Certified Public Accountants.
IMA. (1997). Statements on Management Accounting: Objectives of Management Accounting, Statement No. 1B. New York: Institute of Management Accountants.
