Case Study about Organizational Culture and the Bottom Line
The Problem: In the case of the XYZ Company, the dysfunctional culture was clearly impacting the company’s bottom line. The 40 year old XYZ company manufactures polyester film for industrial use. A couple of years before our involvement with the company, it was purchased. One of the new owners was an engineer and became the president of the company. The other had a financial background and became the CFO.
The partners decision to purchase the company was based on projections of rapid growth and increased profits. The new owners believed that they could achieve their goals of increased productivity, acquisition of new customers and profit growth by creating a more disciplined, standardized production system. In addition, they planned to build the capabilities of the workforce and create a culture of employee input and problem-solving. Their vision of the future organization was one in which all operators would contribute their input to process improvements and trouble-shooting.
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