Change in Chrysler's Work Culture
John Fabrizzio
Organizational Behavior
OB in Action Case Study
Chrysler’s culture before Mr. Machionne took over, as CEO was not the type of culture I would like to be associated with. It seemed that once sales were down for Chrysler the working environment was going down as well. To me it seemed like the workers and executives were following the path of there old CEO Peter Fong. By reading this case study you can tell that Peter Fong was not that creative of a man. For example, when the government was promoting their “clunker” idea, Peter Fong took that and added an extra $4,500. This is a terrible idea for a company that is struggling already with there annual profits. Instead of thinking of ways too make their automobiles better he was trying to sell cars that nobody wants and giving more and more discounts. You cannot make a profit this way. I’m sure the members of the sales team were all thinking this in their heads and talking amongst each other about how bad of an idea this was. These kinds of things lead to a bad working environment and people second-guessing each other. I know that this would not be the culture in a work environment that I would be looking for. The first question leads me right into the second with Mr. Machionne trying to improve the PE fit of the company. The PE fit is simply “the compatibility between an individual and a work environment that occurs when their characteristics are well matched.” I believe that Mr. Machionne is doing a much better job then Peter Fong when it comes to making sure you have the right people working for you. One of the things he did was interview every single executive to evaluate if he thinks that the person is qualified and too make sure he has the right person that fits his work ethic. He fired a lot of people who he didn’t think were performing how he thought they were capable of, and also promoted people who he thought were lower then they deserved too be. Mr. Machionne is giving a lot of the
Organizational Behavior
OB in Action Case Study
Chrysler’s culture before Mr. Machionne took over, as CEO was not the type of culture I would like to be associated with. It seemed that once sales were down for Chrysler the working environment was going down as well. To me it seemed like the workers and executives were following the path of there old CEO Peter Fong. By reading this case study you can tell that Peter Fong was not that creative of a man. For example, when the government was promoting their “clunker” idea, Peter Fong took that and added an extra $4,500. This is a terrible idea for a company that is struggling already with there annual profits. Instead of thinking of ways too make their automobiles better he was trying to sell cars that nobody wants and giving more and more discounts. You cannot make a profit this way. I’m sure the members of the sales team were all thinking this in their heads and talking amongst each other about how bad of an idea this was. These kinds of things lead to a bad working environment and people second-guessing each other. I know that this would not be the culture in a work environment that I would be looking for. The first question leads me right into the second with Mr. Machionne trying to improve the PE fit of the company. The PE fit is simply “the compatibility between an individual and a work environment that occurs when their characteristics are well matched.” I believe that Mr. Machionne is doing a much better job then Peter Fong when it comes to making sure you have the right people working for you. One of the things he did was interview every single executive to evaluate if he thinks that the person is qualified and too make sure he has the right person that fits his work ethic. He fired a lot of people who he didn’t think were performing how he thought they were capable of, and also promoted people who he thought were lower then they deserved too be. Mr. Machionne is giving a lot of the