Northern Sigma is at the forefront of innovation thanks to its commitment to utilizing the most recent available technologies in its production, helping it produce cutting-edge electronic equipment. The plant is located in Canada, and there are numerous plants spread around the rest of the country. Philip Wegner is in charge of operations at the Toronto plant, one of the many plants in the country. This production plant follows a policy that prioritizes hiring members of underrepresented populations and women from the native community. Because they only make up 13% of the labor force, these groups have been overlooked in the employment sector, which has led to the current situation.
Everything was in good operation until the past two years, when the plant began receiving complaints. As a result, an investigation was carried out as part of the solution. According to the findings, it is clear that the company does not prioritize the development of its collaboration, communication, planning, respect, or organizational culture (Robbins et al., 2011). In the research process, three groups—women and those from disadvantaged backgrounds, as well as management—were interviewed, and both had different points of view about the same matter. They all held the view that the problems occurring in the company were the other side’s fault.
Cause of the problem
These issues only arise if the company is being led ineffectively by those in management (Robbins et al., 2011). The plant’s leader must demonstrate strong leadership traits and skills to do their job effectively. When dysfunctional conduct is noticed within a team, the cause is typically a defective measuring system rather than the individual exhibiting the behavior. This is because dysfunctional behavior is challenging to quantify. Strong leadership enables the existence of a company culture that each employee is obligated to accept and uphold as part of their job responsibilities. In addition, there must be appreciation among all the workers at the company. Work done collaboratively must be acknowledged (Robbins et al., 2011). The manager must include all workers in the decision-making process, regardless of their position within the company. It would be wise for him to devise a platform where their discoveries and thoughts could be discussed. Because the facility in Toronto lacks each of these characteristics, it has been afflicted by several issues, which have been a major contributor to the troubles that are currently being encountered there.
The manager is to blame for the issues experienced at the plant. As a leader, he is responsible for ensuring that the employees appreciate each other, collaborate as a team, are motivated, and provide a working environment conducive to their success. The most crucial thing for him to have is current information about the situation, as this will help him formulate policies and procedures that will make sure activities at the company are both successful and efficient. Philip was operating the company by making decisions based on assumptions; hence he was not successful in this endeavor.
If these issues are not resolved, the plant may eventually be destroyed. A lack of staff coordination is likely to result from the company’s weak leadership abilities, which are currently being put into practice at the company. Because of the high incidence of staff turnover, the company will have to spend more money on its recruitment drive. This is because the company provides such deplorable working conditions for its employees hence the high turnover (Robbins et al., 2011). The production rate and the product’s quality would decrease due to the absence of collaboration among the workers. The revenue collected by the company and consumer satisfaction will decrease due to these issues. The company will have a challenging time achieving its objectives and goals, and as a result, it will eventually become unsustainable and unable to operate.
Problem Statement: Poor leadership and discrimination of women and minority employees at the Northern Sigma plant led to high staff turnover and increased hiring costs.
The Northern Sigma Company is amid a massive crisis that is impacting the company’s personnel and the business as a whole. It has been alleged that the corporation has weak leadership and discriminatory processes against women and employees from minority groups. The supervisor, Mr. Philip Wagner, has been accused of engaging in discriminatory practices, resulting in high employee turnover rates and increased costs associated with hiring. This issue has had a detrimental effect on the organization’s culture, reputation, and bottom line.
According to numerous studies, workplace discrimination is a significant problem that can have detrimental effects not only on people but also on companies (Equal Employment Opportunity Commission, 2021). Women and members of minority groups are disproportionately subjected to forms of discrimination in the workplace, such as lower pay, fewer possibilities for promotion, and fewer chances to advance their careers (U.S. Department of Labor, 2022). A hostile work environment is created due to this form of discrimination, which can lead to high levels of stress, burnout, and frustration on the part of the staff (National Institute for Occupational Safety and Health, 2021).
This discriminatory practice has resulted in high turnover rates at Northern Sigma Firm, which can be a considerable financial burden for the organization. Depending on the level of employment, the cost of replacing an employee can be anywhere from a few thousand dollars to multiples of that amount (Society for Human Resource Management, 2022). This may put a burden on the resources available to the organization and may result in a decrease in the operations’ overall efficiency.
In addition, the Northern Sigma plant is at risk of earning a poor reputation due to this issue, which will likely impact the company’s capacity to recruit and keep top people in the coming years. Because the organization has a reputation for being an unpleasant work environment, potential job seekers may likely be dissuaded from applying there, making preserving a healthy employee culture more challenging. This can also contribute to a decrease in the degree of pleasure experienced by customers since staff who are dissatisfied with their place of employment are more likely to deliver substandard products to customers (Gallup, 2021).
Alternatives to address the problem
Ineffective management can be a significant factor in the high employee turnover rates and prejudice that occur in the workplace. To find a solution to this issue, businesses can take several different initiatives to enhance the caliber of their leadership and develop a working climate that is more upbeat and welcoming to all employees. below w discuss some alternative techniques for addressing weak leadership in a firm experiencing high turnover and discrimination levels.
One alternative is to improve the organization’s activities when employing new employees. Companies may ensure that they are hiring people who can become great leaders if they test new hires thoroughly for leadership skills before bringing them on board. In addition, corporations can contribute to creating a more varied and accommodating work environment by adhering to the firm’s inclusion and diversity policy, which can reduce the likelihood of discrimination occurring in the workplace (Phillips & Gully, 2019).
