The workers of the industry were not satisfied with the working condition as a result of which their moral went down. To overcome this problem MD of the organization reorganized the organization and allowed the workers to take decision and undertake activities which were earlier decided by the manager, like pay structure , fellow workers, job assignment, promotion and transfer. Workers were divided into team and each team decided upon the production schedule , quality control and maintenance etc. This reduced the need for mangers and the span of management thus rose.
These changes reduced operating cost and rate of labour turnover and asenteeism. Worker’s morale went up and they enjoyed their work and work place. After some time problem began to crop up. Manager started feeling that their authority was being challenged nd their importance was reduced. Workers and team leader found difficult to set standards of performance and financial incentives for their co – worker. This resulted in problem of coordination. MD decided to redesign the system and increase the number of management levels by reducing the span of management.
Questions
1 What were the problems of coordination in the company?
2 What steps do you think manager need to take
Answers
Explanation:
1. The workaers of the industry were not satisfied with the working condition as a result of which their moral went down. To overcome this problem MD of the organization reorganized the organization and allowed the workers to take decision and undertake activities which were earlier decided by the manager, like pay structure , fellow workers, job assignment, promotion and transfer.
2. This reduced the need for mangers and the span of management thus rose.
These changes reduced operating cost and rate of labour turnover and asenteeism. Worker’s morale went up and they enjoyed their work and work place. After some time problem began to crop up. Manager started feeling that their authority was being challenged nd their importance was reduced.