Engstrom Case Study Root Cause.docx - Musser 1 Timothy Musser OL 500 Human Behavior in Organizations Engstrom Auto Mirror By the late 1990s the Engstrom

Engstrom Case Study Root Cause.docx - Musser 1 Timothy...

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Musser 1 Timothy Musser OL 500: Human Behavior in Organizations May 27, 2018 Engstrom Auto Mirror By the late 1990’s, the Engstrom Auto Mirror plant was in a state of disarray. The company was hemorrhaging clients and employee morale was at or near an all-time low. Despite being a generally successful company to that point in its history, there are several causes for the company’s downfall. First and foremost, up until Ron Bent assumed the position of plant manager in 1998, the management appeared to be incompetent when it came to keeping up with the implementation of industry standard technology for their production lines (Newstrom, pg. 538). Additionally, the management had a strained relationship with the union representing the factory workers, which detrimentally impacted their relationship with the plant workers being represented (Newstrom, pg. 538). Individually, these issues would be difficult enough to overcome to preserve the company’s productivity and status as an industry leader. Together they prove to be a recipe for disaster. Management’s reluctance to adapt to the new production technology proved to be a cancer for the plant. Even with management buy in, company transformations are successful less than half the time (Isern, Meaney, & Wilson, 2009). Couple that with leadership that struggles with or is unwilling to embrace the change and failure is almost inevitable. When massive change occurs, management can experience some turbulence in their feelings regarding the company and may experience indecisiveness when it comes to important decisions that can
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Musser 2 affect the direction of the company (Carucci, 2016). The slow response to the issues with the new technology was what led to customer isolation and alienation. The decrease in output
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  • Spring '15
  • Management, Milestone 2, Auto Mirror Plant, plant manager, Engstrom Auto Mirror, Ron Bent

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