Nogo Railroad Case Analysis

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Case Study Name and Page #: The NOGO Railroad, page 56

Student Name: Wendy Thompson

Date: October 9, 2011

A. Macro
1. Reduction of current employee expenses for day-to-day operations 2. Employee morale (accepting the necessary changes for increased productivity and growth) 3. Threat of layoffs

4. Union contracts
5. Nepotism & Featherbedding

B. Micro
1. No upper management support
2. No authority to make changes
3. Potential “scapegoat” or “bad guy”
4. Inofficial duties clouding judgement and slowing down progress/motivation

1. Union employees with poorly negotiated contracts 2. Employee resistance to change
3. Inability for cross-trianing/replacement between clerks and telegraph operators 4. Nepotism/featherbedding
5. Lack of upper-management support
6. Undefined responsibilities and authority for Dave

III. Systems Affected
1. Structural – No HR element in place; too many employees that are incapable of being ‘subs’ for the other; not enough work for all employees 2. Psychosocial – Threat of layoffs affects incomes for most of the employees & families; split between those employees that are and are not related; most of workforce has openly demonstated unwillingness to change; low employee morale 3. Technical – Archaic traditions need to be replaced with up-to-date technology; employees unwilling to take on new duties or produce at highest level causing company to lag behind; no cross-training allowed by union contract; clerks are mostly women and telephone operators mostly men 4. Managerial – No upper management support; current management has been promoted because of relationship; no work ethic or do not have skills to do the job 5. Goals – Increase company loyalty and...
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