...Likewise, the UAW is known for its representation outside of the auto industry and the representation into many other vital industries and occupations. More important, given the UAW's broad industry coverage, the outcome of the key bargain has historically set the pattern for all UAW negotiations with automobile manufacturers, farm implement producers, aerospace equipment firms, and producers in other industries especially before 1980. Although the pattern is not always achieved, these interindustry pressures make the UAW case especially interesting and important (Budd,...
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...first exploring what exactly organized labor is. It will explain how it all got started and by whom. It will then look at who benefits from organized labor and what has happened to the work force since it was organized. Finally, try to figure out if organized labor will continue to be the norm in the 21st century. Support: 1. What exactly is organized labor? 2. How did it all get started? 3. Who benefits from organized labor? 4. What has happened to the work force since organized labor? 5. Will organized labor continue to be the norm in the 21st century work force? Conclusion: Organized labor was started from a grass root action from people that wanted to make a difference. It has come a long way since the days of child labor in the coal mines in the Appalachian Mountains and the colonial frontier. Our ancestors etched out a plan for the work force without even realizing how huge it would become in its finest “hour.” Today’s work force continues to benefit from the days of yester years to a certain degree. But then on the other hand organized labor unions will never be the way they were thirty (30) years ago either. Organized labor and organized labor movements are continually changing. Today’s work force are people that work from their home and/or from other countries at call centers. The days of working 7 to 3, Monday through Friday are slowly going out the window. Can organized...
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...Dale Moles Dan Barthel Micro-Econ Spring 2011 5 May 2011 Unions in America Over the past century in America the labor movement has played an important role in the shaping of this country, for better or worse. The influence of unions has ebbed and flowed through the bas century in a struggle for power in the workplace. The status of the labor movement has always been precarious due to the love-hate relationship America has toward unions. Today, just as one hundred years ago, some Americans feel that unions are crucial to the continuing development of our country, and others believe that they are the opposite, that unions will eventually drag the country down. Unions are just about as old as America itself. There were primitive unions of carpenters and other groups in colonial America but it wasn’t until the 1820’s that national labor unions started to gain strength. It was during this time that workers banded together to reduce the hours worked in a day from 12 to 10, and then in 1866 the National Labor Union persuaded Congress to drop the workday to the current 8 hours. Labor Day is a creation of unions as well. The first Labor Day celebration was on the 5th of September, 1882. Labor Day is now held on the first Monday in September. The American Federation of Labor (AFL) formed in 1866 and made many contributions to the cause of protection American workers. The AFL lobbied to create the US Department Moles Pg. 2 of Labor and the Children’s Bureau...
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...profitable. GM announced plans to cease 12 U.S. plants by 2008, and reduce their workforce by 30,000 positions. They also announced that they will cap the company’s contribution to salaried retiree health-care cost at the end of 2005, which will reduce their obligation by almost $5 billion. In 2005, GM laid out and began to aggressively implement a four point turnaround plan aimed at strengthening their competitive position and achieving strong business results for the years to come. The four elements for the plan are: • Keep raising the bar in the execution of great cars and trucks. • Revitalize their sales and marketing strategy. • Significantly improve their cost competitiveness. • Address there health-care and pension legacy burden. General Motors is offering hourly workers as much as $140,000 each to leave the troubled automaker as it extends to push to cut labor costs and put an end to billions of dollars on losses. GM came to an agreement with the United Auto Workers (UAW) union to extend its offer to 113,000 U.S. hourly workers. Those with less that 10 years service will get $70,000 if they leave without the health care coverage. The employees at GM and Delphi that are eligible for retirement will be offered $35,000 lump sum to retire, plus normal pension and health care benefits. The hourly GM employees with 10 years or...
