Treadway Tire Company Case Study

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Introduction: Treadway Tire Company, a major supplier of tires in North America, is experiencing high turnover rates of foremen in their manufacturing plant in Lima, Ohio. Moral issues and dissatisfactions of line-foremen segment are infecting the entire plant. Background: Lima plant employ 970 hourly employees and 150 salaried employees .It operates 24 hours a day, seven days a week, with four rotating shifts. Lately the plant is faced with variety of challenges due to the rising cost of raw materials. Problem: High turnover and low productivity were due to stressful work environment, lack of training, morale and hiring problems. Foremen had too many responsibilities yet lack of authority and respect. Lack of communication within the plant. Opportunities: Lama Plant has a great opportunity to enhance work environment and upgrade workers skills to increase productivity. Recommendations: Eliminate dissatisfaction by:

- Reducing work hours, and offering a periodic training program to upgrade personal skills and knowledge required. - Guide foremen and hourly workers through different work process, so as to understand what their responsibilities are and were that fit in the companies’ overall picture. - Develop better communication system between foremen, hourly workers and, managers. Then, managers should motivate foremen by showing them some respect and appreciation, allowing them more authority, and involving them in decisions regarding their subordinates. Conclusion: Considering the recommendations above Lima plant will recognize a significant decrease in foremen turnover as well as increase in morale and it could become Treadway’s number one plant for productivity and its lowest cost producer in North America.
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