Ike Leadership And Organizational Change

996 WordsMar 8, 20154 Pages
Leadership and Organizational Change IKEA continues to be a force in the U.S. furniture market, second only to Ashley Furniture Home Stores, however, the organization is not without its issues. In 2012, it was reported that IKEA and several international organizations were working with a Turkish supplier whose working conditions were deemed to be unacceptable. This allegation was particularly surprising for a company that boasts about its dedication to its own employees. The human rights whistleblowers claimed factory workers complained of hazardous working conditions. Watchdog organizations demanded IKEA, “the factory’s largest customer”, spearhead the movement towards improving working conditions (The Local SE, 2009). IKEA representatives released a statement explaining the company’s commitment to the factory workers stating “Workers’ safety is a cornerstone in the IKEA code of conduct” (The Local SE, 2009). IKEA has also been charged with misrepresenting employees about their right to refrain from union membership and failing to pay its employees a living wage. In 2014, IKEA announced it was “raising its average minimum pay by 17 percent, to $10.76 at the beginning of 2015” (McGregor, 2014). Peter Agnefjäll, IKEA’s CEO, was quoted as saying “We want to have a positive impact. We want to grow in a way that is people and planet positive” (Figueres, 2014). The forward thinking CEO has been described as a transformational leader; one interested in generating necessary change
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