Underlying People-Related Issues: The Treadway Tire Company’s Lima Plant has many human resource related problems, that show in a lack of efficiency and problems in daily operation. The case shows, that the most successful general managers and supervisors arise from lower ranks in the company. Despite seeing the advantage of internal hires and internal recommendations of other general managers, the HR department of the company often decides to hire external college graduates as much of their current workforce does not have a college degree or the desired skills to be promoted. These external professionals often have little experience in supervising and managing workers and therefore lack the knowledge and authority that experience brings.
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Exit interviews and employee satisfaction surveys sent out in August of 2007 have revealed that there is an atmosphere of strong discontent. This issue appears to be pervasive throughout the Lima Plant and doesn’t seem to be specific to any job position as both the salary and hourly workers are feeling the effects. There are multiple ways in which this symptom has surfaced throughout the plant. All of the aforementioned symptoms along with the underlying issues of long work hours along with a lack of communication, training, and authority have demoralized the foremen. The low morale can be scene through their attitudes (general distrust and disrespect) and their increased turnover rate. The line employees also suffer from low morale resulting from many of the same issues. They too have very long work hours, distrust and are distrusted by their foremen, and have to deal with the high turnover rate of their foremen, constantly having to adapt to new foremen who have received little …show more content…
As morale decreases the foremen get less satisfied with their jobs, even though they have indicated that they are happy with their salaries and benefit plans, which makes them more likely to search for other employment. As more outside management is brought in (as less of the current hourly employees have the education and potential for promotion) to replace those who have left, and then are given inadequate training for the role, the morale of the hourly employees goes down leading them to act in ways that further decrease the moral of the foremen, in turn leading more of them to leave. The effects of this unhealthy cycle can be scene through the very high turnover plaguing the foremen position. Despite being one of The Treadway Tire Company’s most productive and highest quality rated plants, turnover at the Lima Plant is higher than at any of Treadway Tire’s other plants. By the end of 2007, the Lima Plant saw 23 of its 50 foremen positions turnover. That is an astonishing 46% turnover rate in only one year. This is the most quantifiable symptom of the underlying issues that we have
Exit interviews and employee satisfaction surveys sent out in August of 2007 have revealed that there is an atmosphere of strong discontent. This issue appears to be pervasive throughout the Lima Plant and doesn’t seem to be specific to any job position as both the salary and hourly workers are feeling the effects. There are multiple ways in which this symptom has surfaced throughout the plant. All of the aforementioned symptoms along with the underlying issues of long work hours along with a lack of communication, training, and authority have demoralized the foremen. The low morale can be scene through their attitudes (general distrust and disrespect) and their increased turnover rate. The line employees also suffer from low morale resulting from many of the same issues. They too have very long work hours, distrust and are distrusted by their foremen, and have to deal with the high turnover rate of their foremen, constantly having to adapt to new foremen who have received little …show more content…
As morale decreases the foremen get less satisfied with their jobs, even though they have indicated that they are happy with their salaries and benefit plans, which makes them more likely to search for other employment. As more outside management is brought in (as less of the current hourly employees have the education and potential for promotion) to replace those who have left, and then are given inadequate training for the role, the morale of the hourly employees goes down leading them to act in ways that further decrease the moral of the foremen, in turn leading more of them to leave. The effects of this unhealthy cycle can be scene through the very high turnover plaguing the foremen position. Despite being one of The Treadway Tire Company’s most productive and highest quality rated plants, turnover at the Lima Plant is higher than at any of Treadway Tire’s other plants. By the end of 2007, the Lima Plant saw 23 of its 50 foremen positions turnover. That is an astonishing 46% turnover rate in only one year. This is the most quantifiable symptom of the underlying issues that we have