Ancol Ltd. Study

Topics: Management, Communication Pages: 5 (1632 words) Published: July 1, 2014
Ancol Ltd. Case Study
Executive Summary:
Ancol Ltd. hired Paul Simard as the manager of their Jonquiere, Quebec plant. Simard observed that relations were strained between management and employees and, through information from a seminar he had attended, ordered the removal of time clocks. This action brought an onset of negative consequences that ultimately led to a further diminishing of relations between the employees and management, accounting issues due to lack of accountability, and problems between the union and Ancol Ltd; All of these issues decreased productivity in the factory.

The problem stems from issues of competency and communication. Essentially, there should have been an open solution from the beginning. Simard did not have the insight to understand the situation he was placed in. The new manager should have tried to understand why relations between employees and management were strained in the first place. He then could move to understand the needs of the management and workers to develop a solution that would benefit the whole factory. Rather than instantly implementing the removal of time clocks that he had learnt from the seminar, Simard should have carefully analyzed the situation and what consequences this policy could have on the factory. Simard could have researched and inquired about such methods and perhaps learnt the consequences from the instance at the B.C. factory.

Problem Statement:
The central issue at the Jonquiere Ancol Ltd. plant was that Paul Simard, and his management team, lacked the insight and communication to discern a more holistic and open solution to the problem of strained relations between the management and employees. This led to an uneducated and rash decision to order the removal of time clocks from the factory that led to negative consequences. Employees began leaving early, showing for work late, and taking extended lunch breaks that created distrust and frustration among management and other employees. The management was ordered to observe the employees and reprimand those who abused their privileges and was not competent enough to handle the task, which led to a great burden for the supervisors, and this made it extremely difficult to foster trust between the management and employees. Consequently, the payroll department could not deduct pay for the amount of times employees were late due to a lack of accountability and therefore a letter of reprimand was placed in each employee’s file, which created even more work for the supervisors. Finally, due to the letters of reprimand, grievances were filed with the employees’ unions that fostered greater distrust and essentially productivity, energy, and integrity significantly declined in the factory.

The main issue revolved around the lack of communication and competency of the management at the beginning. Simard, and his staff, lacked the insight to effectively find a solution that would provide a holistic approach in solving the already apparent strained relations between the supervisors and employees. At the onset of his work term, Simard should have sought to understand why there was a rift between the employees and management. If Ancol Ltd. were still in good terms with the previous manager, Simard could have communicated with him to obtain a better understanding. In understanding the underlying issue, Simard would be able to effectively tackle the problem without uncertainty and then, Simard should have effectively communicated with his management team and his employees to find a solution that would benefit both parties and foster productivity, integrity, and trust back into the factory. The constraint to finding a holistic approach is that it takes time and the right solution may not come into fruition. Furthermore, while a solution is being made, it can be assumed that the relations are worsening. Furthermore, Simard should have seen that some of the issue...
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