final project - Monique Cormier OL 342 Organizational...

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Monique CormierOL 342 – Organizational BehaviorFinal Project: Organizational Analysis
IntroductionIn 2014, GM initiated a recall on many Chevrolet, Pontiac, and Saturn vehicles (about 2.6million cars effected worldwide) because of a problem with the ignition switches (CNN Money). The ignition switches in the vehicles were allowing the key to come free from the ignition while moving, causing the car to stall abruptly. This caused multiple deaths, and was related to another issue having to do with air bags not deploying during an accident. It has come to light that GM has known about this quality lapse for more than 11 years and has been aware that the problem needs to be fixed (CNN Money). Due to GM’s reluctance to raise issues, their tendency to avoid responsibility, their failure to follow through, a proliferation of committees, conflicting messagesfrom top management, and a severe lack of urgency, GM has been investigated and 15 employees have been fired (Kuppler, 2015). The company has since received the Volukas Report which has described some cultural recommendations that include raising awareness about safety, enforcing a non-retaliation policy, communicating the importance of safety with suppliers, developing procedures for relaying potential safety issues to upper management, and improving the process for employees reporting safety issues (Kuppler, 2015). Organizational Modeling Current Organizational Modeling and Uniqueness In this case study, there is evidence to support that GM used a custodial model when it came to organizational behavior modeling. This type of model is not unique to the manufacturingindustry because it can also apply to other industries like customer service. In custodial organizations, the top management team has formal authority over all lower-level employees,
like in an autocratic model, but the organization provides economic security for employees. This economic security it used to help boost employee loyalty and motivation (Five Models of Organisational Behaviour).In this case, GM is an example of this since they are well-known for providing excellent benefits to their employees and therefore attracting intelligent engineers and skilled workers. The shortcoming of this type of model is that it allows for an organization to retain employees who have a lower level of motivation and feel trapped because the benefits are too good to pass up (Five Models of Organisational Behaviour). At GM, the employees and managers who knew about the safety issues may not have felt motivated or connected enough to take responsibility or raise the ignition issue to upper management. There was also a demonstrated lack of urgency, since the issue took over 11 years to reach the attention of the CEO. This is also an example of an autocratic model because it gives all of the power to the top management team and they are responsible for making most of the important decisions, whereas the lower-level employees usually do not have a voice in most important matters. This was the

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