Ethical Issues In The Savage Factory

Abstract

The purpose of this written assignment is to identify the multiple management and organizational problems in Ford’s Sharonville factory and propose ethical solutions that could have probably saved the plant and, ultimately, the Ford Motor Company.

The assignment also summarizes some of the most important events of The Savage Factory. The author of the book, Robert J. Dewar, or Bob, is the main character in the book. The book narrates Bob’s experience as a supervisor in the Sharonville plant. Bob would question some management decisions and would eventually take his own steps to increase production.

The story ultimately narrates how unethical practices in a company would eventually lead to the deterioration of that company.

Detroit

In the 1960’s, Detroit was the most prosperous cities in the United States. Although Detroit was a place of high employment and high per capita income, today’s Motor City is facing debt and bankruptcy.

There are multiple reasons why Detroit failed, including the decline in population, rise of unemployment, debt, crime, and, most importantly, the inability to compete. Many historians and economists blame the failure of American car companies for the collapse of Detroit when American car brands could not compete with cheaper foreign cars with higher quality. In The Savage Factory, the author Robert J.

Dewar narrates his experience as a supervisor in Ford’s biggest transmission plan and blames multiple non-ethical procedures and the lack of positive managerial skills for the collapse of the factory.
The Factory’s Summary
The relationship between managers and employees was harmful.

Bob narrates how and why production was sabotaged and why hourly employees went missing. Most of the employees were protected with satisfying labor contracts. When Bob was asked for scrutinizing employees for any reason, he would question if a good supervisor would do that. He also recounts how employees took long breaks and production would drop. Supervisors would confiscate forms of distractions and the rare positive features in the plant to stop slackness. However, punishments would decrease performance because employees will slow production for

payback.
The Savage Factory also summarizes a war between hourly workers and management. Most of the employees were driven by their ego and pride. Detroit’s downfall derived from the lack of efficiency and teamwork when foreign companies were starting to gain ground in America.
Sharonville
In Bob’s first day, he saw a hazardous working environment. Bob mentioned that the factory looked “more like a prison.” (Dewar, 2009, p. 1) Bob was not acknowledged and he observed how people look disinterested and miserable. Ed, Bob’s trainer, gave a long explanation of the job duties. However, Bob’s first day was miserable due to the fact that he was not trained properly. Workers bet on the durability of Bob’s employment and disrespected him as a manager. Bob saw how workers had almost no autonomy and it was his responsibility to constantly supervise his sector. Autonomy is the point in which a job gives certain freedom and option to a worker. Workers were always observed and pushed to use the demanding procedures to finish the job in time. Giving employees a sense of autonomy could have increased job satisfaction and motivation, resulting in a better performance.
Management and Job Satisfaction
Management is the method of planning, organizing, leading, and controlling resources to increase efficiency. In the factory, management would ignore the needs of the employees. Bob believed hourly workers were non-motivated and unhappy despite their amusing contracts. (Dewar, 2009, p. 3) Job satisfaction, a satisfying emotional state that derives from working experiences, depends on whether employees perceive job as valuable. Employees had mainly negative feelings about each other. In positive correlations, job satisfaction does influence a better job performance, citizenship behavior, and organizational commitment. People without a solid job satisfaction are more likely to engaged in counterproductive behavior.
Employees vs. Managers
The rude interaction between management and employees degraded job satisfaction and citizenship behavior. Employees would fight for parking spots, create disruptions, and disrespect each other. Supervisors and hourly workers had no trust for each other. None of the employees in the factory worked as a team. If Ford could have formed teams, it is very likely that employees could have been more motivated and coordinated. With teamwork, problems at Ford could have been solved faster. If employees had had the tools, such as, freedom to perform, more protection, and care, performance and production would have been better.
Lack of Commitment
While Ford salaries were excessive, recognition and promotion was non-existent. Communication with other workers was difficult since hourly workers hated management. Ford believed that throwing money to workers was going to be enough to satisfy workers and increase performance. However, the dehumanization of the employees was reducing mood and satisfaction. In addition, job performance, the value of activities that add to a goal, was negative most of the time. Workers, when treated negatively, would not work as much. Potential performance, the highest level of group performance, seemed unachievable. Workers needed a sense of recognition and improvement to reach potential performance and compete.
Lack of Motivation
The workers maximum intensity was always stopped by disrespect and punishments. Workers were dehumanized and had their names changed to their “last four.” (Dewar, 2009, p. 12) Employees were renamed to a 4-digit. In addition, workers receive 4600 punishments, which affected their work schedule. Bob suddenly realized that workers required motivation. One of the workers told Bob, “Any day you gotta come to work at this place ain't no good day.” (Dewar, 2009, p. 40) Ford had no motivational framework. Workers did not have access to rewards, just punishments. Although the workers were well paid, they hated their working conditions and the way they were treated. Hourly workers had organizational commitment due to their earnings. However, employees hated being part of Ford. This sense of committing to a job was an example of continuance commitment because workers continued working because they needed to. To solve the motivation issue, managers could have given rewards or offer cases of promotion.