The paper "The Al Mond Company" is a great example of a Management Case Study. The Al Mond Company produces small rubber car parts such as brake boots and clutches. The company then sells these products to car company assembly plants. The products are later used on new cars and trucks. The Al Mond Company has one plant with Mohammed Al Mond as the president and Joe Smith as the production manager. There are three supervisors in charge of the company’ s three production shifts. The company has been able to operate six days a week in order to cope with the increased product demand.
The external environment is a challenge for the company. For example, the cost of production and labor costs affect the company’ s profitability. The Al Mond Company has been forced to increase its employees in order to increase production and to keep up with the increasing product demand. Some of the issues being faced by the management are capital limitations. Al Mond Company does not have sufficient funds to acquire new production equipment as well as to expand its present plant.
This is limiting its production capacity given that the current market demand is rising. Additionally, the company is being faced with a challenge of maintaining efficiency given its current production capacity. Therefore, Mr. Al Mond Mohammed hired Linda Bennet, a production analyst in order to see if the company could achieve greater efficiency with current production facilities (Herbert, 2012, p. 1). The aim of this paper is to study and examine the issues facing the Al Mond Company and to recommend methods of improving the company’ s efficiency and performance.
Key facts and clarification of the main issues When Ms. Bennet was hired at Al Mond the company’ s production process was streamlined in order to improve efficiency. This was done by reassigning duties to more workers. Therefore, every production was assigned to a particular worker. This is different from the previous production process whereby one worker would run the entire production process (Herbert, 2012, p. 1). The company’ s production output reduced in the first and second shifts. However, production in the third shift remained relatively the same and continued to meet the expected production capacity.
The workers in the first shift were of relatively the same age and they were supervised by Cleverson Anthony (Clev). Clev did not find much motivation to work because he had a huge sum of inheritance from his late brother-in-law. This could have affected the motivation of the other workers. Additionally, the workers felt dissatisfied with the wages. This is because they felt that they had made the company what it is yet they did not receive any benefits from the company’ s profits. Therefore, they reported late or left early from work whenever they got the chance.
Failure to socialize could have resulted in reduced ideas which could have resulted in the success of the new production process. Demotivation and isolation might have affected the employee adoption of the new production process (Herbert, 2012, p. 1). The second shift was supervised by Norm Leonard, a 54 year and a former retiree who had insufficient experience in the production process. Leonard and his experienced 12-men team did not exactly connect with one another. For example, the workers opted to seek consultation from Jim Fask, a senior co-worker, about machine operations.
Therefore, when Flask was reassigned to be a mechanic and a shift set-up man he could no longer offer the desired advice to the team. Additionally, Leonard followed the new production plan to the letter. This meant that there was no room left for extra ideas. These factors must have resulted in reduced production in this shift (Herbert, 2012, p. 1).
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