Company Performance
Chester Company's financial performance overall is doing very strong relative to competitiors. Performance analysis indicates that it is leading among competitiors in the market share that is captures, with 26% overall, both low and high. Chester company had very high sales, in at $108,000, which is higher than any other competitor in the industry. Its closest competitor reported relative figures of $79, 802.00 in the market. While sales seem to be incredibly strong, the real test of a company's strength, however, is to match these against costs. Chester's performance deflates somewhat when we consider the fact that its variable cost structure is among the highest in the industry as well, with a reported figure of $71,792. Its gross profit then reduces to $36, 208 which is not far beyond its closest competitors in the industry. Chester appears to match industry performance with respect to its human resources data. It sustains a staff at a consistent level at 570 employees for the 1st and second shifts, with zero percent turnover. Its turnover rate falls in late with its competitors at 8.4%, which is matched by Baldwin, and is lower than Digby, Erie and Andrews (who meet this figure at 9.9%, 8.7% and 8.7% respectively. Chester's secret may fall in line with greater investment in recruiting costs at a robust figure of 609, which is greater than industry standards. This wisdom in management is also reflected in the TQM data. Chester received positive material cost reduction over the previous fiscal year by 5.5%, a labor cost reduction of $2.21% and a demand increase of 4.31%. While these figures are all positive, the one thing to watch for is the fact that its demand increase over the past year remains less than half or greater to two of its four competitors.
