Nogo Railroad Analysis

1) Nogo Railroad a) What are the Macro and Micro problems in the case? i) Macro (1) High employee expenses (2) Low employee moral (3) No HR as a strategic function (4) Badly negotiated Union Contracts (5) No established recruitment processes (6) No job descriptions to measure job output and performance. (7) History of organized resistance by the Union and train crews ii) Micro (1) Nepotism and Featherbedding (2) No upper management ³buy-In´ (3) obsolete HR policies, practices and procedures (4) No defined recruitment process (5) Bad contract language b) What are the causes of the problems? i) Lack of management support ii) Resistance to change in culture iii) No Professional HR resources iv) Undefined managerial duties and authority v) Policies that allow nepotism, featherbedding, and other inappropriate procedures vi) Large expenses due to nepotism and featherbedding c) What are the systems affected in the case? i) Structural (1) The current structure

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is affected with an HR component needed. ii) Psychosocial (1) An income decrease to reduce expenses affects some individual¶s expectations of extra income. (2) The practice of featherbedding to actively provide job for family(Nepotism), (3) Current culture unwilling to change (4) Current culture is very depictive of employee moral (5) Employee resistance to change in anticipated income. iii) Technical (1) By contract, Clerks are not allowed to work alongside radio communications and train crews. (2) Clerk are predominantly women (3) Telephone operators are predominantly men (4) Telephone operators are not required to learn Morse code. (5) Telephone operators only replace Telephone operators (6) Clerks only replace clerks. iv) Managerial (1) Dave¶s promotion from chief dispatcher to communications manager. (2) He now supervises unionized clerks and telegraph operaters.

Nepotism. no formal management training for leadership development. (4) He needs to improve employee. Causes 1. grievances or arbitration. 3. Micro 1. 2. and lack of participation in the execution of strategic changes. B. Lack of management support 3. no formal designation of authority. Human Resource corporate structure is lacking and it is not engaged to operate as a strategic function There is no indication of HR providing development and guidance of policies/practices.. Organized resistance 7. unseasoned management placed in no-win situations with expectation of failure II. and other counterproductive practices 4. Poorly negotiated union contracts. Lack of formal management succession planning and identification of candidates . Lack of top-down senior management execution/accountability 6. Problems A. no oversight/participation in union negotiations. changes in roles and responsibilities. trade specific. and cooperation between union and management. Burdensome expenses due to employee guarantees 6. Lack of strategic planning 5.. Unsuccessful union negotiations The Union and its members have a strangle hold on the company and have successfully leveraged that strength against the company's best interest. No established recruitment processes or policies 2. Macro 1. Clerks and Telegraph Operators 5. NOGO Railroad Case Analysis I. Union positions are "trade" specific.(3) His is tasked to reduce expenses in day to day operations. featherbedding. Organizational Culture NOGO Railroad's culture and norms inhibit the introduction of process improvements. Lack of senior management assuming authority and informal delegation of authority to lower level management 2. employee guarantees. "Scapegoat" tactics. No predefined job performance expectations and no means to measure job output and performance of union positions. and no penalty for work slow down 4. 3.

7.. Lack of defined job criteria/expectations to ensure replacement personnel of management positions are capable. ..

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