Statement of the problem

The lack of communication between the various levels of management and

employees at the Lima Tire Plant, one of the plants at the Treadway Tire
Company, resulted in the overall job dissatisfaction and high turnover rates.

The threats towards morale and productivity are the main problems which
need to be handled by the human resource department of the Lima Tire Plant
in the current context of cost-cutting.

The lack of communication and understanding between the management

levels and the plant employees caused dissatisfaction of all the participants of
the working process.

On the one hand, the foremen, who are responsible for meeting the industrial
targets but may lack knowledge of industrial engineering and unable to
influence the disciplinary issues, feel disconnected from the rest of the plant.
The responsibilities of the foremen were mainly limited to filling the reports
and schedules and bearing the responsibility for the production forecasts
though deprived of power for affecting the outcomes.

On the other hand, the hourly employees who may become the victims of the
foremen’s dissatisfaction felt the lack of respect from them and were indignant
with their managerial style. In general, the current hiring and managerial
patterns have a negative impact on the working environment, the employees’
commitment and corresponding results.

While the senior management rejected the offered rotational program and
training due to the lack of funds and the current cost-cutting mandate, the
problem of turnover and job dissatisfaction are undertreated, proper measures
need to be imposed for defining its rooting causes and selecting the
appropriate strategies for improving the situation.

The opportunities of possible solution

The solution of the turnover problem is significant for making the Lima Tire
Plant one of the top enterprises within the Treadway Tire Company. The
recognition of the turnover and job dissatisfaction problems by the senior
management of the plant and serious consideration of the measures which
need to be taken for improving the current situation are crucial for not only
improving the working environment but also increasing the manufacturing
outcomes in general.

Taking into account the complexity of the issues involved into the sphere of
the high turnover in the foremen positions, a thorough analysis of the root
causes of the existing problem is required for detecting the main drawbacks of
the current practices and developing the strategies for improving them.

The main opportunities of improvements include the changes in the hiring and
managerial patterns along with corporate training for enhancing the foremen’s
knowledge on the industrial engineering processes, disciplinary issues and
improving communication between the line foremen and senior management
as well as foremen and hourly employees. The system of monetary rewards
for the improved communication between the various groups of employees
can become an effective means of motivation.

The measures which can be taken for overcoming the problem of high
turnover and job dissatisfaction combine the changes in the implemented
patterns for hiring the foremen and distributing the responsibilities, thus
making changes in the company’s hiring philosophy, developing a system of
monetary rewards and training the employees for communicating the idea of
the necessary changes and enhancing their awareness of the engineering
processes and the recent changes.

Discussion

Regarding the proposed opportunities for solving the problem of the high
turnover and the lack of communication between the various groups of
employees at the Lima Tire Plant, the issues deserving consideration include
the costs of the required changes against the possible benefits of the
implemented changes.

In the context of the cost-cutting mandate, the prior rotation program has been
rejected by the senior management. In that regard, an elaborate analysis of
the main underlying causes of the turnover, communication failures, and
dissatisfaction and their financial impact upon the plant’s manufacturing
outcomes is required for illustrating and justifying the offered strategy.

Through the research, it has been discovered that the informal system for
measuring the employees’ performance without any definite assessment
criteria appeared to be ineffective for selecting the internal candidates for the
promotion to the foremen positions.

Complimenting the criterion of meeting the business forecasts with the

parameters of overall competence and successful communication with senior
management and hourly employees would allow conducting a more complex
evaluation of the performance and selecting the best candidates for the
promotion.

Regarding the training programs aimed at enhancing foremen’s knowledge on

industrial engineering and building the communication bridges between the
participants of the working process, it is essential to discuss the impact of the
communication failures upon the working environment, employees’
commitment and manufacturing outcomes.

Along with exploring the significance of improved communication through

training the employees, the system of monetary rewards for any significant
success can be valuable for improving their motivation and involving them into
the process of implementation of a new strategy.

The proposed solution includes the changes in the company’s hiring and
promotion patterns, training for enhancing competence and communication
and a system of monetary rewards for the merits in implementing a new
strategy which however requires proper consideration of the implied costs
against the advantages and disadvantages of undertaking the changes.

The strengths and limitations of the prior research

The prior research conducted by Ashley Wall as a Director of Human

Resources at the Lima Tire Plant was valuable for providing the insight into
the leading underlying causes of the high turnover and job dissatisfaction
problems but lacked consideration of the financial impact of the existing
drawbacks against the costs required for undertaking the changes and the
motivational factor significant for involving the employees into the
implementation program.

Thus, shedding light upon the drawbacks of hiring practices, certain

inconsistencies in the foremen’s responsibilities and the lack of
communication between the various groups of employees, the prior research
touched upon the significant root causes of the existing problem. The changes
in the hiring patterns and rotation training offered by Wall could be effective at
the initial stage of changing the current practices within the plant.

The lack of consideration of the financial impact of the problem can be

regarded as the main reason for which the senior management rejected the
initiative on the premise of the cost-cutting mandate. Another limitation of the
prior research is the lack of attention towards the employees’ involvement in
the change-making process. The monetary compensation for the additional
efforts is significant for increasing the workers’ commitment and ensuring the
success of the initiative.

A plan and strategy statement

The action plan for solving the problems of high turnover and job
dissatisfaction at the foremen level includes a comprehensive analysis of the
financial impact of the discussed issues upon the plant’s overall performance,
changes in the current hiring patterns and consideration of the opportunities of
corporate training and a system of monetary rewards for improving the
employees’ motivation.

The first part of the strategy includes the analysis of the implications of the
current practices for providing the rationale for undertaking the changes. This
goal was partially achieved by Wall who has collected the information from the
employees’ profiles and interviews. The following research stages require
consideration of the financial side of high turnover and lack of communication.
Development of a detailed hiring framework is another significant stage of the
action plan aimed at selecting the best candidates for the foremen’s positions.

Another critical part of the strategy is the training program aimed at

communicating the idea of the changes to the employees, enhancing their
competence and developing the communicative skills which are necessary for
the successful business performance of the plant in general. The integration of
the information on the system of monetary rewards into the training program is
crucial for improving the employees’ motivation and commitment during the
reformation of the current practices.

A strategy aimed at overcoming the existing turnover and communication

problems should integrate the changes at all levels of the plant, including the
hiring patterns employed by senior management, the training program
involving all employees and schemes used by all workers in their daily
professional communication.

Implications of the strategy

The implementation of the offered solution will affect various dimensions of the
Lima Tire Plant performance, including the corporate culture in the form of the
hiring patterns, promotion perspectives and business communication, the
human resource level and the financial performance of the plant.

Due to the mutual relationships between the different dimensions, a complex

perspective should be adopted for evaluating the program outcomes.
Changes in the hiring patterns and proper training of the foremen are
expected to have an impact upon their performance and job satisfaction,
improving the working condition for the hourly employees at the same time.

The system of monetary rewards is intended to improve the workers’

motivation and commitment. On the other hand, taking into account the fact
that the discussed changes would require certain investments, the following
benefits need to be measured against the required costs.

Conclusion

In general, it can be concluded that regardless of the cost-cutting mandate,

the changes in the current practices of the Lima Tire Plant are needed for
overcoming the high turnover, communication and job dissatisfaction
problems at the foremen level and improving the overall business
performance of the enterprise. The reconsideration of the hiring patterns,
development of the detailed performance assessment framework, training
programs, and monetary rewards system are crucial for the successful
implementation of the discussed strategy.