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WHAT HAD HAPPENED AT THE PLANT PREVIOUS AND NOW?

WHAT HAD HAPPENED AT THE PLANT PREVIOUS AND NOW?

Many organizations have many unique attributes which causes them to stand out from their competitors. One commonality that organizations have is that they are complex systems (Newstrom, 2015). Engstrom Auto Mirror is such an organization their systems operated on people, processes and technology. Since the 1940’s they had enjoyed considerable success for much of its lifetime, but began to see problems by the late 1990’s (Beer,2008).
Engstrom Auto Mirror is a plant in Richmond, Indiana. It is a privately owned business that manufactured mirror for trucks and automobiles, they employ approximately 255 people (Beer, 2008).
In analyzing this paper on Engstrom Auto Mirror plant we can see that the plant manager Ron Bent and his assistant Joe Hailey are having troubling numbers due to low productivity within the plant, as well as employee morale and behavior. We also see that before all this back in 1998 Bent had faced this similar crisis and at that time he had to rate an average worker’s productivity at 40% of the expectation. With this in mind he then decided to try and institute the “Scanlon Plan at the plant. The “Scanlon Plan”, is a plan that paid bonuses to workers for increased productivity (Beer,2008).
After more deliberation and acceptance Engstrom adopted the Scanlon Plan and it seemed to work. In many organization the ‘Scanlon Plan’ helps to reinforce teamwork and cooperation across work groups but still focused on cost savings (Beer,2008). In Engstrom, after the plan was assimilated by tension and conflict in the plant eased but by May 2007 dissatisfaction grew among the workers. The Scanlon Plan was as effective as before, first workers started to distrust the ‘bonus calculation’ assuming that it was not calculated in the right way then they began to question the ‘fairness’ of the bonuses when they put in more work and time than others. Although the Scanlon Plan was at time successful it had flaws.
This case study I am going analyze the cause of the problem:
1. What strategies could be used to prevent.
2. What had happened at the plant previous and now?
3. How to amend and improve the problem which is the “Scanlon Plan”.
4. What were the issues that occurred and its impact on the company and employee’s?

Reference
Beer, M., and Collins, E. (2008). Engstrom Auto Mirror Plant: Motivating in Good Times and

Bad. Harvard Business School Brief Case, 082-175.

Increasing Productivity with Scanlon Plan. Retrieved from website on August 20, 2015 from http://marketinghrdpresentation.com/apps25/2010/07/30/increasing-productivity-with-scanlon-plan/
Newstrom, J. (2015). Organizational Behavior: Human Behavior at Work. 14th Edition. McGraw-Hill Higher Education.

OL 500 Milestone Two Guidelines and Rubric
The final project for this course is the creation of a case study analysis.
Through the practice of analysis and application of human behavior theories and concepts, you will develop your critical thinking skills and the ability to properly diagnose root causes of organizational issues while recommending solutions that create sustainable positive change within an organization.
You will analyze the case study entitled “Engstrom Auto Mirror Plant: Motivating in Good Times and Bad,” which you purchased from Harvard Business Review as part of your required resources. The case study will present a list of known organizational issues. You will apply knowledge of human behavior theories and concepts to properly identify and analyze the multiple root causes of the organizational issues from a human behavior perspective. Your analysis will include an examination of the resulting impact of relevant theories and concepts.
Prompt: For Milestone Two, you will review the Engstrom Auto Mirror Plan, looking specifically at organizational issues. The following critical elements must be addressed:
II. Root Cause Case Study Analysis
a) Identify root causes of known organizational issues from a human behavior perspective.
b) Analyze root causes from a human behavior perspective and validate the analysis with supportive research evidence.
c) Explain the resulting impact of poorly aligned and administered human behavior theories and concepts.
Guidelines for Submission: Your paper should be submitted as a 3–4-page Microsoft Word document with double spacing, 12-point Times New Roman Font, one-inch margins, and all sources cited in APA format. Use in-text citations beyond Newstrom’s text. Avoid overdependence on direct quotes.
Instructor Feedback: This activity uses an integrated rubric in Blackboard. Students can view instructor feedback in the Grade Center. For more information, review these instructions.
Critical Elements
Proficient (100%)
Needs Improvement (75%)
Not Evident (0%)
Value
Root Cause Analysis: Organizational Issues
Identifies the root causes of known organizational issues from a human behavior perspective
Identifies the root causes of known organizational issues but does not apply a human behavior perspective
Does not identify the root causes of known organizational issues
30
Root Cause Analysis: Root Causes
Analyzes root causes of known organizational issues from a human behavior perspective and validates analysis with supportive research evidence
Analyzes root causes of known organizational issues from a human behavior perspective but does not validate analysis with supportive research evidence or is cursory or contains inaccuracies
Does not analyze root causes of known organizational issues
30

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