Issue 1: Poor internal alignment
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Evidence (Mentions) in Case
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Major Reasons
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Technological problems
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Poor quality, productivity and competitiveness.
Rewards for cost saving efforts, not quality performance.
Quality shortcomings were design based.
Belief that plant would not be around for long, infrastructure as well as plant maintenance had ceased.
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Lack of focus on quality metrics from management’s perspective.
Cost saving approach was management’s priority.
Issue with value creation at activity level.
Lack of communication and clear directives.
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Political & Cultural problems
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Long history (> 35 years) of unsatisfactory performance and troubled industrial relations.
Unkept promises and abrasive strategies by management.
Lack of coherent leadership, little accountability of managers for their decisions (~18 months tenure)
Workforce was considered militant and sceptical.
Workforce’s lack of respect for the management.
Unions and people in the industry perceived that Halewood was low in order of priority for management.
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Lack of cordial relationship between management and unions (Few exception cases like voluntary redundancy program, etc.)
Lack of communication and clear directives from management’s side.
Unions had almost full control and command over the shop-floor.
Collective distrust in management.
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