Bandag Automotive Case:
This case highlights some of the challenges a growing company faces, in particular when there is a change in leadership. Bandag Automotive is a family-owned business that has recently shifted leadership from Jim’s father to Jim. Jim’s focus on the bottom-line ignores some of the long-term costs of poor human resource (HR) management practices. In the absence of a leader with HR expertise, Jim faces several employment-related legal challenges including those involving the Americans with Disabilities Act and the Family Medical Leave Act. Jim also cut benefit offerings in the interest of cost savings without exploring the impact on the organizational culture and employee performance.
Questions:
- Given Bandag Automotive’s size, and anything else you know about it, should they reorganize the human resource management function, and if so, why and how?
- What, if anything, would you do to change and/or improve upon the current HR systems, forms, and practices that we now use?
- Do you think that the employee whom Jim fired for creating what the manager called a poisonous relationship has a legitimate claim against us, and if so, why and what should we do about it?
- Is it true that we really had to put Gavin back into an equivalent position, or was it adequate to just bring him back into a job at the same salary, bonuses, and benefits as he had before his leave?
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