Outline and Analyse the Problems Confronting Ccc in the Short and Long Term and Offer Recommendations for Their Resolution.
1899 Words8 Pages
Outline and analyse the problems confronting CCC in the short and long term and offer recommendations for their resolution.
Cox’s Container Company (CCC) is going through a phase of reduced profitability due to a number of factors that include, but are not limited to; evolution of the business environment and increased competition, growth in the size of the business with no changes in organisational structure. The current job design/operations seem to be cost inefficient because although revenue is ‘buoyant’, margins are decreasing. An internal change agent, Erica Wilson has been appointed to drive change within an organisation with a culture of employing and promoting ethnic minorities that have served the organisation for a long…show more content… This may have consequences of demotivating long serving employees and causing them to leave with over 10 years industry expertise. They may also be short term retrenchment costs necessitated by the implementation of the new system. The recruitment culture has been that of recruiting ethnic minorities who worked their way to promotion. The recruitment of managerial specialists, although bringing in a ‘differentiation perspective’, was not properly managed. The culmination in conflict between Aziz and Straw shows the unease and suspicion that the older employees may be feeling due to the presence of the new recruits. They may be a sense that existing workers and their managers may lose autonomy. The organisational structure seems to be changing and becoming more bureaucratic.
In an attempt to turn the fortunes of the organisation around, Erica Wilson is trying to improve efficiency through the introduction of measures that will result in ‘effective operational and cost controls. The approach she has adopted may be likened to the ‘Engineering School’ of job design found in Taylorism and Fordism. According to Mckinley and Starkey(1994), ‘Ford’s traditional management culture focused on the importance of ‘ numbers and systems’ and depended upon a powerful Finance Function which ‘knew