Bottlieb Innovations
Management Summary
Bottlieb Innovations is a small corporation owned and operated by George S. Bottlieb. George is the developer and designer of the Digital Geographer.
George is aided by his friend Jay Rosenburg, Jr. The two have been friends and co-workers for over four years. They have worked together at several semiconductor companies in San Diego.
George’s management style reflects his personality. All employees of the company are motivated by a personal stake in the company’s success. The company is not hierarchical, and all employees work together cooperatively to reach the company’s goals.
6.1 Management Team Gaps
The management of Bottlieb Innovations is young and enthusiastic. The founder and vice-president have excellent engineering and marketing backgrounds, but little experience in operations, finance, sales, and general business management.
As the company grows, it plans to hire an assembly supervisor towards the end of FY2001 and a product manager responsible for sales and business development in FY2002. Other management personnel will be added as needed.
6.2 Personnel Plan
The personnel table assumes slow growth in employees, and moderate pay raises. Production personnel will initially be contracted from temporary employment agencies to eliminate the overhead associated with benefits. The president and vice-president will have to assume several roles and “wear many different hats” during the first few years.
Salaries are quite low across the board. The company will institute an aggressive bonus plan, linked to exceptional company performance. The bonus plan, coupled with the opportunity to work for a company that has such tremendous growth potential, should help attract and retain key personnel. The personnel plan is shown in the following table.
| Personnel Plan | |||
| Year 1 | Year 2 | Year 3 | |
| Production Personnel | |||
| Supervisor | $6,000 | $30,000 | $35,000 |
| Assembler 1 | $0 | $24,000 | $27,000 |
| Assembler 2 | $0 | $12,000 | $27,000 |
| Other | $0 | $0 | $0 |
| Subtotal | $6,000 | $66,000 | $89,000 |
| Sales and Marketing Personnel | |||
| Product Manager | $0 | $30,000 | $40,000 |
| Other | $0 | $0 | $0 |
| Subtotal | $0 | $30,000 | $40,000 |
| General and Administrative Personnel | |||
| George Bottlieb, President | $32,500 | $60,000 | $66,000 |
| Jay Rosenburg, Vice-President | $13,500 | $54,000 | $60,000 |
| Receptionist / Administrative Assistant | $0 | $24,000 | $36,000 |
| Other | $0 | $0 | $0 |
| Subtotal | $46,000 | $138,000 | $162,000 |
| Other Personnel | |||
| Contractor, Mechanical Design | $1,000 | $5,000 | $5,000 |
| Contractor, PCB Design | $2,000 | $3,000 | $3,000 |
| Other | $0 | $0 | $0 |
| Subtotal | $3,000 | $8,000 | $8,000 |
| Total People | 3 | 7 | 7 |
| Total Payroll | $55,000 | $242,000 | $299,000 |
6.3 Organizational Structure
George S. Bottlieb, president and CEO, is responsible for product design, development, sales, and overall business management. Jay Rosenburg, Jr., vice-president, shares the responsibility for business management, with a particular focus on operations, marketing, and finance. Since the company is very small, both the president and VP will initially have to focus on tasks such as product assembly, packaging, order processing, and shipping.
6.4 Management Team
George S. Bottlieb, 28, president, had a successful career as an engineer before founding Bottlieb Innovations, Inc. George was employed as a senior application engineer at Conexus Systems and Riteon Electronics, focusing on complex video and cable modem integrated circuits. George has both a B.S. and M.S. in electrical engineering from Northern Illinois University.
Jay Rosenburg, Jr., 26, vice-president, is currently employed as a senior application engineer at Conexus Systems. He also worked with George at Riteon Electronics. Jay has a bachelor’s degree in electrical engineering from the University of California, San Diego, and expects to receive an MBA from California State University, San Marcos in December of 2000.
Britney Bottlieb, George’s wife, is a CPA. Although Britney is not an official employee of the business, she serves on the Board of Directors. The fact that Britney has worked as an accountant at several major companies in Illinois and California makes her an excellent resource for financial and accounting advice.
Albert Bottlieb, George’s father, also serves on the Board of Directors. Albert was formerly the president of Albert B. & Co., a large pinball manufacturing company. Having successfully managed a large manufacturing organization for several years, Albert’s insights and advice are very valuable to Bottlieb Innovations.
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