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...GM, as the number one auto manufacturer and seller, go from being at the top to almost ceasing to exist? This kind of financial mess usually takes years of poor decisions and does not happen to a large company overnight. To come to my conclusion I analyzed four books written by people with inside knowledge of the company, as well as magazine articles and a couple of online websites. As a result of my research, I believe that the problems that GM faced stemmed from poor risk management. Rick Wagonner, former CEO, made several poor business decisions that did not take into account any future risks or market changes. A new management team and a fresh perspective were able to turn the company around and put them back at the top of the automotive industry. Risk Management within the General Motors Company General Motors has been in business since 1908 and currently employs 202,000 people in 157 countries world-wide. It is a well-known fact that GM took government bailout money and filed bankruptcy in 2009. How did one of the largest companies in the world fall to needing financial assistance and declaring bankruptcy? One of the largest issues within the company was the lack of risk management practiced by leadership. How did the company then bounce back from declaring bankruptcy to being the auto manufacturer who sold the most cars world-wide in 2011 (Rosevear, 2012)? It is quite a project to overhaul a company, and the end result was more than likely helped by good project...
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...Running head: AUTOMOTIVE BAILOUT The Automotive Industry Bailout: Rewriting History ECON 625: Managerial Economics Abstract The automobile has long been a symbol of American growth and prosperity. Throughout the 20th Century owning and driving a car was an essential part of everyday life for vast majority of U.S. citizens, but few took much time to think about how they were manufactured. Early in the 21st Century, as the U.S. economy began to trend downward, it became apparent that two of the three primary automakers were in significant financial peril. With government aid already being allocated to some of the nation’s largest financial institutions, difficult decisions had to made as to how to approach the alarming crisis at the heart of an industry woven throughout the lives of so many United States citizens. Introduction Beginning in the early twentieth century, automobile makers began marketing and ultimately selling cars to middle-class Americans. It did not take long for a deep love affair for cars to develop across the nation, and ownership became woven into the fabric of the “American Dream”. The invention of the assembly line in the 1910s made automobiles relatively inexpensive, and by 1929 it is estimated that American car companies were producing 5.3 million cars per year (Miller-Wilson, n.d.). The automotive industry surely had its share of ups and downs during the 1900’s, with two World Wars, the Great Depression, an oil crisis in the 1970’s,...
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...to which he refers is Joseph D. Rypkowski, a vice president of the United Auto Workers (UAW). This partnering between management and labor is the crux of Saturn Corporation’s revolutionary idea. Not only are Epps and Rypkowski “paired,” but so are Skip LeFauve, Saturn’s president, and Dick Hoalcraft, the UAW’s top boss. From the top management level down through the ranks, both represented and non represented workers have partners, and, unlike many other organizations with adversarial labor-management relations, the UAW and Saturn’s management work together as teams in virtually every facet of the operation. According to Epps, We’re committed tom an entirely different set of beliefs. One is to have UAW involvement in all aspect of the business. The other crucial principle is that we believe those people affected by a decision should be involved in that decision.” Saturn Corporation is a wholly owned subsidiary of General Motors (GM). Its market share in the U.S. is down to 31.5 percent, and GM, the largest industrial corporation in the world, has been struggling of late. GM is Detroit’s high cost producer. Saturn is part Gm’s strategy to get its North American automobile business back in gear. The genesis of the Saturn experiment in team work occurred in February of 1984 with the establishment of Group 99. This group consisted of 99 employees representing a broad cross section of UAW members, GM managers, and...
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...industry. First implemented at the Highland Park, Michigan, the new technique allowed individual workers to stay in one place and perform the same task repeatedly on multiple vehicles that passed by them. This had a tremendous impact on production and Ford Company that went from doing 3 cars a day, to one every 93 minutes. By the end of that year they had perfected the techniques so well that production was about 1 million cars or I car produced every 24 seconds. Fords is by far one of the most successful companies not only in the United States but the world. Its leadership and commitment to continuously focus on innovation, design and ingenuity led this company to become the power house auto maker it today. Unfortunately, success did not come without complications. Workforce and design issues...
