Which approach is more likely to have a greater positive impact on performance. Introduction: There are two main types of the social contracts; the Old social contract and the New social contract. The Old social contract considers the workplace as a family and employees as family members. The management takes care of employee's interest first and employees show loyalty and commitment in return to the organization. The New social contract focuses more on trust rather than loyalty, employees are self-motivated and employees are more likely to move from one company to another because job decisions are based on cultural knowledge and specific skills.

Question

The Right Way with Employees? As a senior manager for a global player in automobile production and sales, Kirby Ellis had joined thousands of fellow employees in the excitement surrounding production of the company’s new hybrid vehicles. But barely two years into production, embarrassing component shortages, delivery delays, and a recall of the first models had a ripple effect, presenting the company with mounting concerns. In the confusion, many customers canceled orders and turned to competitors for purchase of the eco-friendly vehicles. Ellis’s company was facing a financial downturn. With three decades of service to the company, Kirby led a contingent of managers intent upon keeping together as much of the company and as many employees as possible. “We know there will be some necessary cuts,” Kirby admitted. “But this company has a long history of sticking by its people. Our first priority should be internal streamlining of how we do things and making sure we have the right…

Answer 1

Question

Chapter 12, Problem 3CFCA

Summary Introduction

To determine:

Which approach is more likely to have a greater positive impact on performance.

Introduction:

There are two main types of the social contracts; the Old social contract and the New social contract. The Old social contract considers the workplace as a family and employees as family members. The management takes care of employee's interest first and employees show loyalty and commitment in return to the organization.

The New social contract focuses more on trust rather than loyalty, employees are self-motivated and employees are more likely to move from one company to another because job decisions are based on cultural knowledge and specific skills.

Expert Solution & Answer

Trending nowThis is a popular solution!

See solution

Check out sample textbook solution

Students have asked these similar questions

The Right Way with Employees? As a senior manager for a global player in automobile production and sales, Kirby Ellis had joined thousands of fellow employees in the excitement surrounding production of the company’s new hybrid vehicles. But barely two years into production, embarrassing component shortages, delivery delays, and a recall of the first models had a ripple effect, presenting the company with mounting concerns. In the confusion, many customers canceled orders and turned to competitors for purchase of the eco-friendly vehicles. Ellis’s company was facing a financial downturn. With three decades of service to the company, Kirby led a contingent of managers intent upon keeping together as much of the company and as many employees as possible. “We know there will be some necessary cuts,” Kirby admitted. “But this company has a long history of sticking by its people. Our first priority should be internal streamlining of how we do things and making sure we have the right…

Oscar Munoz started as United’s CEO in 2015, by March 2017 named “Communicator of the Year” by PRWeek. Unfortunately, he fell from grace a month later due to United’s botched response to a flight-related incident.106 SUNDAY, APRIL 9: CHAOS ON FLIGHT 3411 A fully booked United flight 3411 was preparing to depart from Chicago to Louisville when gate agents realized that four airline crew members needed to get to Louisville. The gate agents asked for four volunteers to give up their seats in return for compensation. No one accepted United’s offer because the flight was the last one to Louisville that evening. United then decided to enact an “involuntary de-boarding situation,” in which four random passengers were directed to deplane. Three of the passengers deplaned without incident. The fourth, Dr. David Dao, refused, saying “I can’t get off the plane. I have to get home. I’m a doctor. I have to get to the hospital in the morning,” according to The Sentinel News.107 United employees…

Avondale Industries’ training director conducted an employee survey and found that employees in several departments lacked trust and confidence in their supervisors. The director arranged for training of these supervisors to help them strengthen their interpersonal, communication, conflict resolution, and problem-solving skills. Why is it in the best interest of the organization to help its supervisors improve their performance and gain the trust and confidence of their direct reports? Helping individuals improve their performance through training helps the organization reach its strategic goals. Training supervisors to be more trustworthy will help them relate more effectively with their employees and encourage better communication. Providing training for individuals that focuses on improving skills allows employees to develop competencies for future jobs. Improving relationships between employees is an essential role for the training and development office and…