Essay Engstrom Auto Mirror Plant Motivating in Good and Bad

3620 Words Apr 13th, 2014 15 Pages
ISM UNIVERSITY OF MANAGEMENT AND ECONOMICS
UNDERGRADUATE STUDY PROGRAMME IN INTERNATIONAL BUSINESS AND COMMUNICATION

ENGSTROM AUTO MIRROR PLANT MOTIVATING IN GOOD AND BAD
ORGANISATIONAL BEHAVIOR COURSE
CASE STUDY PAPER

2014 02 14

Contents

Introduction 3 1. Situation analysis 3 2. Problem identification 4 3. Theoretical survey 6 3.1. Theoretical framework 6 3.2. Theoretical survey relevant to the situation 8 4. Evaluation of alternatives 9 4.1. Psychological needs 9 4.2. Physiological needs 12 4.2.1. Safety needs 13 4.2.2. Material motivation 14
5 Suggested solution 15
Conclusion 16

Introduction
Our task for the Engstrom Auto Mirror Plant case analysis was to identify the main
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These three branches are detailed in the mind map below. Analysis is organized in a systematic way, which helps to understand why company faced difficulties. Easiest way to read this map is to start from the management position then go to labour problems and finish with the manufacturing. It is a cause – effect situation, then management decisions influenced labour actions and it reflected on manufactured products.

2. Problem identification
Engstrom Auto Mirror Company faced a great deal of problems as it is seen from the case. It started in 2007 when Ron Bent and his assistant Joe Haley faced a downturn of a company. One of the main issues was slow pace of productivity, quality issues that caused late deliveries. The company could not afford that because of Engstrom being a certified supplier for some companies. Therefore, there could be highlighted one major problem, which is low employee morale.
Engstrom Auto Mirror faced the same problem in 1998. At that time plant needed to incorporate new technologies although manager lacked the sophistication with technology and failed to adapt to the new methods of work as well as motivation of employees. That is why he resigned in 1998 and Ron Bent was hired into that position. Thus, Ron Bent found a solution and Scatlon plan was adopted. “With Scatlon plan, workers are receptive to new methods and new machinery because they feel they are a part of

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