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...RUDE AWAKENING Chapter 6 A Tale of Two Plants: NUMMI Teamwork Versus GM Bureaucracy One might not recognize Rick Madrid as the same man who carried, by his own admission, "a pen and a punch" as an inspector (wo years ago. Oh, the outward appearance hasn't changed much—tattoos and mirrored shades continue to be his trademarks. But the "Iron Maiden" T-shirt is now cleverly concealed beneath his sharply pressed shop coat provided by the company. He's a team leader now, qualified and sanctioned by his peers. He prefers to be called a team motivator, however. "I'm part of the team; I don't have a team. Let people maintain their own personality." —CM Today publication 41 workers. There is a pervading attitude that "if you give them an inch, they'll take a mile," because they don't really want to work. The idea, for example, that a worker in the plant would have the power to stop the line in order to eliminate a problem was heresy. Wouldn't such permission lead to widespread line-stoppage for every whim? Not, according to Toyota, if you instituted a system of worker responsibility and accountability. American companies might think they had a tight rein on employees, but with little responsibility resting directly in the workers' laps, there was also little accountability. And what were the workers being held responsible for? In the first instance, quality. In Japanese companies, quality was part of the process, not something added on in the inspection phase. American...
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...HR Strategy Responding to a Union Organizing Drive Elisha Hogue Prof. Melanie R.B. Morris Labor Relation According to the scenario the UAW organization contacted the ACE workers to join their union organization. Two workers were talking about UAW union organization, and as HR Manager I have overheard them talking. My duties and responsibilities are to inform the managers about our role as a company, and inform them that we are oppose to unions for various reasons. Before responding to a union drive, I need know tactics and steps used by union organizers, and approach management with alternative ways to approach union drives. First step is making the employees aware that the company is opposed to unions, and we are prepared for any lawsuit to remain union free. Also being careful that the company doesn’t engage in any unfair labor practices. Reminding everyone in the company about our policies, benefits, and competitive pay against other companies. Making sure that the primary goal of the company is to treat everyone with respect, fairness, and having an open ear and door for them. I need concentrate and discourse any reason why I believe employees might want to join a union. Address their concerns they might have, and educating the employees about the disadvantages of unions. The unions disadvantages can lead to violence, terminations of employment, dues and initiation fees, union membership requirements, and etc. Meeting with supervisor and mangers to discuss any...
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...out the employees and making sure that the work environment is conducive for them. There are always problem to foresee. For example, when there is talk of unionizing and the HR manager hears about this, something has to be done immediately. This is the case with these four companies. Acme Auto Parts, The Zinnia, School District 273 and Woodville Healthcare are all relatively small companies that seem to be compensating their employees properly. However, there have been talks about unionizing. There are even petitions being signed. As an HR manager, these matters need to be handled appropriately and carefully. Acme Auto Parts is a small nonunion auto parts manufacturer. Recently, employees have been mentioning the United Auto Workers (UAW). The UAW is the union that represents the other auto companies. They are trying to organize the nonunion parts factories and they have been trying to contact Acme workers. The problem is that the workers might be convinced to join the union. As an HR manager, I need to protect the company and keep the employees happy as well. The way I would respond to this situation is to keep an open communication with the employees. They need to be aware that the Big Three automakers (Ford, General Motors and Chrysler) are trying to wring cost concessions. They are facing high competition and this is affecting Acme Auto Parts as well. I would organize meetings with the employees to show them the financial status of the company. They would be able to voice out...
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...STRATEGIC MARKETING The wish for Alfa Romeo to come back to the US Market Plan: 1) Introduction 2) The Us Market a. Pestel Analysis b. Main actors in the Market c. Porter Analysis d. State and trends e. Key factors to success 3) Strategies and recommendations a. The situation of Alfa Romeo b. A challenger position c. The threats and opportunities d. Marketing Mix (4P) 4) Conclusion 1) Introduction: Alfa Romeo is an Italian carmaker born in 1910, in Milano. Since 1986, the brand is a part of the Italian Automotive group Fiat. The Fiat Group owns the brands Abarth, Alfa Romeo, Chrysler, Dodge, Fiat, Ferrari, Iveco, Jeep, Lancia and Maserati. The CEO of Fiat is Sergio Marchionne and Harald Wester is the CEO of Alfa Romeo. Alfa Romeo left the Us Market in 1995, because its situation was dire, after a gold period in the middle of the sixties. Since 1995, Alfa Romeo officially sold only two models in the USA, representing 125 units. Fiat Group aims to develop its position on the world market, in September 2010, Fiat was the ninth automotive group in the world, with a production of 2.46 millions of vehicles. To develop itself on an international way, the group is counting on the US market and had implemented many strategies to increase its market shares. The main one was to progressively acquire the Chrysler...
