The Ford Motor Company is one of the leading multination organizations in the production of the auto motors. Based in Dearborn, Michigan in America, the organization manufactures vehicles and purchases to other available customers all over the world. Ford Henry established the Ford firm in the year 1903, June 16. The Ford organization branded with the unique brand hence purchasing its products worldwide. In the recent years, the Ford organization specialized in the manufacturing of the heavy tractors and trucks. The firm also provides automotive components sold to people owning cars hence need spare parts (Colaprete, 2007). Currently, Ford firm acquires most of its income through the purchase it is of the manufactured cars and sales of the spare parts. However, the most recognized aspects of Ford organization is the strategic management and interrelation that exists between the management and employees.
Stance toward Labor
The Ford organization that produces diverse automobiles faces various challenges with the labor union that provide workforce needed in the organization. A large number of labor-related issues have affected the normal operations in the firm hence affecting the production and sales of Ford firm. The first challenge facing the Ford firm is the contradiction between management and the labor union concerning delay in payment. The employees in the Ford firm complain of delayed payment hence affecting the nature of assembly of the organization. In most instances, the organization delays in paying the workers because of the holdup in returns in sales made in branches offices of Ford found in other nations (Dowling, Festing & Engle, 2010).
Ford Company experience challenges related to the labor-related in the sense that there is insufficient skilled and unskilled labor. Although the Ford firm has various professional employees that conduct managerial tasks in accordance to the expectation of the firm's vision, the organization lacks enough unskilled labor. Most of the employees in the firm are skilled employees that occupy official positions and work through giving instructions to the other workers (Colaprete, 2007). However, the lack in the unskilled labor attributes from the minimal payment offered to the contract workers.
Since most of the unskilled employees work under contract, most of the workers refute to agree to the rules and regulations of the firm hence contributing to the lack in the essential energy to propel the firm. The unskilled labor union insists to have permanent employment, which will boost the duration of working hours. Working permanently in the firm also contributes to the increased payment offered to the employees. In most case, because of the lack of enough unskilled labor, accusations concerning under age employment have been made against the Ford firm. However, recently after various cases in the court, the Ford management has dismissed almost all the young employees initially working for the firm (Dowling, Festing & Engle, 2010). However, still the problem of insufficient unskilled labor affects the performance of organization in the production section thus attributing to poor returns and reduction in income received from the sales.
Strategy for Negotiating a Labor Agreement
In an attempt to solve the problems facing the Ford organization in regards to the labor-related issues, it is vital that the both management and the employees emerge with a solution. One of the vital strategies for negotiating a labor agreement effectively is the establishment of a workforce committee that involves both the workers, employers and stakeholders of Ford firm (Carroll & Buchholtz, 2010). The management ought to involve the three parties since in most of the cases; disagreement arises since only one of the parties is involved in solving the problems of capital and salaries offered to employees. In the setting up the committee, selecting the workers representative will relay on the competence and trusted. The selected few workers will represent the entire labor unit in the Ford organization.
The selected workers in the problem solving committee will act as intermediaries between the employer, stakeholders and the rest of the workforce unit. All the problems that affect the working force unit, the representatives have to listen to it before presentation to managers. The representatives will also determine the information passed to the managed by reading and analyzing the diverse problems received from employees. Although the management and stakeholders determine the best solution to the various problems, the employee's representatives will have the power to solve minor issues (Colaprete, 2007). For instance, issues affecting the workers and affecting the employee-employee relationship the representatives will solve such issues. Through the formation of the committee, issues affecting the workers regarding payments and other aspects affecting the organization will undergo thorough discussion and consultation to achieve to the most brilliant solution to the problem (Dowling, Festing & Engle, 2010).
Economic and Administrative Issues
The current increase in the number of the people purchasing the products of the Ford automobile firm has contributed to the increased in production in the firm Since the Ford company manufactures and sales vehicles almost all over the world, profits expected from administrative offices in diverse branches all over the world delay reaching the headquarters in Michigan. This administrative structure of the Ford firm offers a difficult time to the headquarter office especially in delivering the payment of the workers in the exact agreed date of payment. In reaction towards the case of the delayed payments, the workers always strike from the various assigned duties (Ajami, 2006). The strikes play a role in ensuring that the administration of the Ford organization delivers the required payments within the limited notice possible. However, it is a disadvantage to the firm since lack of production of the cars leads to huge loses.
The increased in the production has yielded large amounts of profitable gain for the firm but the existing economic competition offer a threatened future for the firm. In this case, the economic state of the organization needs to improve to ensure that firm remains competitive in the marketplaces. However, the administration issues such as poor governance of the allocated funds affect the production of the plant (Blackard, 2000). In this case, both the management relay for the workforce for production and workforce depends on the management for income. For this reason, the developed bargaining position is that workers offer competence in the assigned duties and tasks to increase production. At the same time, the management of the Ford plant to pay the employee at the date of agreement immediately.
Policies and Procedures to Administer
In resolving the problems, that face the Ford organization to achieve better outcome results from the purchase of the automobiles it is essential to enact policies and procedures to administer a reliable labor contract. The problem affecting the employees is lack confidence in the management concerning date of payment. For this reason, policies and procedure concerning labor contract are vital in resolving disputes in the firm. In this case, one of the chief recommended policies is the guide supposed to inform the employees regarding the dates of payment receivable. The labor union requires a reassurance that the management will provide each employee with the needed salary in the stipulated dates. For this reason, a commission in charge of the payment and finance section of the organization is vital in the implantation of the labor contract agreement (Colaprete, 2007).
In an effort to resolve issues affecting performance in the firm, the management also needs to obtain assurance that all the employees will work on duties and task without excuses. To ensure implantation of rules and regulations in the firms, enacting the reduction in absenteeism and commitment policy is necessary (Ajami, 2006). The management of the Ford firm is only responsible to offering salaries to the employees that have contributed to the success of the firm. Once the policy regarding the immediate payment of the workers and absurdity of the management in receiving proficient services from the employees is in place then solving disputes in Ford Company is an easy task.
The most common interest dispute that contributes to the problems facing the Ford organization is the contract issues. Since the employment of workers is not permanently, some of the employees seek financial resurrection from working part time from other organization. In an effort to raise extra money, most employees working on contract for the Ford organization have other occupation. In this case, the interest of dispute arises because of the employees working in Ford organization at the same timework in other automobile firms (Carroll & Buchholtz, 2010).
Since the employees gain various operational skills and managerial skills from the Ford firm, conflict arises when the same employees give the ideas in the other organization. Sharing the organization secrets especially concerning management and the way duties is performed in the organization established the interest of dispute between the contract employees and the management of the firm. In solving the interest dispute, the organization ought permanently o employ the workers in the firm (Carroll & Buchholtz, 2010). Offering an employment to…