Case Study Johnson Engine Company

Q#1 Use the organizational development model of “contracting” to explain what is happening in this case?

The organizational development helps the mangers to identify the key opportunity areas along with the areas to improve at individual and team level. Since the purpose of the organizational development is to increase and improve the performance of the employees individual and at the team level (Robbins, 2004). Moreover, this organizational development works for the well-being of the employee and the company simultaneously by providing the changes needed by the employees of the particular company as in case of Johnson engine company. As according to the CEO, the need was to build the self-managed team so to achieve the organizational goals as well as objectives. Here in case, the consultant is outsourced so as to train the employees, because according to the organizational development model of contracting it is necessary for companies to define clearly the goals, main expectations, and scope of the company in the OD phase. This was done by OD consultants in the, in order to compete with the Japanese total quality management strategy, the need was to work hard on the quality, and efficiency of the employees which would ultimately result in the better competition of the company in the market.

Johnson Company also used the sponsoring agent, this clearly depicted that the top management was clearly aware of the problems and conflicts to face or that will be appeared. The limited education of employees who were seniors and had ample experience but seemed responsible in terms contracting the new hires those were young, but were not able to continue their tasks due to the monotonous work. Therefore, there was a clear indication that the change in the work pattern is required so as to eliminate the repetitive and boring task, by doing this would create the innovative work environment. In addition to this, this organization development model clearly got the input through the information, data, and with the help of outsource agent promote the training education within the company so as to reduce the layoffs.

The OD model of contracting here in case of Johnson Company can depict the contracting is a continuously renewable, repetitive, and therefore should cover the financial and psychological aspects. This further reflects that the relationship between client and sponsoring agent should ensure the trust, and reduce the trust deficit that has been created. In addition to this, both parties must agree on the intervention conditions, and the ground realities.

Q#2 Use the facts of the case and theories and best practices from the course to explain how this organization might be able to move from a traditional organization to become a high performance work system?

The case of Johnson Engine Company is a good example of how a good well settled company needed the radical changes in order to survive and compete with the top competitors in the world's automobile industry, i.e. Japanese whose total base of competition is on the total quality ...