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...THE CHANGE PROCESS IN GENERAL MOTORS AND FORD This brief analysis reflects on the change management processes employed by the two motor companies; Ford and General Motors. The references discussed in this paper were a source of information that provided knowledge into the 2 major corporations and the transformational changes that they underwent in an effort to ensure their profitability and viability. Both GM and Ford underwent major decline and loss in stock some few years back and even as one filed for bankruptcy (GM) the other hard not to, and succeeded. Both companies needed to make some changes in an effort to recover. In an article by Terry Corbell, as he points out the 7 lessons that other businesses could learn from the Ford motor Company, he infers that If a business is performing in a mediocre fashion, chances are the company needs an overhaul. A culture change, if you will. And for a positive case study in change-management, Ford Motor Company qualifies (Corbell, 2013). Ford has had similar endorsements; ever since after being hired, CEO Mr. Mulally managed to notably install a competitive, sustainable business model that pulled Ford from the brink. Durbin and Krisher seem to agree with this assessment even as they also voice some doubts. Mulally has transformed the company into a simpler, nimbler organization that's ready to react to change more quickly, but experts are not so sure the change will last. Management experts say it's easy to talk about a willingness...
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...Caterpillar Inc.: Corporate Social Responsibility Some argue that the role of business is simply to make money. Others argue that this statement is wrong and that the components of corporate social responsibility are just as important to a business as it is to create shareholder value. (Davis, 2005, 105) The components of corporate social responsibility include looking after the community and environment as well as other things such as the helping out the stakeholders of the company. As you will soon find out a quality social performance will likely have positive effects on the company, while poor social performance will likely have negative effects. Caterpillar Inc. like most companies does have problems with their history of CSR but also has a very good record in other areas. Caterpillar Inc.: Poor Social Performance Caterpillar Inc. being a machinery company constantly has environmental guidelines it must follow. If they do not follow these guidelines there is likely to be consequences. One environmental headline Caterpillar Inc. would rather forget was on August 1st, 2000, when it was awarded by the not-for –profit organization Clean Air Trust, the Clean Air Villain of the Month. It was said the company appeared to be deliberately avoiding the legal agreement to clean up their dirty engines. Only 13 months earlier the Justice Department and the State of California had signed off an agreement with Caterpillar Inc. The agreement with the company was made after an investigation...
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...General Motors Prepared for: Business Cluster Professors Prepared by: Team 7 Anthony Allio Joseph Allio Lauren Snitcher Nicholai Larroque Gregory Armamdo June 10, 2005 Table OF CONTENTS Introduction 4 Region Analysis 4 North America- GMNA 4 Europe- GME 4 Latin America- GMLAAM 5 Asia/Pacific- GMAP 5 Porters Five Forces 6 Rivalry 6 Barriers to Entry 6 Threat of Substitutes 7 Power of Suppliers 7 Power of Buyers 8 Competitive Advantage 9 Internal Analysis 10 Internal Strengths 10 GMAC’s Continued Earnings Growth 10 Marketing Strategy/Consolidation 10 GM LAAM/ GM Asia Pacific 10 Internal Weaknesses 11 Rising Health Care Costs 11 Weak Product Mix 11 Lack of Flexibility 11 Strategy 12 Retrenchment Strategy: Product Redevelopment 12 Overlapping models 12 Reinvention 13 Appendix 18 Introduction General Motors is a company that has been around for over one century and has been an integral member of the automotive industry since its inception. To understand General Motors one must simply look at their business philosophy which guides them today, and is embodied in the companies’ culture: product excellence and customer focus, act as one company, and move with a sense of urgency. Throughout this analysis of General Motors we have provided an in depth look at these philosophies, while in the end developing a future strategy for General Motors to implement in restructuring...
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