You are the president of XYZ Manufacturing company. You have recently learned about the following issue: A month ago, the company’s general manager (GM) told one of the line managers to produce an extra 15,000 units of a product so that there would be inventory in stock for the next time the item is ordered. Last week, the GM scolded the line manager for having 15,000 units of the item in stock. The GM told the line manager that producing excess inventory costs the company money and should never be done. The GM then puts the line manager on a performance plan. This is not the first time you have heard about the GM telling an employee to do one thing only to criticize him or her for doing it later. This employee feels very frustrated by this, but does not want to make a formal complaint because she has seen other employees lose their jobs or get demoted for questioning the GM. Create an outline that proposes a leadership solution to this issue. The outline should address the following: How the culture of the organization contributed to this issue How the structure of the organization contributed to this issue A plan to change organizational culture while maintaining the current structure of the organization A coaching plan to help the general manager change this behavior and improve his leadership skills

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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You are the president of XYZ Manufacturing company. You have recently learned about the following issue:

A month ago, the company’s general manager (GM) told one of the line managers to produce an extra 15,000 units of a product so that there would be inventory in stock for the next time the item is ordered. Last week, the GM scolded the line manager for having 15,000 units of the item in stock. The GM told the line manager that producing excess inventory costs the company money and should never be done. The GM then puts the line manager on a performance plan. This is not the first time you have heard about the GM telling an employee to do one thing only to criticize him or her for doing it later.

This employee feels very frustrated by this, but does not want to make a formal complaint because she has seen other employees lose their jobs or get demoted for questioning the GM.

Create an outline that proposes a leadership solution to this issue. The outline should address the following:

How the culture of the organization contributed to this issue
How the structure of the organization contributed to this issue
A plan to change organizational culture while maintaining the current structure of the organization
A coaching plan to help the general manager change this behavior and improve his leadership skills

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