Herman Miller: Role Model in Employee and Environmental Relations
Case Summary and Questions for debate
? The company had been a model for almost 70 years ? until the 1990's
EMPLOYEE RELATIONS
? Used as example of superb employee relations in business text books like
o A Passion for Excellence
o The 100 Best Companies to Work For in America
? Interesting point of how the founder named the company after his father-in-law, giving honor to him who supported the business both in financial start-up and via family
? The DuPree family maintained a paternalistic relationship with their employees
? DuPree family brought their devout, faith influenced values to the company in various ways:
o Kind, gentle tones with employee communications
o Profit sharing and employee incentive programs (before they were popular)
o Participative management methods
o Silver parachutes for those who might lose their jobs
o Considered the employees as vice presidents
o Salary of top executives were not more that 20 times the average wage of the line worker
o Evaluations given to and by employees every six months
? Results and evidence of Excellent Employee Relations include
o Loyal workforce
o Development and movement from within the company
o Gifted design teams
o Commitment to doing what was right (rather than what was best)
ENVIRONMENTAL RELATIONS
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