Engstrom Auto Mirror Plant : Motivating

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Engstrom Auto Mirror Plant: Motivating in Good Times and Bad Root-Cause Analysis Southern New Hampshire University Emeka Ekezie Abstract Engstrom Auto Mirror Plant is facing an internal crisis which primarily is a motivational problem. Ron Bent, the manager, and Joe Haley the assistant has seen workplace culture and productivity decline over the years. Ron joined the company when it was going through a similar issue in the past. He came and implemented an employee incentive program which is general across the United States. The incentive program called Scanlon Plan was originally very effective in employee motivation and increasing productivity at Engstrom, but it is now failing. Ron faces three major questions. 1. Why the declining employee motivation? 2. The Scanlon plan; should it be modified or abandoned? 3. How will the change to the Scanlon plan be communicated to the employees? To answer these questions, the recommendation is the Ron and management team work with employees to comprehend the underlying issues behind their dwindled productivity, identify likely solutions to the issues and make changes to the Scanlon Plan to enable the incentive plan effectively motivate the employees. It is important that employees are involved throughout the entire process and that any adjustments, no matter how small are presented honestly to the employees. Engstrom Auto Mirror Plant based in Richmond, Indiana has undergone some serious challenges in their history

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