1 Case Study Analysis: Case Study of Engstrom Auto Mirror Plant and [Workplace] Southern New Hampshire University OL 500: Human Behavior in Organizations Dr. Barbara Alston October 22, 2023
2 Case Study: Root Causes Milestone Two Analysis The two root causes of Engstrom's issues was management's failure to create a sustainable employee motivational program and a breakdown of communication between management and the employees. The Scanlon plan that was introduced to the employees quickly led to an increase in productivity. They were motivated by the bonuses to not only increase productivity but to produce a quality product. Theory Y states "It assumes that people are not inherently lazy. Any appearance they have of being that way is the result of their experiences with less-enlightened organizations, and if management will provide the proper environment to release their potential, work will become as natural to them as recreational play or rest and relaxation." (Newstrom, 2015, p.42) Overtime the enthusiasm of the plan began to fizzle out there was a breakdown of communication and dissatisfaction from the employees increased. Although Ron Bent held monthly meetings, they were not very productive as employees were very agitated. There was a distrust over bonus calculation, questions of fairness with the numbers and threats of layoff that contributed to the unhappiness of the employees. "The layoffs, when they finally occurred in mid-2006, shook the confidence of even the most fervent Scanlon proponents among the workforce" (Beers & Collins, 2008, p.541) Case Study: Solutions Milestone Two Analysis Employees working within an organization are part of the organizations social system. A large part of an organizations success is determined on how well the social system performs due to the direct impact of the employees' attitude, behavior and performance. Having positive workplace culture is very important to have a successfully running business. Giving employees job security, fair treatment, positive relationships with their co-workers and organizational support will lead to a positive workplace culture. "If both their psychological and economic expectations are met, they tend to experience satisfaction, stay with the organization, and perform well." (Newstrom, 2015 p.96) Ron Bent held monthly meetings where there was discussion of lay-offs due to a decline in productivity. I imagine his intention was to motivate the employees but instead it dragged down the morale and continued to drag down the sales figures. Employees stopped submitting suggestions since it was clear their suggestions were being ignored. Instead of focusing on the negatives he should have looked for any positive to slowly improve employee engagement and improve morale. If he had taken into consideration the employees' thoughts and ideas the employees would have felt part of the solution instead of the problem. "Participation tends to improve motivation because employees feel more accepted by their employer and more actively involved in the situation. Their self-esteem, job satisfaction, and cooperation with management also may improve." (Newstrom, 2015, p.233) Case Study: Strategic Actions Milestone Two Analysis The employees had been motivated by the Scanlon Plan and it had been