1.1.1. Internal problems:
- A crisis at the factory with the issues of productivity, work power of workers.- Quality problems of products have also washed into the activities of Engstrom,Engstrom could lose the sure supplier status.- The workforce are having complaints, grievances, suspect of Scanlon Plan, a proposal has been adopted for a long time but no change. What senses does bonus visualise make while bonus has not been paid for months?- The enthusiasm and motivation of employees has been reduced, many an(prenominal) people incur there is unfairness going with the current motivation plan. The causes of supra problems: - The company could not adjust in time Scanlon plan to maintain staff motivation.- Engstrom did not answer and address the employees complaints promptly.- ineffectual to pay the monthly bonus.2
- The layoffs shook the confidence of employees, leading to insecurity affecting the morale of staff.
1.1.2. The impact of external problems::
- Current economical downturn.- There is many competitors in the field of distribution and intersection of automotive mirrors.
- Quality problems because customers distrust the companys products.
1.2. Theoretical contributions that a Scanlon plan should bring to a company?
The heart of Scanlon plan is the conception of participative management. Scanlon believed that individuals will work hard to help achieve their government activitys goals so long as they have an prospect to take responsibility for their actions and apply their skills. It brings a lot of near contributions to a company: - Employees would work smarter, more proactively and could contribute many initiatives to increase productivity, reduce costs for companies. The staff found themselves finisher to the company when their...If you want to get a full essay, lay it on our website: Orderessay
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