Southeastern Mills(SEM) Harvard Case Solution & Analysis

Southeastern Mills(SEM) Case Solution

INTRODUCTION

This case study is focused on a company called: Southeastern Mills (SEM), its high-performance work system and its journey towards six sigma program implementation is a food group dealing with operations such as: flour milling and manufacturing of mix etc. The owners and employees of SEM, a sophisticated food business, developed an-exclusive and efficient HPWP system with 7 key elements for improving the overall organizational performance and maintaining a good workplace. (Robert D. Landel, 2009). The culture was based on decentralized organization systems and trust among the employees.The teams used to develop their own task and take responsibilities accordingly, with little or no supervision by the senior management. Every employee in the company managed their areas without any direct supervision. Management is now concerned with the overall environment and proposes to implement six sigma programs programs due to the engagement of the company with large and high-end demanding customers for the standardized products. Few members of the management oppose to this idea.

QUESTION 1

The key elements of the high-performance work system (HPWS)is comprised of the following:

  1. Positive assumptions about the employees.
  2. Maintaining the trust levels.
  3. Identifying and removing the negative aspects.
  4. Providing training for developing the team.
  5. Leadership and technical skills.
  6. Setting up a two-way communication process.
  7. Involvement and participation of employees.
  8. Competitive salaries and benefits.

These key elements support one another in multiple ways,for instance: if positive assumptions are kept for the employees and a level of trust is shown towards them; they would-ultimately start working effectively and efficiently.

The two-way communication helps and assists the managers in listening to the employees’ suggestions and problems and identifying any negative outcome at lower levels, which could possibly be eradicated through an open communication.

Similarly, the employees favour competitive salary packages, but that’s not sufficient, because the employees’ participation, involvementand/or engagement, matter as well. This generates a level of trust and commitment from the employees towards their work organization.

The identification of any unfavorable or negative aspect can be removed by providing specialized training programs to the employees.

The key elements of the HPWP system result in the accomplishment of different benefits, including:

  1. Improved or an increased productivity.
  2. Development of knowledge, skills and abilities among the employees.
  3. Enhancement of the organization’s social structure.
  4. Job Satisfaction.

1.Improved Productivity

Sustaining and maintaining a trusting relationship with employees, developing positive assumptions and expectation and involving the employees in key decision of the company lead towards an overall enhanced productivity level. At Southeastern mills, the employees were treated as capable adult individuals with trust and they were considered responsible for their work. The teams used to develop their own work plans with little or no supervision. This had led towards an improved productivity levels of the company, as the customer orders were filled properly, on time.

2.Develop KSA’s among employees

These elements of high-performance work system (HPWS) develop the necessary KSAs (i.e. Knowledge, Skills and Abilities) among the employees of SEM, helped them in performing their tasks efficiently. At SEM, these elements helped the employee in having a better self-knowledge and ultimately putting their efforts in the best interest of the company by developing the key KSAs.

3.Enhancing the organization’s social structure

These elements improved the collaboration and communication among the employees at SEM, ultimately leading towards an achieved organizational objectives of having an improved profitability, productivity and customer satisfaction. This enhanced the overall organizational social structure.

4.Job Satisfaction

SEM opted different key measures in maintaining a safe and secure workplace for its employees, for instance:

  • The company’s parking space being available for all the employees.
  • The salaries included full benefits even for the temporary workers.
  • Employees were held individually responsible for their work.
  • Performance was highlighted in meetings.
  • The employees were given space to solve the problems as a team rather than relying on the senior management’s rules and orders.

These action by the SEM management, resulted in an improved employees’ job satisfaction Absenteeism, attrition and turnover were reduced to significant levels due to the adoption of these key elements in the organization.........................

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