This 9 page paper looks at a case study supplied by the student and considers how a move towards a more centralized method of operation, with head office taking a more active role impacts on the way control and power are seen in the company. The bibliography cites 10 sources.
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managers towards the more centralised structures of head office with the use of internal competition. The shift in power is also seeing a different type of leadership emerge. The increased
centralisation has allowed head office to take a greater level of control with more contact with the customers as well as a higher level of input information that can be
used to control. In any environment there is the desire to maximise the return from investments, this means making the most of the facilities and increasing profit margins. If
one facility is able to complete a job at a lower cost than another, then this will mean the same order placed with the more efficient facilities will increase the
profit for the company. It is this perspective that drives internal competition. The general trend over the last few years in many areas of industry has been o develop
internal competition. The aim has not been to set employees and facilities against each other but to introduce the external competitive forces into the workplace in order to increase efficiency.
However, when we look at the Engineering case study there is also a shift in power and as well as the competitive element there is also more control taken by
head office meaning that the empowerment that is often seen as a tool used to motivate employees and to try and increase productivity in line with the human relations school
of thought. The opposite appears to be the case here, there is also a reduction of power at factory level and there are some discussions to try and compromise, but
it is clear the company will use force to introduce the changes if the employees to not comply. If we look at the way the power is changing we
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