Case Study 1
Hanqing Zhao (Bill)
Martin Jiles, Executive Director of Express, was leading Express for 8 years. He had set up the “can-do” culture and the results-oriented management style to help this company achieved many goals and affect Express in many aspects. Such as the “can-do” attitude played an important role in installing MIRS computer system, which was widely refused to use in the country because it was hard to do. However, although Jiles had confidence in his culture, it seemed that was an old time story. There were a lot of problems came from this culture, and caused the scandal came to the public. As the leader of this company, he had the obligation to face it and solve it. Especially, the problems were caused by the core culture, which only could be solved by the leaders.
Frank Preston, the Transportation Services Director, was from a position as deputy transportation coordinator for a large transit system. The Transit Division faced 4 main challenges: 1. Declining bus ridership, 2. Flat revenues, 3. Decreased federal funding, 4. An aging bus fleet. In order to solve these challenges, Preston followed the Jiles’ culture by using Management by Objectives (MBO) to ensure all the workers’ the efficiency and effectiveness, since the Express used Pay-For-Performance (PFP) plan to annually evaluate the managers. The PFP plan was based on 6 summary reports, which are 1) miles between trouble calls; 2) expenditures within approved budget; 3) yard delays; 4) parts delays due to unavailability; 5) adequate stock quantities in the Unit Rebuild Division; and 6) maintenance costs per coach operating hour, that can directly influence the managers’ payment. Additionally, the plan put a daily pressure to every manager in Maintenance Division because they cannot control the reports, and also if they do so, the safety of the buses cannot be ensured.
Clayton Baker, Manager of Vehicle Maintenance, leads four bases of Vehicle Maintenance, was asked by Preston...
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