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Workplace Analysis ESSAY

Workplace Analysis ESSAY

Engstrom Auto Mirror Plant is facing an all-time low regarding production and morale. The plant manager, Ron Bent believes the problem stems from not only a recent layoff of approximately 20% of the plant’s workforce but it is also coupled with an abrupt and ongoing halt to employee bonuses (Beer & Collins, 2008).

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When Mr. Bent started with Engstrom he was faced with a problem of morale and instituted a Scanlon Incentive Plan, it’s important to note that he chose this more complex plan due to his own personal bias against individual and group performance incentive plans (Beer & Collins, 2008).

While this plan once implemented was very popular due to the high participation(something the plan relies heavily upon), once the volume of ideas began dropping, so did the bonus and along with it the plant’s productivity. This just happened to coincide with an industry downturn and let to the layoff.With the decline in morale after the layoffs, new recommendations for improving productivity at the plant were not coming in, this caused the bonus to stop entirely.

At this point it has been 7 months since employees have received any bonus, part of their pay to which they had become accustomed. Bent is aware that Scanlon programs do not perpetuate themselves andthat they need a shot in the arm every so often – whenever the workforce needs it (Beer & Collins, 2008).T

hings at the plant must be turned around immediately, per one of Bent’s managers, Joe Hayley, employees may have even resorted to stealing from the plant.

This may be due to the fact that they believe the bonus they have not been receiving is an entitlement and justifies it as the company has taken money from them, perhaps they should take something from the company.
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Case Study & Workplace Analysis Bundy 3 of 14My analysis will address the issue with employees feeling shortchanged from the lack of a regular bonus payout. What sort of ‘shot in the arm’ could Bent use to revive the Scanlon plan,i.e. ways to encourage employees, perhaps changes in the calculations of bonuses. What other incentive plans could the plan be replaced with, assuming it may have outlived its usefulness.

What other options can Bent and his managers exercise in order to turn the plant around.The primary problem at Engstrom for Ron Bent is productivity, signing off on costly shipping, in order to make up for slower production would barely qualify as a bandage for the situation.

Not only is it increasing his overall cost, it fails to address the root of the problem, workforce morale. Engstrom’s workforce productivity has declined to the point that it may put their Toyota contract in jeopardy if they are unable to increase their output to meet their buyer’s demands. A chain of events leading to this situation began with a large la……………………

Workplace Analysis ESSAY

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