Another alternative is to provide employees with opportunities for professional growth and development programs. Companies can help develop their leaders’ skills and capabilities by offering leadership development programs to their current staff. This has the potential to make for a more upbeat and productive working environment, in addition to lowering the danger of high turnover rates among employees (Phillips & Gully, 2019).
Another essential alternative that can be done to remedy weak leadership is to encourage feedback and involvement from employees. Plants like Northern sigma can gather valuable insights and make adjustments to improve the quality of the work environment if they encourage employees to regularly express their opinions and concerns about the firm and its leadership ethrough the provision of regular chances for employees to do so (Phillips & Gully, 2019). A more pleasant and inclusive working environment can go a long way toward lowering the likelihood of workplace discrimination. Businesses can make this happen by actively interacting with their workforce and cultivating a culture of open communication.
Recommendations
The issue of discrimination and poor leadership at Northern Sigma Firm is a significant problem that requires quick attention. The fact that this issue is having a detrimental impact not just on company operations but also on employee retention and turnover rates underscores the organization’s need to take action to solve this problem. The organization needs to make strides in making the workplace more welcoming and equitable for all employees by ensuring that they are respected and valued equally. A multi-pronged strategy is required to address the issue of weak leadership in a firm experiencing high employee turnover and discrimination rates. The manager of Northern Sigma can foster a more positive work environment, decrease the likelihood of high turnover rates and discrimination, and encourage employee feedback and involvement by enhancing their hiring policies, offering mentoring and coaching, and development opportunities, and trying to encourage feedback from employees and engagement.
At Northern Sigma Firm, the issue of poor leadership and discrimination against women and minority staff is a serious issue that needs to be addressed as soon as possible. This is because both issues pose a threat to the company’s success. Because of the discriminatory actions of the leader, Mr. Philip Wagner, the company has experienced high turnover and additional costs of hiring, all of which can have a negative impact not only on the culture of the firm but also on its reputation. We recommended that Northern Sigma Firm implement evidence-based management practices in order to address this issue:
- Create a policy of zero tolerance for discrimination. According to Latham (2009), creating policies and practices supported by data and research is a crucial element of evidence-based management. One way to meet this requirement is to create a policy of zero tolerance for discrimination. In this scenario, the Northern Sigma plant in Toronto ought to come up with a policy that is unambiguous and precise and that forbids discrimination based on a person’s race, gender, ethnic background, or any other attribute that is considered protected. This policy should be disseminated to every worker in a comprehensive manner and strictly adhered to.
- Analyze the current leadership structure: In addition to this, evidence-based management practices involve the ongoing assessment and enhancement of organizational procedures. In order to ensure that all staff is treated in a just and equitable manner, Northern Sigma Firm ought to conduct an in-depth review of the leadership process and structure within the company. A comprehensive analysis of Mr. Philip Wagner’s performance and an investigation into any instances of discriminatory behavior should be included in this review. If any instances of discrimination are discovered, the company should take appropriate steps to remedy the problem, such as termination of employment if necessary.
- Latham (2009) states that evidence-based management practices improve organizational results and ensure employee well-being. One way to do this is to cultivate a positive and welcoming workplace culture for all employees. In order to accomplish this goal, Northern Sigma Firm needs to work toward establishing a culture in the workplace that is welcoming, considerate, and supportive of all staff. This can be accomplished through the implementation of routine employee engagement, the provision of training on inclusion and diversity, and the maintenance of open lines of communication between staff and management.
- To promote diversity and equal representation, Northern Sigma Company should actively strive to encourage diversity in its workforce and leadership. This will allow the company to more effectively support diversity and full equality. This can be accomplished through initiatives centered on targeted recruiting and promotion and diversity and inclusion education and training programs. In addition, the company must carry out diversity audits regularly in order to guarantee that its personnel is an accurate reflection of the community that it serves.
- A good leadership model that does not support bureaucracy ought to be implemented by the company in order for the company to increase the efficiency of its operations. The manager is responsible for ensuring that his staff respects one another, that there is a productive environment in which to work, and that his staff works together effectively as a unit. His administration ought to acknowledge and appreciate their efforts, pay them with appropriate rewards, and make it possible for employees to advance their standing within the firm. According to Robbins et al. (2011), these advancements can only be accomplished if the company possesses an effective organizational structure.
References
Equal Employment Opportunity Commission. (2021). Discrimination in the workplace. Retrieved from https://www.eeoc.gov/laws/types/index.cfm
Gallup. (2021). The link between employee engagement and customer satisfaction. Retrieved from https://www.gallup.com/workplace/237969/link-between-employee- engagement-customer-satisfaction. aspx
Latham, G. P. (2009). Becoming the Evidence-Based Manager: How to Put the Science of Management to Work for You. Davies-Black Publishing, Society for Human Resource Management.
National Institute for Occupational Safety and Health. (2021). Workplace stress and its impact on health. Retrieved from https://www.cdc.gov/niosh/topics/stress/default.html
Phillips, J. M., & Gully, S. M. (2019). Organizational Behavior: Tools for Success. Cengage Learning.
Society for Human Resource Management. (2022). The cost of employee turnover. Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/cost- of-employee-turnover.aspx
U.S. Department of Labor. (2022). Women in the workplace. Retrieved from https://www.dol.gov/general/topic/women
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