EXECUTIVE SUMMARY
When examining Delphi’s organizational culture and structure, we identified two main areas of concern: a lack of individual employee motivation and a need for leadership improvements. Employee apathy has been caused by a lack of external motivators, the belief that rewards aren’t linked to performance and the perception of limited organizational support. Leadership issues stem from the leader-member relationships in the organization, which are not as positive as they could be due to decreased trust and limited communication. Additionally, Delphi suffers from employee perceptions of unethical leadership.
In order to deal with the issue of motivation, we recommend gainsharing, which increases cooperation, accounts for external influences and makes each employee feel that their individual contribution is valued. Another way to improve motivation is to link rewards to performance by explicitly communicating expectations and reward criteria to employees and creating numerical forms to increase performance review consistency. Lastly, addressing the discrepancies between employee pay cuts and executive bonuses will make employees feel more supported by Delphi, which will translate into increased motivation and performance.
To improve Delphi’s leadership, two specific training programs must be created. The first should be aimed at teaching managers how to create trusting high-quality leader-member exchanges, so that employee in-group membership increases. In-group members experience higher job satisfaction and lower levels of felt inequity and will provide many positive organizational benefits. The second training program should be aimed at promoting ethical behaviours so that employees and managers are better equipped to deal with ...