After two straight years of financial losses in 1994, CEO Ron Allen rolled out a new strategy called “Leadership 7.5.” Allen targeted to reduce Delta’s cost per each available seat mile from more than 10 cents to 7.5 cents, which would match that of major competitor Southwest Airlines (Bryant, 1997). Along with a new company strategy a change followed with Delta’s human resource strategy. This changing policy devastated employee morale and resulted in a decline of customer service, efforts to unionize, and dissatisfaction among personnel. Delta couldn’t keep the past primary policy about human resources so there were several significant changes in Delta’s organization and corporate culture. There are many programs that Delta has built after passing through the cost-cutting reformation in 1997 for getting back its capabilities on customer relationships like rewards and recognition program above and beyond and more.
(2) The culture developed by the founders especially CEO Steve Jobs, could be defined as controlled dreamers, officially they thought of themselves as "Dreamers and Believers". A good example of the controlled part of that statement is best illustrated by Apple's universally acclaimed practices (3) a) Accountability - everyone is accountable for their actions. b) Hire the best - experts who can work as part of a cross-functional team c) Consistency - Simple products, intuitive and engaging d) Excellence above revenues - back the customer from beginning to end, revenue will naturally follow e) Treat employees well – loyalty is generated when the employee feels that the company cares about them. Two ways Apple attempted to accomplish this it through the Pioneering telecommuting and nap rooms. Apple’s culture went through three distinct phases, growing with Jobs, Live without jobs, and look out jobs is back.
The high quality products with several distinguish and practical features secured the company’s success in the initial process. Additionally, the company introduced a number of new product lines that were also popular with customers. According to Jess Jones, the company’s CFO, the company has trouble in some of the product lines in recent years, especially the Classic line. Although some plant supervisors suggested shutting down the Classic line to make capacity for other product lines, I recommend that the company keeps the Classic line. Because the Classic line tends to only have a strong support in the northeast states, and in some sales districts in these states, it represents a relatively high proportion of total sales.
His wife was Laurene Powell. They have 3 children- Eve, Erin, and Reed (“Jobs” 320). According to TIME, “It’s a rule of thumb in the world of technology that you get to revolutionize one industry at most, but Jobs did it every few years with stunning regularity: computers, movies, music, phones” (Isaacson 38). Personal computers, animated movies, digital music, and cellphones would have never been the way they are today without the contributions by Steve Jobs. He was awarded TIME Person of the Year (Isaacson 40).
They have been synonymous with innovations for more than six decades. The organization produce electronic goods such as oscillators which has improved the way audio frequencies are measured to a calculator that has been coined the “first personal computer.” They create organizational value by taking component parts from the environment, skilled or semiskilled labor, and technical knowledge and at the conversion stage they create value by using their manufacturing skills to organize and assemble those inputs into outputs (computers). Their mission statement is to earn customer loyal; achieve sufficient profit to finance growth; recognize and seize opportunities to grow; lead in the marketplace by developing and delivering useful and innovating products, services and solutions; commit to employees by rewarding and promoting based on their performance and create a work environment that reflects their values; develop leaders who achieve business results; and fulfill their responsibility by being an asset to each country and community they do business in. Hewlett Packard's Inputs: Obtained from its environment Raw materials (component parts) Human resources (skilled or semiskilled workers) Information and knowledge (training, knowledge of technology industry) Money and capital (shareholders' investments) Customers Hewlett Packard's conversion process: Transforms inputs and adds value to them Machinery Computers Human skills and abilities Hewlett's Packard's outputs: Released to its environment Innovative
Hugo Münsterberg and Walter Dill Scott are both credited with founding industrial/organizational psychology (Spector, 2008). Both of them were university professors and with the use of psychology they would apply the concept of psychology to help organization with employees. Münsterberg is credited with writing the first textbook that was published in 1913 titled Psychology and Industrial Efficiency (Spector, 2008). Frederick Winslow Taylor was a major influence on the field. Taylor was an engineer who studied the productivity of employees (Spector, 2008).
Each year, Welch would fire the bottom 10% of his managers and rewarded those in the top 20% with bonuses and stock options. He also expanded the broadness of the stock options program at GE from just top executives to nearly one-third of all employees. In Jack: Straight From The Gut, Welch states that GE had 411,000 employees at the end of 1980, and 299,000 at the end of 1985. Of the 112,000 who left the payroll, 37,000 were in businesses that GE sold, and 81,000 were reduced in continuing businesses. In
John Amasi’s decision to implement Self Directed Teams (SDTs) at R.L. Wolfe stemmed from an overarching objective to increase plant productivity. As Director of Production and Engineering, Amasi was aware that his company’s manufacturing facilities were running at only 65-70% of their design capacities, and he optimistically believed that SDTs could raise this figure to 95%. He had first been exposed to the concept of SDTs and the benefits they provided to organizations many years ago while taking a business school course on workforce motivation and team structures. Compelling data revealed that many industries enjoyed productivity boosts due to SDT work systems, and Amasi felt they could be applied to plastic pipe manufacturing as well.
Other issues included setup times and incentive programs. The average setup time on the grinder was four to six hours with a run time of 22 seconds per piece – a system that encouraged large batches. Both sides of the thermocouple probe required grinding; once one batch was complete, the grinder had to be reset for the other end. The workforce was not organized to encourage success. For example, the welders at the end of the production line were rewarded for reworking defective parts at a higher pay rate.
Assumptions • Mike Frazer wants the system implemented in 10 weeks because he views it as the answer to the company’s lackluster follow up sales. The team has not yet asked for an extension or increased budget. • Finley claims he overreacted at Johnston due to lack of sleep from working on the project. He is also skeptical of the projects actual completion date. • Phillips left the company because she was interested in a better quality of life, even if it results in a pay cut.