problems. The committee or board should be composed of people from the company and various representatives of community organizations.
Once both company capabilities and community needs are established, then some form of selection process must be established for determining which project or projects will be undertaken by the company. The Dayton Hudson Company uses a system of six criteria, which it rates on a one (highest) to five (lowest) scale, in order to determine which projects and charitable grants it will support. The six criteria used are: (1) quality of leadership, (2) quality of management, (3) financial strength and stability of the institution, (4) potential favorable impact of grant in relation to size of grant, (5) degree of risk involved in awarding the grant, and (6) overall rating, based on comparison with other grants previously awarded, immediate needs of the grantee, and merits of supporting a particular project.14 In making these selections and decisions they must be made with the same care and involvement as that devoted to other parts of the business.
Finally, once a program selection has been made it must be carefully monitored; this must involve both review and control. Proper monitoring will enhance the image of the company and improve the chance of program success. Project feedback and follow-up will ensure that the project is being executed within time and funds limitations.
If these four major concerns are soundly evaluated and followed, then a realistic and workable community involvement program can be undertaken by almost any business.
As the owner and president of a medium-sized company you have been actively recruiting professional people all year long. You have made job offers to seven new May graduates; five of them accepted the offer and came to work for your company. In September of that same year you find that your business has not grown as you had anticipated and you must release at least five professional people. Would you release the new employees who have not yet had time to contribute much to the company or would you release some of the older, long-time employees with higher salaries or would your release a combination of the two groups? How would you release them? What might be the repercussions under each situation?