Part 1. Summary of the book Paul White was running the Boca Raton branch of Hannah’s Shop, but the store’s profit kept dropped down. When his store’s warehouse suffered from a water leak, Paul asked his friend, Roger, who is also the warehouse manager in the area to help. They came to the plan that Paul will sent one combined list at the end of the day. Paul decided the amount to hold from each SKU is equal to twenty times the daily average sales. By the time, Paul’s wife, Caroline, failed to persuade her father to buy the Leon’s. Four weeks after the accident in the warehouse, the finance people told Paul that his store made it to the first place …show more content…
Part 2. Five quotations from the book
1. “When people do not accept a suggested change, they are not doing it because they are programmed to resist change.” “So, why do they resist? Why are you turning down my suggestion to buy Leon’s?” “People judge the proposed change. They judge the benefits and they are evaluating the risks involved. If they come to the conclusion that the change is good they accept it, if they come to the conclusion that the change is bad they resist it. And never forget that the perception of risk is the dominant factor in judging whether the change is good or bad. People resist your suggested changes not because they resist change but because on that particular suggestion their judgment is that it’s not beneficial enough or the risk is too high.” “Maybe.” Henry was firm, “No, not maybe, this is important. If you understand that fundamental truth, you’ll listen to their arguments and you have a chance to change their mind. If you stick to your belief that they are programmed to resist, you’ll be a very bad manager because your alternatives narrow down to giving up or to using force.”
2. Paul used the system to check how many of his store’s SKUs had appeared on the inventory shortage list during January. He then checked how these items sold during February. The income from these items came roughly to the increase in sales. Obviously, the fact that more of these items were available in the store accounted