Step 2B

March 1, 2019 Critical Thinking

Step 2B: Problems and Illustration
Problems
1. Decline in quality and productivity
2. Management issues within the company
3. Customer service and social media management
4. Loyalty to the customer
5. High employee turnover rates
Facts and Causes:
Decline in quality and productivity
– lack of communication between management and employees
– absenteeism
– work overload
– low employee morale
– lack of delegation

Impacts and Effects:
The investigation carried out at the Roanoke branch of the Phoenix Advertising company revealed problems with both management and employee relations. Work ethic and employee performance are significantly affected by the problems revealed in management
A breakdown of communication between employees and management was evident from the answers received during the interviews. Failure to communicate caused poor management of resources and a wall of difference between the two, in which employees were not given the opportunity to raise concerns or work out conflicts. Employees also found themselves working longer hours per a day to try and meet deadlines. Due to this, employees stated they were overly stressed by the environment and would take sick days, causing a rise in rates for absenteeism by 18% and employee turnover by 10%.
One of their main problems is the decrease in employee morale and motivation. This was easily shown through the answers received while conducting the interviews. The employees, both new and old, showed a huge decrease in their enthusiasm to work, which resulted in the decline of the quality of their performance by 25% and the work they produced by 35%.
The employees also associated this declination to the fact that they felt dissatisfaction with the service and the performance of their superiors. They stated that they felt stressed in their work environment which resulted in an increased rate of 18% in sick days-this was the main source of the high employee turnover rate, which saw a growth of 10%. Complaints were also made of the work load placed on the employees due to the lack of delegation and the increase in overtime by 15% with little to no compensation.

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