Treetop Forest Products is experiencing several key problems within the packaging department. Packaging productivity has been in a decline over the past two years and effecting the rest of the departments negatively, all other departments are up significantly but unable to reach their total potential due to backups and quality issues in packaging.
The employees are minimally supervised to times of a total lack of supervision, this is resulting in poor work performance. Employees are experiencing severe lacks in motivation and have begun to adopt norms not fitted with the company. Inventory costs are on the rise and the risks of damaged stocks are showing potential increases. The quality of the appearance of the finished products is also decreasing, resulting in a loss in the market share in the industry, this is bringing profitability down and creating loss of business to other competitors.
Employee lunch and shift abuse is causing the decrease in productivity for the packaging team. The lack of supervision is also one of the main causes of most of the problems stated. The group’s cohesiveness is causing them to behave in similar manners, even when an outside temporary worker is assigned to help, only after a few days the abuse is noticeable within the temporary’s behavior.
Behaviors being adopted are not in line with the norms of the rest of the company and are known within the organizations other departments. The packaging department is located further across the property than all the other departments, management responsible for overseeing packaging are having issues covering their main departments and making the long trek to the packaging facility. The lack of management attention is creating a sense of isolation and exclusion for employees and the rest of the company.
Packaging’s poor performance is causing an overstock which results in high inventory costs and risk of damaged products since they have to be stored