Engstrom Case Summary

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The problem for the company is they began to put to focus to much on extrinsic factors, such as the bonus plan being the reward system to motivate their employees, however they failed to think about employee’s perception. Understanding what makes employees happy and what they are is important to motivational strategies. The company’s suggestions started to dropped, which should have been an indication that employees are not feeling important anymore. Keeping employees happy and satisfied is vital for any company, as this can create regression or progression within the company.
Engstrom needs to find the root cause of the problems that are critical to their survival. For example, some of the questions that could be answered are as follows – Why is there a decline in motivation, should the incentive plan be eliminated or modified, or should employees be involved in suggestions or just upper management. Getting answers to those questions can help with coming up with a resolution and getting the company back in track. Management should work as one to brainstorm ideas and then perhaps involve their employees. The best way for the company to understand why employees are lacking in motivation is to ask how ca the company help or what is going on. It is important that the company keeps employees involved through the process and
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The mission statement of a company should become a priority. Management should aim to address causes of problems and seek a resolution to make everyone happy. Motivation is necessary because it is the driving force that guide employees to perform. Engstrom Auto Mirror Plant has numerous immeasurable issues that need attention, mainly motivation which led to a decrease in profitability and productivity. The plant and assistant manager had started to see the decline in prior years (Beer, Michael, & Collins,

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