Virginia has an entrepreneurial mindset that has made her work through establishing her company. She has faced challenges of criticism from friends and encouragement from different personalities including other entrepreneurs. However, in her challenge on hiring another person to help her manage the business and the administration, she has complications, which have received similar response from friends and colleagues as the establishment of the company. She needs to take a decision on whether to hire or not, especially that she lacks management and administration skills.
Analysis and Evaluation
After establishing her company amidst the criticism of friends and colleagues, Virginia ignored them and decided to establish her company. Her knowledge and experience with the European decision making procedures, her experience with different countries and projects funded by the European financers, and her entrepreneurial spirit ensured that she managed to establish her company. She had earlier feared competitions from differently established companies. She also feared the economic crisis, which her colleague also advised her would not be the right time to set up a business. Virginia had the strengths that she had earlier advised different companies, and they received funding for their projects. She was also capable of managing the company to success in the earlier stages before the work became too much.
Her constant travels between Brussels and Canary Island would be unhealthy for the business. This could lead to failure considering the increasing volume of work at the company. Even though Virginia intends to register for a master’s degree in business management and administration, the costs and time to pursue the course would take much of her time, which would not work in time to handle the current business situation. Therefore, she needs to hire another person.
Alternatives
Virginia has two alternatives to choose. First, she can hire a qualified and experienced person for the post of management and administration. The advantages are that the person will bring his expertise and experience to the company to handle the increasing work load. The person can also handle matters when Virginia is traveling abroad. The disadvantage is that the person would require much money for salary, which the company might not afford to pay.
Second, Virginia could hire a person with little qualifications and experience in business management and administration. The advantage is that the company could easily afford the salary for the new personnel. The disadvantage is that the person might lack the capacity required to handle the company matters, especially since Virginia would be constantly travelling. The cost of training the person would also affect the company negatively.
Plan of Action
Europa Consultancy” Ltd should choose the first alternative. Virginia should post an announcement for the vacancy in her company for the management and administration post and set a deadline for the applications. Provide a date for the interview and hire experienced personnel to assist her in finding the right person for the job. The minimum requirements for the job should be a master’s degree in business management and administration, a minimum of four years experience in a similar donor funded project, and proof of prior excellences. She should pay the new hired staff from the capital since she will get the returns if she hires the correct person. *Whiten one week,* she should conduct the interview and select the right person. *Whiten three months,* orient the new employee to the company and its operations for company specific procedures.
Reference:
Perello, M., Dobarro D. L. (2011). A micro consultancy with European business: The case of “Europa Consultancy” Ltd. in S. Kunev, Galankis & P. Gkioura (Eds). Case studies book on Entrepreneurship and innovation and business creation and management (Case 5.6). Retrieved from http://www.scribd.com/doc/58957824/Case-Studies-Book-on- and-innovation-and-business-creation-and-management
